The Clarion-Ledger Editorial, 1/28/9

The announcement Monday of thousands of new layoffs shows the depths of the recession that appears will get worse before it gets better.

Some of the biggest national employers are slashing employees and here in Mississippi economists predict losses could hit10,000 to 15,000 in the next six months.

All of the loss of income by businesses and individuals translates into less consumer spending and business investment. That means less revenue for government.

Meanwhile, the Legislature is in the process of trying to craft a state budget in the midst of all of this uncertainty, a budget that will directly impact the lives of Mississippi citizens.

Gov. Haley Barbour already has already been forced to cut state agencies by about $200 million to offset falling revenues. Lt. Gov. Phil Bryant told The Clarion-Ledger Editorial Board on Monday that trends do not look good. Corporate income tax dropped 80 percent last quarter.