Bailing Out the States Is Smart Economics

Senate Republicans are beginning to question the need for more economic relief to battle the coronavirus recession, with top leaders saying that the issue won’t be taken up again until late July. One reason is that the economy is showing signs of improving. Unemployment, though still enormous, has begun to fall:

Another reason is concern about the rising federal debt, which is now higher as a share of gross domestic product than it was during World War II. Although President Donald Trump’s re-election bid gives Republicans a reason not to be hawkish on the deficit, many may simply balk at this level of borrowing. It seems as if the Republicans are going to simply wait and see how the economy is doing in June before providing more relief efforts.