Tough times in NY: How much pain will Wall Street losses mean to New York? As much as $3.5 billion in tax revenue and 40,000 financial industry jobs according to state comptroller Thomas DiNapoli. Historically, around 20% of the state’s tax revenues were derived from financial industry companies and employees…
The job loss estimates, released in a
statement today, are up from earlier projections that 25,000 jobs would be
eliminated. Each securities job lost may result in as many as three jobs that
disappear elsewhere, the comptroller’s office said. DiNapoli’s statement came
after the U.S. House of Representatives voted against a financial-rescue plan
intended to restore confidence in the banking system.
“The volatility in the markets is creating difficulty in predicting budget
revenues and today’s vote in Washington will only increase that volatility,”
DiNapoli said.
“Given the fact that 20 percent of
New York State revenues come from Wall Street, the impact of recent events on
our finances will certainly be significant,” Paterson said in a prepared
statement.
Wall Street Woes May Cost New York $3.5 Billion – Bloomberg
Tags: Credit Crunch, Economy, New York
