Posted on 02/28/2009 5:34:03 PM PST by reaganaut1
PROVIDENCE, R.I. — Rhode Island is in the midst of an especially grim economic meltdown, and no one can pinpoint exactly why.
The smallest state, it is saddled with some of the nation’s biggest problems: the second highest unemployment rate, at 10 percent, according to the latest federal figures; and among the highest foreclosure rates, widest budget gaps and most-vulnerable pension systems.
Rhode Island is arguably the most economically hobbled state after Michigan [...].
...
Gov. Donald L. Carcieri, a Republican, and the overwhelmingly Democratic General Assembly have often found themselves at loggerheads, with the legislature more focused on supporting social programs and Mr. Carcieri on shrinking government since he took office in 2003. Organized labor remains a powerful force, and the state’s unfunded pension liability, $7 billion, is among the worst in the country.
Mr. Carcieri has proposed a minimum retirement age of 59 for government workers and eliminating 3 percent annual increases in their pensions.
...
Mr. Carcieri does want to change the tax structure, which is generally considered uncompetitive with those of neighboring states. State leaders cringed last fall when Jack Welch, the former chairman of General Electric, said on Fox News that Rhode Island’s tax structure made it “the 48th-most-acceptable state for business.”
In fact, a study last fall by the Tax Foundation, a nonpartisan group in Washington, ranked Rhode Island’s business climate the fifth-worst in the nation.
Notwithstanding its northern neighbor’s reputation as “Taxachusetts,” Rhode Island’s top personal income tax rate is higher, 9.9 percent. The top rate in Massachusetts is about 5.3 percent, and in Connecticut, 5 percent.
Mr. Carcieri, whose spokeswoman said he was too busy to be interviewed, wants to phase out Rhode Island’s corporate tax. The rate, 9 percent, will soon be higher than in Massachusetts ...
(Excerpt) Read more at nytimes.com ...
Isn’t this fly-speck of a state the bluest of the blue?
The ultimate Blue State.
Nuff said.
Memo to Rhode Island: Lose the democrats or drop dead. Your move.
DEAR R.I. voter....the stench in your nostril is the Democrat party. Have a good day.
Isn’t it in some way related to the degree of corruption that infests every level of it’s government? Which is run by a certain political party, and has been since approximately 1935?
I can, using the author's own words.
the overwhelmingly Democratic General Assembly
Mr. Carcieri, whose spokeswoman said he was too busy to be interviewed, wants to phase out Rhode Island’s corporate tax. The rate, 9 percent, will soon be higher than in Massachusetts ...
Hunh...hard to believe they are struggling...don’t higher taxes always help???? hahahahahahaawwwwwwwwwwwww...
Gov. Carcieri is actually a good guy, but as the article says, is at odds with a dem/socialist legislature. They also have an extrodinary amount of illegals, and supposedly over half of the jobs are public sector of one sort or another.
You know, all these New England states (MA, RI, CT, NH, VT, ME) should fricking MERGE together. Why do we need a handful of states that aren’t bigger than some counties in America? I mean seriously.
I was just in Rhode Island. Worst. Roads. Ever.
And what was it in that thing... the Declaration of Independence... said something about sending multitudes of officials to eak out the substance of the colonials.
Oh, wait, can’t go around saying the stuff that’s in the Declaration of Independence or the Constitution, or quote their authors... it’s unpatriotic! [/sarc][/cynic]
They have a combined population of 14+ million, which makes them larger than any county in the United States (Los Angeles County, far and away the largest, tops out at 9 million).
The state of Massachusetts alone is larger than Alaska, Wyoming, North and South Dakota, Montana, Hawaii, and Idaho, combined.
Three words: Electoral, Votes, & Tradition.
Funny how the bluer the State, the bigger the problems. You'd think that the NYT would be able to connect those dots, since the NYT's is so quick to boast about how it is a paragon of journalism, a national cultural treasure, etc.
Rhode Island
Well, that pretty much says it all, doesn’t it?
The NYT can’t even connect the dots with respect to its own financial condition.
Hmmm........
Organized labor remains a powerful force
the tax structure, which is generally considered uncompetitive with those of neighboring states.
Jack Welch, the former chairman of General Electric, said on Fox News that Rhode Island’s tax structure made it “the 48th-most-acceptable state for business.”
the Tax Foundation, a nonpartisan group in Washington, ranked Rhode Island’s business climate the fifth-worst in the nation.
Rhode Island’s top personal income tax rate is higher, 9.9 percent. The top rate in Massachusetts is about 5.3 percent, and in Connecticut, 5 percent.
The (corporate tax)rate, 9 percent, will soon be higher than in Massachusetts ...
I think I know why
No, you need to point out the name of the state - “Rhode Island and Providence Plantations.”
Started out as a plantation, still is one. And when you set your foot on the Plantation, boy, you had best set your mind to working.
For someone else’s profit.
Jack Welch was being interviewed and explained it quite succinctly. Something to the effect that RI has the highest taxes in the country and no one in their right mind would open a business there. They would rather go to Texas where there is no income tax and a friendly business environment.
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