"So what you are really saying is that states can't spent money on social
programs like education because they are already spending money on social
programs.  Have it got it right this time?"

States are not like the federal government.  They cannot create money out
of the air.  They actually have to live by a budget.

If social programs are continually being added or expanded, the budget has
to be adjusted.  At some point, a decision has to be made:  will the public
universities get the same percentage of the budget as last year or will it
be decreased in order to fund more head start programs, pay for the
education of illegal immigrants, increase the size of prisons, increase
welfare, and so on.  And to be fair, the states could actually move money
to infrastructure projects, but that doesn't seem to be happening.  It
seems to be all on the humans service side.

I don't think it's that hard to understand:  States cannot spend
limitlessly; they have to choose what they want to spend on and it seems
that public universities do not get the same percentage as they use to.


Of course, without looking at actual numbers, we can't tell what the true
effect is.  For example, the actual amount of money a university receives
from a state may have actually increased while the percentage of the state
budget dedicated to universities went down.  This could happen in those
cycles when state's are flush with revenue.  Similarly, the budget could
increase while the amount went down due a bad revenue cycle.


I still think that the bottom line is that public universities have
suffered super inflation due to being built on a terrible business model,
not a dramatic reduction in funding from the states.  I think the students
are paying the price for this (no pun intended) by getting buried by debt
which will cause them to become a new form of indentured servants.

J

-

We have tried spending money. We are spending more than we have ever spent
before and it does not work. I say after eight years of this Administration
we have just as much unemployment as when we started. … And an enormous
debt to boot! - Henry Morgenthau

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