Americans' Public Agenda: Taxes versus The Deficit

AMERICANS' PUBLIC AGENDA

Americans' public agenda is crowded with several social policy issues -- including education, crime, welfare and healthcare, as well as some major economic concerns such as the deficit and jobs. These are the "Issue Watch" findings from the latest Angus Reid Group/ Bloomberg Business News Poll.

The very beginning of each Angus Reid USA Poll includes an ongoing monitor of the public policy issues of most concern to Americans today. To gauge the public agenda, survey respondents are asked to name, on a "top-of-mind" or unaided basis, the issues which they believe require the most urgent attention from American leaders at this time.

The results of this latest poll, conducted August 22nd to September 5th, 1996 among 1517 Americans, shows the following priority issues, listed here in descending order of their level of "total mentions" (up to three issues were accepted from respondents):

Education/Schools

One in five (19%) surveyed U.S. residents mentioned issues concerning schools and the education system as the most important facing the country today. Unaided concern about education is particularly high among: women (24%), the affluent (27%) and the university-educated (30%).

Crime/Violence

The same number (19%) singled out crime and violence as America's top priority.

Welfare

Welfare was also cited "top-of-mind" by 19 percent of respondents, including 25 percent of those under 35 years of age.

Health Care

The availability and/or quality of health care, including Medicare, was named by 17 percent of polled Americans as the most acute issue presently confronting the nation. Mentions were highest among women (22%).

Deficits/Debt

Just as many (16%) pointed to government deficits/debt as an area warranting the country's serious attention. Unaided concern about the deficit is highest among men (20%), older Americans (19%), the university-educated (22%), and those living in the highest income households (23%).

Economy

The overall state of the economy in general was mentioned by 14 percent of surveyed Americans.

Unemployment/Jobs

One in ten (11%) Americans surveyed felt the unemployment situation requires the country's fullest efforts today. This rises to 17 percent in the Northeast states.

Poverty/The Poor/Homeless

Issues relating to poverty were also cited by one in ten (10%) of those surveyed.

Foreign Affairs

Issues on the international scene, particularly the situation in Iraq, were mentioned by a similar number (9%) of respondents as critical for U.S. leaders at this time.

Taxes

Nine percent also singled out taxes as one of the most pressing issues for the country today.

Drugs

This issue was singled out by a comparable number (8%) of surveyed Americans as deserving of high priority.

Government/Politics

Around one in twenty (5%) respondents said that government and politics are the issues requiring utmost attention in America right now.

Many other issues were cited by smaller numbers of surveyed Americans, including: issues pertaining to the justice system, including gun control (4%); abortion (4%); the environment (4%); moral issues/religion (4%); immigration/refugees (3%); defense/military (3%); issues concerning children/youth (3%); other social services (3%); among others mentioned by still fewer respondents.

Taxes versus The Deficit

This Angus Reid Group/Bloomberg Business News Poll looked broadly at Americans' orientation on the tax vs. deficit reduction trade-off, and the results suggest some ambiguity -- or at least some flexibility on the desirable timetable for deficit reduction:

Asked initially what is more important, 56 percent of Americans surveyed opted for reducing the deficit versus 37 percent who put a premium on cutting taxes. Deficit reduction, a main priority on this "generic" basis, has a very broad constituency, and is a particularly high priority for older Americans, (65% of those 55+), the university-educated (66%) and those living in higher income households (63%).

But asked if they favor a 15 percent tax cut even if it means it will take longer to reduce the deficit, 51 percent chose the tax cut while 42 percent held firm in favor of focussing on deficit reduction. The prospect of a 15 percent tax cut at the expense of a slower attack on the deficit sways the balance among most population segments with the exception of the strongest deficit reduction proponents -- older Americans, those with the most formal education and the highest incomes.

Analyzing the survey results for these two questions together helps to further describe the public opinion landscape. A plurality of 35 percent of survey respondents put the priority on reducing the deficit in both scenarios versus 30 percent who found the prospect of a tax cut more appealing in both cases. Almost one in five (18%) opted for reducing the deficit in principle, but chose the 15 percent tax cut even if it delays that effort. This group has significant representation among all major segments of American society. (Six percent of respondents opted for reducing taxes generally but turned down the 15% cut, and 12% did not respond to one or both questions.)

Eileen Wolford, Angus Reid Group Senior Vice President, notes that: "Americans appear conflicted on the trade-off between tax cuts and deficit reduction. They agree with deficit reduction in principle but want the tax cut in practise. It's interesting to note that affluent Americans, who presumably carry the highest tax burden, are the most bullish on deficit reduction".

The Angus Reid Group is one of North America's leading full-service market and opinion research providers, serving over 1300 clients across North America and globally in the private and public sector. The firm has 250 Computer Assisted Telephone Interviewing stations throughout eight North American offices, and annual sales of approximately $28 million dollars.

Bloomberg Business News is a 24-hour global news service founded in 1990. Bloomberg Business News is accredited and recognized throughout the world by journalism societies and major governments for its independent coverage of economic, business and financial affairs.

This Angus Reid Group/Bloomberg Business News Poll was conducted by telephone between August 22nd and September 5th, 1996 among a representative cross-section of 1517 American adults.

The survey sample was regionally stratified, and included a sub-sample of Spanish-speaking Americans. This data was statistically weighted by survey respondents' age and income within geographic region to ensure the sample's characteristics match those of the actual U.S. population according to the 1995 Current Population Survey from the U.S. Census Bureau.

With a national sample of 1517, one can say with 95 percent certainty that the results are within ±2.5 percentage points of what they would have been had the entire adult American population been polled. The margin of error will be larger within regions and for other sub-groupings of the survey population.

For further information, contact:

Eileen Wolford Senior Vice-President Angus Reid Group (612) 904-6970