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BHI State of the Household Survey

Winter 2001

State of the Household Survey 2001
Growing pessimism about Mass. economy

Some Massachusetts residents think that, in contrast to the sunnier economic times of recent years, the state's economy will worsen in Year 2001. According to the Beacon Hill Institute's 2001 State of the Household survey, more than 57% of respondents believe the Massachusetts economy will worsen.

That's a significant increase over last year's survey; in 2000, only 14% of BHI's respondents believed the economy would worsen. Only 29% believed the state's economy would stay the same compared with 52% last year. This year only 13% thought the state's economy might improve.

The Massachusetts numbers mirrored opinions about the national economy. This year, 53% said the national economy would worsen. Last year only 14% believed that it would happen.

For the third consecutive year, BHI surveyed by mail a select group of Massachusetts fiscal conservatives for their opinions on a variety of economic and public policy issues affecting citizens in the Commonwealth. This informal survey is part of BHI's ongoing State of the Household Project, which includes scientific polling of Massachusetts residents. This year, BHI received almost 300 responses. The survey was conducted during January 2001 and has a margin of error of ±7.

Respondents expressed strong support for a proposal now under consideration to privatize the MWRA – 57% approved of the idea while 23% opposed it.

Seventy-eight percent (78%) opposed a proposal that surfaced late last year that would extend unemployment benefits to parents who stay at home with a newborn or newly-adopted child while only 14% supported the so-called Baby UI bill.

BHI respondents continued to support education reform in Massachusetts with 60% favoring current spending levels. Only 19% opposed and 21% neither favored nor opposed a continuation of current funding levels.

Meanwhile, a majority of respondents (53%) expressed a preference for keeping the existing MCAS graduation requirement. And 28% believed this requirement should “be changed to make the graduation requirement tougher.” Only 7% thought the MCAS requirement should be loosened while another 7% favored an outright abolition of the controversial measure.

Even though voters rejected a ballot question last year that would have paved the way for a universal health care mandate, advocates for expanding coverage intend to file new legislation this year. BHI found that 69% oppose a proposal mandating universal health care coverage.

As the new legislative session opens, several legislators are also proposing an increase in the cigarette tax to fund various public health programs. The BHI survey asked respondents if they supported a proposal raising cigarette taxes by $.50 per pack. The survey found 51% supported an increase, 35% opposed it and 14% were neutral.

A proposal to expand the bottle bill to include the redemption of ice tea and juice containers found support from 53% of the respondents with 30% in opposition.

With higher energy costs on the minds of many consumers, some environmental groups are advocating tax credits for households that use renewable energy such as solar and wind power. Sixty-nine percent (69%) favored the establishment of tax credits for such a purpose.

This year's State of the Household Survey marked the first time BHI asked respondents about the state's infrastructure system.

Seventy-two percent (72%) favored the building of a new runway at Logan Airport when asked specifically about the proposal now before the Federal Aviation Administration. However when asked which is the most effective way to solve the region's air travel congestion problems, respondents overwhelmingly chose an option expanding the use of regional airports (54%). In this context, 23% favored building a runway at Logan. Expanding the rail system garnered 11% and peak load pricing, whereby aircraft owners are charged higher user fees during busier times, received 5% support.

The survey also attempted to gauge sentiment on ways to solve the state's commuter transportation problem. Forty percent said that extending commuter rail lines was the most effective way, while 32% said expanding parking facilities would be effective. Only 13% said increasing the state's highway capacity would be the optimal way, while 6% favored expanding bus service.

 

BHI respondents continued to support proposals to redirect funds from government to nonprofit organizations. This year 70% expressed such support while only 19% opposed the idea.

The changing of the guard at 1600 Pennsylvania Avenue provided BHI with an opportunity to measure local expectations on how the Bay State may fare under President George W. Bush's new administration. Fifty-six percent (56%) believed Massachusetts will fare well while 32% maintained there would be no effect, good or bad. Only 12% believed the state would not do well.