Originally posted by wittywonka
http://www.politifact.com/texas/statements/2011/apr/22/rachel-maddow/msnbc-host-rachel-maddow-says-texas-routinely-rece/
Typical Maddow out of context half-truth.
Texas may have received more than it it gave in 5 of the last 7 years, but that's because federal spending ACROSS THE BOARD includes huge amounts of deficit spending.
Texas historically has been one of the states that pays more than it gets, as the politifact article points out. Even in recent years, Texas' windfall from the government is far LESS than its proportionate share of the deficit spending.
A far more accurate picture would be to compare a state's net receipt with the percentage of the federal budget that is deficit spending.
Example: Say 25% of federal spending is deficit spending. If State A pays $300m it can reasonably expect $400m in federal money to be spent in its state. After all, the deficit spending is not just manufactured by the government it is BUILDING A DEBT, which is laid in a uniform manner across all of its citizens.
Above example: State A's CITIZENS are going into debt by $100m in the given year. So, let's say federal spending in State A is $320m. If that state is a red state, drive-by types like Maddow will scream about how State A is net profiting $20m from the federal government.
It is not.
It is paying $300m in taxes and its citizens are going into debt another $100m. In exchange, they receive $320m.
Folks, that's a net LOSS, not a net gain.
Texans paid about $147 billion in federal taxes in 2005 while the state received $149 billion in federal spending.
The federal government posted a $318.62 billion deficit for its 2005 fiscal year which was more than 10% of federal spending. Clearly, Texas did not get its share of the pie in that year or in any year since.
In the years until 2003, when Texas was a net PAYER into the federal treasury even while the feds ran a budget deficit for most of those years, the were getting the even more extraordinary shaft.
Perry is right. Seceding is clearly in Texas' short term financial best interest, although I'd postulate that it is NOT in Texas' long term best interest to secede.
Politifact was very generous with its "mostly true" designation.