[yldstrk]

Government?

[C. Edmund Wright]

you’re kidding, right?

[Westbrook]

> Government?

If only.

But, not a chance.

[randita]

A lot of states are in the red. At some point they will have to balance their budgets. You can only raise taxes so much before your tax base just shuts off or flees the state.

Eventually, the public sector is going to get walloped. Merely renegotiating union contracts like they did in WI isn’t going to get the job done entirely.

There are already hiring freezes in place in many state and local sectors. That’s not going to get it done either. Departments will have to be merged or eliminated and jobs cut.

The reckoning may not come this year, but it will come.