Budgeting In The Wall Street Crisis
“Because 18 percent of the financial jobs in New York are emanating from Wall Street as opposed to 2 percent, which is the national average. And New York derives 20 percent of our revenues from Wall Street and the fourth quarter of the fiscal year we actually derived 30 percent of revenues from Wall Street… Right now, we are estimating that personal bonuses will be down 43 percent, which will lose us $20.7 billion and capital gains taxes are down 35 percent which will lose us $38 billion…We may need $2-2.5 billion just to close the budget deficit this year.
—Gov. David Paterson, D-NY
We have the same kinds of problems. 25 to 30 percent of our revenues generated from financial services-related kinds of activities… 275,000 jobs before the layoffs began; we’ve lost about 15,000 jobs in that process. It’s going to have a meaningful impact… What I’m really worried about is the next fiscal year.
—Gov. Jon Corzine, D-NJ