Bubble Wrap

State Officials Predict a Deep Recession

The NYTimes reports on government concerns about the slipping economy and implications it might have on the state budget.

Job growth in the state is expected merely to stagnate next year. The downturn appears far worse nationally than previously projected, with more than $200 billion in write-offs so far through April at major financial firms and 63,000 layoffs in the financial and insurance sectors. On Wall Street, which supplies one-fifth of the state’s tax revenue, bonuses are now expected to be down 11 percent this fiscal year, after a small decline last year and a 25 percent increase the year before.