During the most recent recession, many state governments faced substantial budget shortfalls.State politicians often blame the fiscal crises created by those shortfalls on factors largely outside their control, such as the declining economy or reductions in federal aid. Others have suggested...

During recessions, state governments frequently face substantial midyear budget shortfalls. Numerous states are now experiencing such crises again. These fiscal crises are often blamed on the cyclical decline in revenue growth or reductions in federal aid. Others have suggested that enacting...