California, Other States Mull Service Cuts, Tax Increases

Declines in revenue and mounting budget deficits are forcing many states to consider service cuts and tax increases. California lawmakers are debating a 1.5-cent sales tax increase to address the state's record budget shortfall.

• "Facing Deficits, States Get Out Sharper Knifes" (Steinhauer, New York Times, 11/17).