While our current presidential administration puts deficit concerns on hold while trying to combat the economic woes, state governments are doing the opposite. With Washington attempting to save the economy, the nation as a whole will be feeling the ramifications of state governors that have been slashing state spending during the recession frequently at the expense of their most vulnerable constituents. The state governors can attribute cut backs to deficit concerns, but how necessary is it to cut out funding for public services and investments right now? America isn’t any less able to afford to provide assistance and care for those in need, nor is America any less able to afford to make much-needed repairs to our infrastructure. We have all the same capacity, knowledge, and skilled workers as we did before. With costs of government programs and public investment considerably lower now than in more prosperous times, cutting public spending ONLY deepens the wounds in our economy and contributes to feelings of insecurity of our economy.
State and local government revenues are plunging in synergy with the economy, however, while the federal government is not subject to balanced-budget rules, lower-level governments are and yet are unable to borrow. States that are able to borrow must pay chastising interest rates, while investors aren’t buying anything other than federal debt. Governors should be held responsible to an extent, although even our best-run states are in the hole as well. Americans and our economy shouldn’t be the ones feeling the punishment. A majority of Medicaid is from state governments. Local governments primarily fund education as well. State governments are left with no choice but to cut the funds for these programs. Ted Strickland, the governor of Ohio, is advocating federal aid to the states on the basis of helping for the neediest by funding food stamps and Medicaid, federal funding for the state, along with local-level infrastructure projects, or federal aid for education.
While the state-governments mostly believe they are doing the right thing, it is in no way helping Americans to cut out programs that are essentially needed by millions of our fellow citizens. Ensuring the security of our people and that the fiscal problems of the states don’t inflict anymore harm on the economy and our communities should be the top priority.
Jennifer Kim 