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Budget Surplus Would Never Have Materialized If Spending Increased In Line With Income


State and Local Spending

This year, the average American will work 44.6 days to pay for state and local spending resulting in the second consecutive increase in as many years. Although state and local spending declined in both 2003 and 2004, the increases in 2005 and 2006 have reverted spending as a percentage of national income back to recession levels of 2001. As such, state and local spending as a percentage of national income has increased 3.7 percent since 2000. Since its low in 1998, state and local spending as a percentage of national income is up 5.2 percent.

State & Local Spending Slightly Increases, Remains Elevated

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