McClatchy wants us to be alarmed that Obama's budget plan would move the federal government's share of the economy from 20.9 percent today to 22.2 percent in 2024–a trivial redistribution of what is expected to be a much larger economic pie.
Yesterday New York Times labor reporter Steven Greenhouse (6/16/11) reported on efforts in several states to get public-sector workers to increase contributions to state pension funds–or, to put it more bluntly, to take a pay cut. Political leaders are claiming this is simply the only thing they can do–and Greenhouse helps them make their case. Right from the start, Greenhouse frames the political shift as "the most definitive sign yet that the era of generous compensation for public-sector employees is ending." Many studies have shown that public sector compensation isn't actually all that generous, and such workers might lag slightly […]