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Massachusetts Faces Possible Recession Amid Budget Cuts

10/17/2025

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Summary

Story summary

Massachusetts could face a recession by late 2026, per finance professor Mark Williams, due to federal spending cuts and tax changes.
The state could lose about $3.7 billion over three years, hurting healthcare and education.
Governor Maura Healey vetoed $130 million in line-item spending and withheld $125 million.
Experts warn budget projections may be optimistic due to volatile capital gains tax.

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Story summary

Massachusetts could face a recession by late 2026, per finance professor Mark Williams, due to federal spending cuts and tax changes.
The state could lose about $3.7 billion over three years, hurting healthcare and education.
Governor Maura Healey vetoed $130 million in line-item spending and withheld $125 million.
Experts warn budget projections may be optimistic due to volatile capital gains tax.