Attention Southern Californians
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Posted on 11/11/2012 5:29:37 PM PST by SeekAndFind
On Tuesday voters in California went the wrong way on three propositions.
The main check on Sacramento excess has been a constitutional amendment requiring a two-thirds majority of both houses to raise taxes. Although Republicans have been in the minority for four decades, they could impose a modicum of spending restraint by blocking tax increases. If Democratic leads stick in two races where ballots are still being counted, liberals will pick up enough seats to secure a supermajority. Governor Jerry Brown then will be the only chaperone for the Liberals Gone Wild video that is Sacramento.
The high Democratic turnout in moderate and right-leaning districts helped the party pick up three seats in the senate and four in the assembly.
So now Californians will experience the joys of one-party, union-run progressive governance. Mr. Brown is urging lawmakers to demonstrate frugality and the "prudence of Joseph." As he said the other day, "we've got to make sure over the next few years that we pay our bills, we invest in the right programs, but we don't go on any spending binges." That's what all Governors say. Trouble is, merely paying the state's delinquent bills will require tens of billions in additional revenues if lawmakers don't undertake fiscal reforms.
With no GOP restraint, liberals can now raise taxes to pay for all this. [$200 billion in unfunded liabilities, the California State Teachers' Retirement System in need of $10 billion annually for the next 30 years to amortize its debt, $73 billion in outstanding bonds for capital projects and $33 billion in voter-authorized bonds, etc.]
They'll probably start by repealing Proposition 13's tax cap for commercial property. Democrats in the Assembly held hearings on the idea this spring. Then they'll try to make it easier for cities to raise taxes.
The greens want an oil severance tax. Other Democrats want to extend the sales tax to services, supposedly in return for a lower rate, but don't expect any "reform" to be revenue neutral. Look for huge union pay raises and higher pension benefits.
The silver lining here is that Americans will be able to see the modern liberal-union state in all its raw ambition. The Sacramento political class thinks it can tax and regulate the private economy endlessly without consequence. As a political experiment it all should be instructive, and at least Californians can still escape to Nevada or Idaho.
Law of the Funnel in Action
Big government and absurdly strong unions destroyed Greece and Spain. Expect no less for California.
Many large California corporations that can flee, will flee. Those stuck in California will see massive tax hikes (with many more to come) just so public unions and administrators can collect absurdly high salaries and benefits that most citizens can only dream about.
Please see the Law of the Funnel for a description as to what just happened.
Here is a headline news story that I found interesting for reasons I will explain following: Economists cut U.S. Q4 growth forecasts.
Economists expect the economy to grow at an annual rate of 1.8 percent in the current quarter, down from the previous estimate of 2.2 percent growth, according to the Philadelphia Federal Reserve's fourth-quarter survey of 39 forecasters.Given exports were recently revised up and imports revised lowered, I expected economists to think GDP would come in higher. It would have been interesting to see their reasons. Hurricane Sandy perhaps?
While that left estimates for gross domestic product for the year unchanged at 2.2 percent, growth in 2013 looked modestly weaker with economists forecasting 2 percent, down from 2.1 percent.
Over the next three quarters, growth was seen averaging 2.1 percent, down from earlier expectations of 2.2 percent.
The unemployment rate was forecast to come in lower than expected, averaging 7.9 percent in the fourth quarter from the previous estimate of 8.1 percent. The monthly unemployment rate released by the government was 7.9 percent in October.
Still, unemployment was seen stuck at 7.9 percent in the first quarter of next year, and holding at 7.8 percent in the second and third quarters.
Economists raised their forecasts for inflation this quarter with the headline consumer price index seen averaging 2.3 percent, up from earlier estimates for 2.0 percent. For the year, CPI was expected to average 1.9 percent, up from 1.8 percent.
I could roll up shop, lay off my two employees as I have enough money put away because I’m not a lazy ass sucker like all those that voted for Obama.
Oh and the rich SOB’s that I know voted for Obama, which happen to be my main clients, I’m going to stick it to them big time. Hey, my employee’s deserve 3 weeks paid vacation, holiday pay, plus for the new Muslim holidays too, sick time, personal days off so I’m laying that burden squarely on them. SNICKER!
ping
Good, should be fun to watch.
Dems in Maryland are unchallenged too but lots of Fed $$$ hides the problems.
Please ping me with any Southern California related articles. Thank you!
If you want on or off this ping list, please FReepmail me.
The CA Republican Assembly and State Senate might as well not show up if the Dems have a supermajority!
I wish Tom McClintock had run against Governor Moonbeam instead of RINO Whitman!
We had a problem with that in Indiana. The Dems in the Indiana House would go to a motel in Illinois so the legislature couldn’t pass any laws.
It was a great campaign issue, now we have Republican supermajorities in both House and Senate.
California’s demise, thread #75,921, which started about 10 years ago.
I’m fascinated that you’re living in the Philippines. Are you retired? That is my native land. I was born there 50 years ago, left when I was 10 years old, and never been back even for a visit. I never thought I’d want to go back to live there, but when my husband and I retire, though still a long shot, I’m starting to be open to the possibility. I love my adopted country which I became a citizen of 30 years ago(The USA), but I honestly don’t recognize 50% of it anymore. My husband is not Filipino so it would be totally new for him, but he’s an Air Force vet who spent a few years in Guam and I told him it’s similar to that! :)
As I recall, Californians routinely vote down sales tax and other tax hikes. Something smells fishy about the vote.
this is great news.
boycott California products
you don’t need a new cell phone every year
“How long b4 silicon valley says enough and gets the hell out of Kalifornia..”
A very long time. They are rabid leftist from the top to the bottom. Their big income now is like having some extra pocket money to spend at fancy places. They will wake up only, when their wealth is about to be taxed at a high rate. Socialism doesn’t like wealth accumulation in private hands, so the confiscation time will arrive.
How many of us are wiling to bet that $250,000 will be LOWERED soon to $100,000, then $50,000...
“The ones who are on fixed income and retirement savings have been voting Democrat for years. They are only getting what they wanted.”
A good number of them are retired unionistas. They are already thinking about to sell their properties and move to a less expensive state. Their mentality will not change, but they might end up in your neighborhood and vote the same way (Rat) as before. Greet them accordingly!
Silly. It was for THE CHILDREN. Although every dollar will go to fund teacher pensions .....
RE: you don’t need a new cell phone every year
This woman probably thinks she’ll get one every year for free.
http://www.youtube.com/watch?v=tpAOwJvTOio
Uh, she not in CA...That’s an Ohio Obama supporter...lol
Mass. passed a temporary tax increase in 1989. Still going.
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