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Public Revenue Sources

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I need help explaining the impact of demographics on public revenue sources and how per-capita income, fiscal policy, laws, local economies, and census data affect the ability to fund governmental functions.

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1. I need help explaining the impact of demographics on public revenue sources.

There are different operational sources of public revenue (e.g., federal, state, and local) necessary to operate public programs. In addition, funds are allocated according to such things as demographics. For example, areas where there is a high drug abuse and alcohol problem, then public revenue sources would be directed to this population of people. In areas of high economic status, for example, perhaps there would be more public revenue resources at all three levels of government, as there are more available resources to draw on. Wealthy school districts (e.g. local), for example, pay larger amounts for the Public School system in Texas (see Example 2 below).

Population also impacts public revenue sources. For example,

Example 1: Demographics and Water Use Statistics

The service area for Seattle Public Utilities- Seattle Public Utilities provides direct retail water service to about 630,000 people in the City of Seattle, parts of Shoreline and small areas just south of the city limits. Seattle Public Utilities also sells water wholesale to 25 neighboring cities and water districts serving another 720,000 people. The total population of the area receiving water service from Seattle Public Utilities is 1,350,000. For the impact of demographics (2004 Population, Households, and Employment) in the Seattle Public Utilities Water Service Area for public revenue allocations see chart on-line at http://www.ci.seattle.wa.us/util/About_SPU/Water_System/History_&_Overview/DEMOGRAPHI_200312020908145.asp).
Demographics Retail Wholesale Total
Population 630,000 720,000 1,350,000
Households 298,300 282,400 581,700
Single Family 151,300 192,800 344,100
Multifamily 138,000 99,600 237,600
Employment 584,000 484,000 1,068,000
From ...

Solution Summary

This solution explains the impact of demographics on public revenue sources and how per-capita income, fiscal policy, laws, local economies, and census data affect the ability to fund governmental functions.

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