One more reminder that blue states subsidize red states; telling blue states that the federal govt will abandon them does not seem like a wise long term strategy https://www.businessinsider.com/mcconnell-states-bankruptcy-coronavirus-federal-bailout-economy-instead-aid-2020-4">https://www.businessinsider.com/mcconnell...
In normal times NY pays in about $12.8K per person to the federal govt and gets 80% of that back in federal spending.
McConnell’s KY pays in about $6.6K and gets a 190% return.
The logic of the feds abandoning the hardest hit states is not just unfair - it is economically nuts.
McConnell’s KY pays in about $6.6K and gets a 190% return.
The logic of the feds abandoning the hardest hit states is not just unfair - it is economically nuts.
Conservatives might think that they want to encourage a Tieboutesque logic where liberals support lowering federal taxes and more variation in state level taxes. But the reality is that states like McConnell& #39;s Kentucky need massive subsidies from states like California.