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The Fed: Why Federal Spending Soared in 2020 but State and Local Spending Flatlined – Investment Watch


In the wake of the Covid Recession and the drive to pour ever larger amounts of “stimulus” into the US economy, the Federal Government in 2020 spent more than double as a percentage of all government spending of what all state and local governments spent in 2020, combined.
By the end of 2020, the US’s federal government was spending 68 percent of all government spending in America, while state and local governments spent only 31 percent of all government spending.
This was a sizable change from the decade leading up to 2020 when the federal government’s share of all government spending tended to hover around 60 percent, while state and local spending remained close to 40 percent. ....

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