• “The Connecticut Economy Is In Trouble. Deep Trouble”

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“Federal statistics released in August revealed that Connecticut went into recession much earlier than previously known and, critically, the contraction was dramatically worse. And then recovery in both output and jobs has been weak, and now appears to be weakening relative to the national pattern. Indeed, Connecticut is one of the very few states whose recovery measured in output (or household income) is still below its peak in 2007. ”Job recovery has been equally as anemic, barely recovering a quarter of the jobs lost while the quality of jobs deteriorates. ”The unavoidable outcome has been tax revenues falling below projections, driving the current state budget into a significant deficit and confronting the Governor and Legislature with billion dollar deficits in each of the next two years’ biennial budgets, to be adopted next Spring. With the state’s economy still struggling to recover, the cuts in public sector expenditure will weaken the economy further, and may even put the state back into recession….” Source: Connecticut Center for Economic Analysis

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