Yglesias

Fun With State Budgets

CREDIT:

Here’s a couple of reports on the state budget situation from the Center on Budget and Policy Priorities. Long story short — the situation is bad. And cuts in state budgets will only make a looming recession first. It’s not by any means the most interesting policy option in the face of economic crisis, but aid to state and local governments should definitely be at the center of the federal stimulus initiative — it’s the easiest thing to do logistically, it’s fast-acting, and it can help avoid unnecessary disruptions in people’s lives.