But it's not just governments that are struggling.
Herald
Governments, maybe. But not the people who work for them. They are doing just fine.
And that just might be the problem.
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Governments are struggling because government expenditures have grown at a much faster rate than the public's ability to pay for all those costly new and expanding services. Take a look again at Tom Licata's charts on spending versus median household income at vteh.org.
Median family income started to flatten around 1970 after growing subtantially prior to that time. Some of the reasons often cited for the flattening of household income are: 1)more workers in the work force as women entered the workforce in greater numbers thereby creating more competition and putting downward pressure on wages, and 2) increasing divorce rates resulting from no-fault divorce laws creating more households with fewer wage earners, earning lower incomes. Whatever the reasons, it ought to be clear to everyone that we will all continue to struggle as long as government expenditures at all levels (federal, state and local) continue to grow faster than people's incomes!
Posted by: Peter Walcott | March 11, 2010 at 02:53 PM
Government employment = Fewer risks. Higher pay. Enormous benefits. I can't wait for us to become Spain.
Posted by: Chris Campion | March 11, 2010 at 07:19 PM