06/26/2026
[NEW Blog] Who Pays the Bills?
How does the State of North Carolina pay for everything it does?
81% of all revenue collected by North Carolina's state government comes from personal income and sales taxes. Yet the source of that revenue is overwhelmingly the state's metro areas - in particular, Wake and Mecklenburg.
Not only do Mecklenburg and Wake generate a highly disproportionate share of all tax revenue in North Carolina, but they also heavily subsidize most other counties in the state.
Over the last 15 years, the rural economy in North Carolina has stagnated and declined. Most rural counties have seen their local economy shrink in that time, while that of metro counties has grown rapidly.
What that means is that the State of North Carolina is more heavily dependent on tax revenue from those metro counties today than ever before. As long as the economy is good, that's fine. But it puts the state in a precarious spot for the next recession on the horizon.
Full blog: https://carolinaforward.org/news/who-pays-the-tab