Deficits Loom in 30 States: At least...

Deficits Loom in 30 States: At least 30 states face budget deficits because of the rising cost of services, falling tax revenues and slackening consume spending, according to surveys by the National Assn. of State Budget Officers and the Boston Globe. The deficits range from $42 million in Tennessee to $1 billion in New York. Consumers are spending less, and the less they spend, the more likely businesses are to lay off workers. State governments also have trimmed their payrolls. Job losses, by both public and private employers, are adding to state spending, as unemployed workers sign up for state benefits and more families join welfare rolls. Such layoffs have depressed states’ third major source of revenue: personal income taxes.