State governments may be expanding wealth gap

Published



JEFFERSON CITY, Mo. (AP) — Lawmakers in many states have been trying to boost their post-recession economies by cutting income taxes, curbing aid to the long-term jobless or holding down the minimum wage. Some have pursued all of these steps.

Whether such policies will spur businesses to expand as hoped isn’t yet clear. But collectively, the actions could ease the financial burden for the states’ most affluent residents while reducing the safety net for those at the bottom.

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