California Defaults on $18.6 Billion Debt, Now Businesses Have to Pay

California Defaults on $18.6 Billion Debt, Now Businesses Have to Pay
The California flag in Newport Beach, Calif., on Aug. 25, 2021. John Fredricks/The Epoch Times
Travis Gillmore
Updated:
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California borrowed approximately $20 billion from the federal government to cover unemployment benefits during the pandemic, and with Gov. Gavin Newsom’s recent decision to not pay it back, employers are now saddled with the expense, according to experts.

“The state should have taken care of the loans with the COVID money it received from the government in 2021,” Marc Joffe, policy analyst at the Cato Institute—a public policy think tank headquartered in Washington, D.C.—told The Epoch Times.

Travis Gillmore
Travis Gillmore
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Travis Gillmore is an avid reader and journalism connoisseur based in Washington, D.C. covering the White House, politics, and breaking news for The Epoch Times. Contact him at [email protected]
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