The good financial news just keeps coming
Via Eschaton – California has fiscal problems.Dec. 14 (Bloomberg) — California Governor Arnold Schwarzenegger will declare a state of fiscal emergency under never-before-used rules that would force lawmakers into a special session to address a $14 billion deficit.
Again…the silver lining is that by the end of this recession, the country will know to never ever trust “conservative” Republicans with the levers of government again.
Arnold Schwarzenegger is hardly a conservative. The lesson is this: you spend, you pay. You might not pay right away, but you always pay. It’s a lesson the DC Republicans of 2000-2006 should have known.
uhm…yeah. I wasn’t Arnold was conservative. Like all governors he is being victimized by the conservative economic policies of BushCo.
…and don’t go trying to distance yourself from Bush. You voted for him twice because…I don’t know? And you would make the same choices today..so all this…Bush is not really a conservative is just so much blah blah blah on your part.
I did vote for him twice, and knowing what I knew then and what the alternatives were, I don’t regret doing so.
Doesn’t change the fact that those Republicans spent like crazy and blew up the deficit and so did California. The problem with these situations isn’t economy, it’s government spending and mandates.
You don’t want to understand or accept that, because it doesn’t fall into your anti-Bush meme, but that is what is going on here.
And if Arnold is being victimized by anything, it’s the mandatory spending that Californians have mandated in countless ballot issues.
You might not pay right away, but you always pay.
If you really believe this then why do still believe Bush “cut taxes” when all he did was defer them?
Bush cut tax rates. Revenues rose. But they spent us into the next generation and maybe the generation after that. The revenue side of the equation isn’t the problem.
I would state the sequence like this:
1. Bush borrowed to increase spending.
2. Revenues rose.
Plain old Keynesian stimulus. Except that Keynes expected the debt to be repaid after recovery. The tax cuts only deepened the disaster.
The disaster was worsened long-term by Part D and a failure to address SS/Medicare more than anything, and there is no stimulus from that spending, because it hasn’t happened yet.
Fiscal conservatism only works when it’s happening in somebody else’s district. The Republicans simply changed the theme to “borrow and spend” instead of “tax and spend”. You can pay for it now or you can pay for it later, it just depends on which side of the class war you fall.
“I would state the sequence like this:
1. Bush borrowed to increase spending.
2. Revenues rose.
Plain old Keynesian stimulus. Except that Keynes expected the debt to be repaid after recovery. The tax cuts only deepened the disaster.”
Bingo. But Bush didn’t borrow because he’s Keynesian. He borrowed to finance the tax cuts for the elites and also to raid the treasury for big corps that produce for the military and national security sectors of the govt.
All of you forgot to mention the war…Laughable that one of you would blame “social programs” when we pissed away a trillion dollars supporting government contractors like Halliburton.
The war is why things are the way they are…no other reason.
Just as one war brought down Liberalism and gave us Nixon, this role will nail the coffin on Conservatism for decades to come.
Amen.
Dave,
Why do you refuses to admit an obvious error in judgment.
Why can’t Republican simply admit that they were wrong? It is because it would like admiting that the whole ideology is wrongheaded and unworkable.
The CBO has produced a new report discussing tax cuts and finds them unsustainable. (This article also has an interesting comparison of the repub frontrunners’ tax proposals which seem to take your parent’s tale of the Tooth Fairy as their selling model.)
For those who like pictures, this is what the train wreck looks like, especially in comparison to the programs most hated by repubs.
When was the last time the CBO actually came out with an accurate prediction?
Dave – weren’t you just front-paging a graph from CBO?
Great catch, anon. Sort of Exhibit A of how the talking points are more important than the reality. Besides which, in your front page graph, the real budgetary problem is the growth of Medicare — mirroring the ballooning healthcare costs that we all face.
But FSP has some great commenters in that thread taking them all to school on how budgets work. And it ain’t the Tax Fairy.