Support the news

Mass. Lawmakers Meet with Economic Advisers

A team of economic advisers bring perspective and advice on the state budget to a hearing today on Beacon Hill.

WBUR's Martha Bebinger has more.

House and Senate Ways and Means Committees are holding the hearing to get a better understanding of market forces that have left the state with a $1.4 billion shortfall. Barry Bluestone with Northeastern University says one problem is that the state budget depends too heavily on tax income from stocks and large employee bonuses.

BLUESTONE: We have to realize that capital gains income fluctuates wildly. We should be saving and set our budget and our spending based on the more stable parts of our revenue stream.

The state had hoped to raise about $1.9 billion from capital gains this year, but analysts say that revenue will be down at least 30 percent.

This program aired on October 20, 2008. The audio for this program is not available.

Martha Bebinger Twitter Reporter
Martha Bebinger covers health care and other general assignments for WBUR.

More…

+Join the discussion
TwitterfacebookEmail

Support the news