Texas’ Wall Street Showdown Costing Cities Hundreds of Millions
- Finding is from research paper studying 8 months of issuance
- GOP law knocked BofA, Goldman out of market over gun stances
Pistols at the Wilson Combat booth during the National Rifle Association (NRA) annual convention in Houston, Texas.
Photographer: Mark Felix/BloombergThis article is for subscribers only.
Texas taxpayers are footing the bill for the state’s war with Wall Street over guns.
The state’s municipal borrowers have been hit with as much as $532 million of extra debt costs because of a new GOP law that’s led some banks to step back from Texas’s bond market. That’s the conclusion of a new paper by Daniel Garrett, a University of Pennsylvania professor, and Ivan Ivanov, a principal economist at the Federal Reserve.