Ferguson: Economic impact of this year’s Medicaid cuts: 4,000 lost jobs
Former state chief economist Mike Ferguson estimates that the $35 million in state funds cut from Medicaid this year, which with federal matching funds adds up to $100 million, had a direct impact of eliminating about 2,000 jobs in Idaho. "Those dollars are no longer circulating in the economy," he said. For economic impact, he said, "You can probably effectively double that. So basically we've taken probably somewhere equivalent to 4,000 jobs out by making those cuts."
He noted that lawmakers set the state budget for well below state economists' forecasts for revenues, essentially leaving millions on the table and forcing the cuts when the funds actually were available.