Seems that California has a $35 billion budget deficit, equal to almost 45% of the state’s entire budget. Why? It’s not because of tax cuts. It’s because lower than expected revenue, or so says the state’s Governor. The fact though remains that during the 1990’s run up in stock prices and growing economy, California, just like many other states and the federal substantially increased spending on social programs and education.
California’s the new poster child for what is fundamentally wrong with the state and federal governments and is a reflection of the real reason behind current budget deficits.
Now, with less money coming, what do we hear? Calls to increase taxes and, whether fair or not, ending those new spending programs.
Which belies the fundamental problem in state and federal government. In times of surpluses, rather than reducing overtaxation, government keeps that money, calling it surpluses. On the basis of that, these fucking dolts renew calls for even more spending, many times duplicating existing programs. But when the balloon bursts, it is those people being served by the new programs who get hurt. Props to California and props to DC for squandering our tax dollars….
California’s the new poster child for what is fundamentally wrong with the state and federal governments and is a reflection of the real reason behind current budget deficits.
Now, with less money coming, what do we hear? Calls to increase taxes and, whether fair or not, ending those new spending programs.
Which belies the fundamental problem in state and federal government. In times of surpluses, rather than reducing overtaxation, government keeps that money, calling it surpluses. On the basis of that, these fucking dolts renew calls for even more spending, many times duplicating existing programs. But when the balloon bursts, it is those people being served by the new programs who get hurt. Props to California and props to DC for squandering our tax dollars….