Source: Lake Geneva Regional News

Local Impact
February 26, 2011 | 01:18 PM

If this budget bill goes through, a number of things will start to happen in this state as well as any other state that addresses their budget shortfall by attacking public employees. The main impact is obviously economic. Consumer spending is a good chunk of our GDP and cuts to public employees is going to lead to less spending on consumer goods in the state. This means less sales tax and more job losses for businesses that sell things to consumers. While the state's new business incentives may be worthwhile, they will take some time to kick in. Our area depends on consumer spending by locals as well as out of state visitors. If you take all the households that depend on public employee income and recognize that they will not be going to the Target that often, you start to see where this is going. Magnify this to cover every municipality in the state and you have a serious problem with sales taxes. We all need to get our elected officials to think this over very carefully.


Dave Yost
Williams Bay