-------------------------
Via Workers World News Service
Reprinted from the Dec. 5, 2002
issue of Workers World newspaper
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STATE BUDGETS IN CRISIS AS WAR LOOMS

By Sharon Black
Baltimore

If the recent elections were not an utter sham, there would 
have been an honest and open debate about the devastating 
genocidal war about to be launched against Iraq and the 
growing layoffs of U.S. workers as capitalist recession 
continues.

The crisis of state budgets and what it means for 
communities and workers would have also been at the top of 
the list of issues to consider.

Forty-five states have already begun to feel the impact of 
budget deficits. Many analysts say that the past and coming 
year are the worst in history. The $40 billion shortage in 
state budgets this year is expected to rise to $50 billion 
next year, according to the Center on Budget and Policy 
Priorities.

These are rather dry statistics. What they will mean in 
human terms is that tens of thousands of workers who are 
already paid too little and worked too hard will lose their 
jobs. Others will lose pensions and health benefits.

Communities will feel the pain of cuts to already-too-meager 
programs. Health care, education, housing, drug 
rehabilitation and food programs will all be on the chopping 
block.

The planned Pentagon war against Iraq could pay for the 
state budget crisis. Conservative estimates from the Wall 
Street Journal have placed the cost of the war at $200 
billion.

This does not include the cost of any kind of prolonged 
military occupation. Yale economist William Nordhaus 
estimates that the total cost of the Iraq war could climb as 
high as $1.9 trillion if all factors are included in the 
calculations. Not a penny will come from the pockets of the 
oil companies.

Where are the headlines about this, or about the 
consequences to the vast majority of workers whose programs 
such as Social Security and Medicare will surely be looted?

The Pentagon budget--which will top $500 billion in the year 
2007 if trends continue--makes these sums look paltry. This 
is a form of robbery. It is a transfer of wealth from the 
working class to maintain an imperialist empire on behalf of 
the banks, oil companies and big business.

There is a direct link between the state budget cuts and 
misery here at home and the imperialist war.

Union, community and political leaders will be joining other 
anti-war activists in Washington, D.C., on Jan. 18 for a 
grassroots peace congress to demand money for jobs, health 
care, housing and education, not for military aggression 
against Iraq.

'FIGHT BACK!'

On Nov. 21, several hundred state workers from AFSCME 
Council 92 joined with members of the Coalition to Overturn 
the Budget Cuts and Alliance to Invest in Maryland to pack a 
state legislative hearing and testify against cuts to 
services, jobs and benefits.

Maryland's budget deficit is $1.8 billion. The state's share 
of the cost of the Iraq war would be more than double its 
deficit.

Gov. Parris Glendenning has announced a plan to balance an 
immediate shortage of $600 million. He is proposing 4.9-
percent cuts to most services, wages and health-care plans 
of workers. Programs such as mental health and drug 
rehabilitation would see their budgets cut sharply along 
with many others.

These cuts are just the first wave. What will follow will be 
more like a tidal wave when the entire deficit has to be 
addressed in the early part of 2003.

Workers and community activists are preparing. In 1991, the 
Coalition to Overturn the Budget Cuts and AFSCME began a 
protracted fight, first by occupying the governor's office 
where leaders of the group were arrested, and later 
culminating in a march of 10,000 workers in Annapolis.

Activists are going back to the drawing board to make plans 
for this year--not only to fight the budget cuts but also to 
stop the war. n

- END -

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