What Motivated Newsom's Relaxation of Lockdowns?
By David Henderson
Newsom Finally Recognizes Tradeoffs
What gives? I think Newsom is finally recognizing tradeoffs. He started the fiscal year with an expected budget surplus. He now expects a state government deficit of $54.3 billion. He had wanted a bailout from his Democratic California partner Nancy Pelosi. Her $3.2 trillion bailout passed in the House by a narrow 208-199 vote but is probably dead on arrival in the Republican-controlled Senate.
My guess is that he understands that he’s not getting a big bailout. So he can’t shift the cost onto the shoulders of federal taxpayers.
HT2 Steven Greenhut