The Bailout Conundrum

Matt Miller, who writes about domestic policy matters with extreme smarts and clarity, analyzes the $26 billion bailout for the states that Congress passed this week. His bottom line: it’s absolutely necessary–but so is reform of the state Medicaid and pension systems, which we’re not likely to see anytime soon. Again, a Race to the Top, in which states receive money from the feds according to their willingness to reform, seems indicated here.