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November 18, 2008
Posted: 02:30 PM ET
Would you rather your state cut services or raise taxes?
FROM CNN's Jack Cafferty: Americans are feeling pretty cash-strapped these days and as a result, state budgets are feeling squeezed too. Many states are watching tax revenues simply melt away from sales taxes to corporate and capital gains taxes. People aren't shopping like they used to, or traveling, and the stock market's killing everybody - all of which is hurting local governments. And those states with high foreclosure rates? They're getting hit hard too. According to the liberal-leaning Center on Budget and Policy Priorities, at least 37 states have faced or are facing budget gaps in the 2009 fiscal year totaling $66 billion. Take California for example. Two months ago, the state faced a $15 billion deficit. Suddenly that number has shot up to $26 billion, and California may not be able to pay its bills this spring. New York state isn't much better. It faces a $12.5 billion deficit in 2009. Cuts here are expected to include health care and education. The governors of both states have called special legislative sessions to deal with this financial crisis. As the economy continues to deteriorate, states are facing increasingly difficult choices. Here’s my question to you: Would you rather your state cut services or raise taxes to cover its budget shortfall? Interested to know which ones made it on air?
J. writes: Josh from Minneapolis, Minnesota writes: Mithra writes: Lynne from Boise, Idaho writes: Mike from New Orleans, Louisiana writes: Joe from Tucson, Arizona writes: Dave from St. Louis, Missouri writes: Filed under: Taxes US Economy
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Jack Cafferty sounds off hourly on the Situation Room on the stories crossing his radar. Now, you can check in with Jack online to see what he's thinking and weigh in with your own comments online and on TV. Send your comments on the "Cafferty File". Jack's Book
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