My column this week is about my increasing concerns that Arkansas is going to go the way of the federal government and other states and make running deficits a habit.
We’ve heard a lot about the state’s “balanced budget” in the past couple of years, but the truth is that Arkansas is in debt $330 million to the federal government for money paid out in unemployment benefits.
Now some legislators seem heck-bent on cutting taxes before really cutting spending, and, of course, they’ll get around to paying the debt later. Sounds like Washington, D.C.
A recurring rationale from the cut-taxes-first crowd is that doing so will result in state government cutting spending because the Revenue Stabilization Act will force it to do so.
But the Revenue Stabilization Act hasn’t resulted in balanced budgets lately, has it?