Local Government Fiscal Stress
By Arnold Kling
Since salaries and benefits amount to 80 percent of county spending – and almost 90 percent of school spending – the fruit of the county’s profligacy is a structural deficit that has proved impervious to repeated tax increases.
The school budget is bloated by overly generous pensions and a high ratio of non-teaching staff to teachers. To the extent that other state and local governments are in trouble for similar reasons, I think that the solution is conceptually simple: stop the looting by public employee unions.