Cash Crunch Will Force Governments to Do Less

What recovery? This morning's Wall Street Journal is depressing:

Los Angeles Faces Threat of Insolvency (Peter Sanders writes on page A6); Foreclosures hitting the wealthy hard (Craig Karmin and James R. Hagerty write on page 1); Cash Crunch Will Force Governments to Do Less (Gerald F. Seib writes in his Capital Journal column on page A2); Jobless Claims Rise Unexpectedly (Sarah N. Lynch and Darrell A. Hughes write on page A2); and States Skip Pension Payments, Delay Day of Reckoning (Gina Chon writes on page A5).

While we can point to some hopeful signs of economic recovery in recent numbers (see my "Revenues Up? What?" post from April 7), it's clear we have a long, bumpy road ahead.