With the recession going deeper, the US states are struggling to keep afloat despite steep budget deficits, and looking towards the federal government for aid. The governors of five states - New York, New Jersey, Massachusetts, Ohio and Wisconsin - backed by other governors, augmented their calls for assistance on Friday, requesting a total of $1 trillion for all 50 states over a period of two years.

The governors' initiative comes as a result of National Governors Association meeting - in Philadelphia in December - with President-elect Barack Obama, in which they called for help in order to maintain services in these times of falling revenues. Though Obama said he would work towards helping states resolve their budget tribulations, he cautioned alongside that as a nation, Americans cannot just "keep on printing money."

The economic stimulus plan presented by the governors includes finances required for schools, infrastructure, public works projects, social services and tax cuts for the middle class. The governors have warned that in case the federal aid does not come, school financing and social services programs would be in great trouble.

In spite of the large amount of relief package urged by the governors, the states will still not be able to avoid much of the cuts already planned.

New York Governor David Paterson said: "Our situation is so dire that even the greatest assistance from the federal government, the one we are proposing, will still not alleviate us from the responsibility of some rather severe action."