Reference no: EM13692778

Task 1:

The Comptroller of Public Accounts rushes to your office worried about a government report that says unemployment has gone up and a recession is likely. Therefore she expects state revenue to drop 5% for the rest of the year and up to 10% for the next biennium.

Create a plan to cover all solutions. Possible solutions include: Raise taxes, cut expenses, or borrow from the next budget (i.e. create a deficit).

Task 2:

Worldwide demand for energy rises. Texas has the resources to help meet the demand, but energy companies throughout the industry are worried about their employment levels. They cannot find enough employees willing to work on an oil rig, a pumpjack, or in the fracking sands, to keep up with demand. They are paying up to $50 per hour, but job postings remain unfilled and interviews reveal a workforce ill-equipped for the job. The added revenue for the state that these industries are expected to bring in is about $15 billion. Why should you help the energy companies solve this problem? How would you go about helping them?

Task 3:

The unemployment rate for people without a college degree is rising. Requests for unemployment insurance, SNAP (food stamps), and Medicaid are reaching all-time highs. The main reasons for the increase in the unemployment rate are also causing state revenues to go down. Using your knowledge of revenues and expenses as well.