This may be a good thing. California is way over-regulated. I suppose you can only rely on other states for so long.
California puts more money into the federal system then it receives, so its the other way around. But your right, I actually hope things get worse so the state has to call a constitutional convention, there's a lot of structural problems that led to the current mess.
One might argue that extrapolation of this phenomenon would indicate that subscribing to "party-politics" is ****ing r****ded.
The California housing values are not much lower than pre-bubble inflation adjusted values. There must be other factors affecting their budget this drastically, such as increased spending, which has ballooned.
They based their revenue projections on inflated housing values. They have 2 choices: cut services or raise taxes.
High unemployment, foreclosed homes, fewer & federal tax dollars means they have lost a lot of tax dollars from property taxes, income taxes, federal assistance, as well as being forced to come up with more money to cover unemployment benefits, and other benefits to low-income families.
So what happened from about 1981 to 1993? Then again from 2001 to 2008? What thrifty party did we have in the white house?
I am more concerned about the Reagan-HWBush years. Why did we see such a massive spike in government debt during the 1980s? At least WBush and Obama have wars to account for the debt.
There was the war for Kuwait, but even that doesn't compare to Iraq or Afghanistan. WBush didn't include war spending in his debt calculations, so it could be the same as Reagan/Bush years.
the fact that Silicon valley---home of Yahoo, Google, Sun, Apple, Cisco, EBay, Symantec, Pizar, etc---was incubated in California blows your claim out of water. traitor, once again, you're just spewing rhetorics, without knowing WTF you're talking about. what else is new ? The causes of this nighmare have been a slew of revenue reductions that have hit the state since 1978, when Californians passed Proposition 13. The initiative dramatically reduced most property taxes and resulted in a 57% reduction in property tax revenue during its first year, and its effects continue. Another initative passed in 1982 abolishing the state inheritance tax. Before that, California had taken in nearly $1 billion a year in estate taxes. And there are vehicle license fees. Starting in 1998, the fees were reduced incrementally until Gov. Gray Davis raised them to close a budget gap in 2003. When Arnold came into office later that year, he immediately reversed the hike -- at a cost to state coffers of about $4 billion each year traitor, stop publicizing your ignorance !
It still doesn't make sense to me. Most of the California tax revenue is from income and sales tax. Property tax revenues are tiny part of the state budget.
