Despite Hard Times, States Nationwide Have Increased Spending

MacIver News Service | November 27, 2012

[Madison, Wisc…] What recession?

Since 2000, state governments have–on average–increased general fund spending during eight of the last 11 years.

Between 2000 and 2008, state general fund spending rose by 47 percent according to the National Association of State Budget Officers (NASBO). Following a brief downturn in ’09 and ’10, spending was back up again in 2011.

If you examine total state spending–which includes monies from general fund revenues, federal aid and other sources, state governments haven’t cut back at all during the last decade-plus.

According to NASBO, total state spending went up by 5.3 percent in 2009, 4.0 percent in 2010 and 4.1 percent in 2011.

Additionally, by adding local government spending to the equation, total outlays increased by 62 percent from 2000 to 2010.


For more information on this data, follow the link below to the Cato Institute’s annual Fiscal Policy Report Card.

2012 Fiscal Policy Report Card.pdf