Skip to comments.Despite Tax Increase, California State Revenues in Freefall
Posted on 12/08/2012 7:47:45 AM PST by lowbridge
California State Controller John Chiang has announced that total state revenue for the month of November 2012 fell $806.8 million, or 10.8%, below budget.
Democrats thought they could hammer the rich by convincing voters to pass Proposition 30 to create the highest state income tax in the nation. But it now appears that high income earners have already voted with their feet by moving themselves and their businesses out of state, resulting in over $1 billion shortfall in corporate and income taxes last month and the beginning of a new financial crisis.
Passage of Proposition 30 set off euphoria and expectations of higher spending for public employees. The California Teachers Association (CTA) trumpeted: California students and working families won a clear victory today as voters clearly demonstrated their willingness to invest in our public schools and colleges and also rejected a deceptive ballot measure aimed at silencing educators, other workers and their unions.
State bureaucrats immediately ramped up deficit spending far beyond the states $6 billion annual tax increase,with the Departments of Health Services and Developmental Services increasing this months spending by over $1 billion versus last year. The lower tax collection and higher spending drove the States deficit after the tax increase to $2.7 billion for the first 5 months of this fiscal year.
(Excerpt) Read more at gopthedailydose.com ...
It is the middle class that is leaving, the productive work force. This is far more serious than the rich leaving. You can live without the rich, but no car gets anywhere without a motor.
California is in a far more serious condition than they suspect if you are right. They no longer have the workforce to recover or build anything, just the welfare people to support.
I know from my days there long ago when I lived in the High Serra's that the welfare types moved up there into vacation land in droves. The check was the same size from welfare, but the cost of living was far less than the city. Soon we had drug ghetto’s springing up where once was lumber workers and other responsible types.
Then California killed the lumber industry, followed by the mining industry and I left California for other work. The county I was in now has 40% unemployment according to my friends that hung one, but there are more people than ever.
Just now they are all on welfare, up from the cities.
From a net producer to a massive net loss of revenue to the state, it was the workers that left. The rich stayed and the dependent class grew like weeds.
Will you stop it. If you say that enough people might actually start thinking that we have a spending problem.
We need more REVENUE!!!!
Ans: What Krugman will say.
The goal is to wreck the American economy. Hopefully, permenantly.
Why Romney didn’t point to Illinois and specifically Cook County as proof of Obama’s plan I’ll never know.
Obama is bringing not only Cook County politics, but Cook County economics to the national level.
It’s stupid and we conservatives better find our Reagan, stat.
Liberals and Marxist don’t have the ability to learn from experience...in other words they are stupid and there ain’t no cure for stupid.....they just make misery...
Bookmark for later.
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