Huge rise in debt in California since 2003

Discussion in 'Current Events' started by Wry Catcher, Nov 21, 2010.

  1. Wry Catcher
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    Wry Catcher Platinum Member

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    "Borrowing soars despite Schwarzenegger's vows" is the headline on the front page above the fold of today's San Francisco Chronicle.

    What the governor and state legislature has done is raid local governments revenue resulting in lay-offs of police officers and other essential local services.
    Bonds were passed to repair infrastructure and to pay for day-to-day state governance. Instead of reducing non-essential spending (of course, how does one define and secure agreement on what is and what is not essential?) or raising taxes - something the Republican Party absolutely refuses to consider, the state has chosen to borrow.
    Guess what people, the era of borrowing is soon to end; CA now only needs a simple majority to pass it's budget. And with it the test of whether raising taxes is sometimes a necessary and sufficient policy to restore fiscal solvency.
     
  2. boedicca
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    boedicca Uppity Water Nymph Supporting Member

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    You might want to review the changes made to public employee's pensions during Gray Davis' last term. After the Dotcom Bubble burst, tax receipts fell significantly, yet the Davis Pension Binge continued on.

    That's the problem, bub.
     
  3. Wry Catcher
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    Wry Catcher Platinum Member

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    I don't need to review it, I benefited from it. However, that was then, during the boom days of the Clinton Administration. Remember those days, when Meg Whitman and Carly Firoina earned hundreds of millions of dollars and became billionaires, home prices were at their peak and tax revenues were enormous?
    Then we got GWB, 9-11, two wars of choice and a failure to regulate. It all came crashing down under the fiscal and foreign policy blunders under GWB and the Republican controlled Congress (1995 - 2007).
    So, point your finger somewhere else, or at least be honest and stop the re-write of history so popular by those on the right.
    There is enough blame to be shared by both parties, and now we have a movement which will really fuck things up. We need less ideology - especially the tea party's simple solutions to complex problems -and a good deal more pragmatic problem solving.
     
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  4. Truthmatters
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    How I wish the sane voices on the right were not drowned out by the crazies on the right.
     
  5. del
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    del BANNED

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    so you'll be giving back part of your pension to help out, right?

    :rofl:
     
  6. boedicca
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    boedicca Uppity Water Nymph Supporting Member

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    Bush wasn't governor of California. Try again.
     
  7. boedicca
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    boedicca Uppity Water Nymph Supporting Member

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    Here's the reason for CA's deficit: Tax receipts dropped (while spending continued unabated).

    Revenue Volatility in California

    The State Legislature approved spending as though the peak of the dotcom bubble would continue forever. State spending has grown over twice the rate of inflation on a per capita basis.
     

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  8. Wry Catcher
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    Wry Catcher Platinum Member

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    \
    Gee, I didn't know that. Thanks for sharing.
     
  9. Wry Catcher
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    Of course, another simple explanation for a complex issue. You must wear the hat of the tea party.
    I know, with unemployment over 10%, and homes in foreclosure, let's cut spending. Let's lay-off 40,000 government employees (Megs 'idea').
    But, let's think a moment. What do these lazy, worthless government empoyees do? Maybe what they do is less important than how they spend their income.
    Follow me, even a tea party brain might 'get it'. So, Joan and John Johnson work for the government. Both commute together into downtown Sacramento five days a week.
    Before leaving home, they take Justin and Jain to day care, providing a single mother with income.
    Next, they stop at Pete's and each buys a cup of coffee. They then fill up at Joe's gas station, again contributing to the economy. At lunch they meet at the local restaurant and on the way home pick up groceries at the Safeway before they get their kids and head home.
    After dinner and homework Joan gets out the check book and pays the mortgage on their home, sends a check to Macy's for the kids back to school clothes and to the dentist for their recent check-up. Checks are sent to pay off the monthly bills on their Visa and Mastercard and $100 for each kid into the college account. Then it's off to bed to be ready to work the next morning and help keep the economy going.
    What happens to small business when the Johnson's are out of work? One more foreclosed home, one more family in need of aid, one more investor able to buy thier home for half its worth and turn their neighborhood into a slum lords paradise?
     
  10. Trajan
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    Trajan conscientia mille testes

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    wtf???


    no there isn't ............ oh and the TP has nothing to say that will effect anything, what power do they have? zip nada zero foir Christ sakes. find another horse to whip.


    my degree of guilt meter?

    state gov. 90%


    of that 90%-

    dems 70
    right 30

    the rest 10%.

    NO ONE forces the gov. or state leg. to pass the budget(s) they did and do. Period.The leg and gov. do, period.

    now that they can spend what they want ( but not raise taxes which they still need a 2/3s thank god), we are still in the shit.


    what on gods green earth does this have to do with the state budgets etc.?EVERYONE took a hit not everyone is on the pickle we are....
     
    Last edited: Nov 21, 2010

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