The Private Sector Can’t Keep Bailing Out the Public Sector

Michael Wille / August 11, 2010

The House of Representatives just passed the $26 billion education “jobs” bill by a vote of 247-161.  The money will be split up with $10 billion going towards state and local workers in public education.  The other $16 billion will go to state Medicaid payments.  Speaker Nancy Pelosi had called members back from the August recess in order to pass the “emergency” piece of legislation.

The public sector has been thriving at the expense of the private sector. Over at Jay Greene’s blog, Matthew Ladner displays the chart (click on it to enlarge) put together by the Rockefeller Institute comparing the two sectors. So how much longer can the private sector continue to bail out the public sector? (more…)