It’s the not just the federal government that has financial problems. TIME magazine recently featured an article lamenting the bad financial state the states find themselves in, and, as I noted in a previous post, President Obama has proposed “emergency” funding to help them avoid layoffs and service cuts.
However, given the track record of state government spending, it’s hard to feel sorry for struggling states. What fuels this lack of sympathy for the states? Perhaps it is this post, this post, this post and this post.
These problems with state and local government employment practices are largely responsible for the fiscal trouble they now find themselves in. If they want sympathy, they need to get their fiscal houses in order instead of relying on a federal government bailout or raising taxes. The federal government is out of money and taxpayers can’t afford higher taxes in a time when the economy is trying to recover from a recession.