Stimulus and the States

Twenties on White
Photo by Flickr user Darren Hester

This is almost entirely wrong-headed: the point of stimulus aid to state and local governments isn’t to save state and local government jobs. The point is to provide fiscal support so that states, which generally have to balance their budgets, don’t make pro-cyclical spending/service cuts or have to enact tax increases during a recession.

Stimulus and the States

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