Posted on 01/24/2011 3:12:35 PM PST by SmithL
(And for the record, California is not the only state that had this response. Looks like the Golden State and the Lone Star state do agree on at least one thing.)
"This is a cynical proposal intended to incite a panicked response to a phony crisis," he said, comparing it to scares over killer bees and aliens. "No state wants to or would declare bankruptcy. It would severely injure the economy, local businesses, investors and taxpayers. ... and I think what will happen when Republicans in Congress realize their allies -- large insurance companies and banks that hold a lot of municipal bonds -- don't like someone talking this way, that it injuries their investments, they are going to develop less enthusiasm for it."
Lockyer, along with officials from the liberal-leaning Economic Policy Institute, told reporters this morning that California and other states don't have a debt problem, they have budget problems. They said that the bankruptcy proposal is aimed at attacking public workers and is based on false premises that states are being bankrupted by public employee pay and pensions.
"There's an empirical fallacy here -- they have confused the near-term budget shortfalls at the state levels with long term funding obligations and grossly inflated the size of the long term liabilities," Lockyer said. "States have the tools to fix budget deficits and pension liabilities without wreaking havoc on the economy."
(Excerpt) Read more at sfgate.com ...
Lockyer, along with officials from the liberal-leaning Economic Policy Institute, told reporters this morning that California and other states don't have a debt problem,Well OK, if you say so, . . .
File, restructure and move on. Simple.
I think Heather Locklear knows more than this guy.
Newt Gingrich needs to zip his lips.
In one breath he is saying he intends to run for President. In the next breath he is saying the State Political Leaders should do nothing to reduce expenses, but instead should declare bankruptcy.
Gingrich is bankrupt.
newtster has been out to lunch for some time. He’s just another talking head.
I would say it’s the guys who wrote $100 billion of debt they can’t pay that are inciting panic.
Wait. A Republican is calling for a Federal solution to State problems?
NEWT YOU LOUSY RINO!
Don’t be fooled by this. The States will simply pass the pension obligations on to the Federal government. So, the States can start misbehaving again.
States like CA, IL and NY must be paid to feel the pain for their folly!!!!!
His being out to lunch gives a bad name to the Republican Party.
Suggesting the States declare bankruptcy is not being very statesmanlike.
“”States like CA, IL and NY must be paid to feel the pain for their folly!!!!!””
I agree. Any person who has a desire to be the Republican candidate for President should have enough sense to say that CA, IL, and NY need to cut their expenses and not expect Congress let them file bankruptcy.
The Republican Candidate for President is NOT going to win CA, IL, and NY, so it does not matter if you tick them off.
This was an extremely stupid political move by Gingrich.
It is about equal to Gingrich endorsing Scozzaflova or whatever her name is.
This is the state treasurer? No wonder they are bankrupt.
No no no no no Dang it!
Let's get the entire thought out there, Marisa Lagos, Chronicle Sacramento Bureau and other propagandists :
The California legislators and Bureaucrats are still telling us all that California and other states don't have a debt problem, they all have a revenue program; i.e. they are not collecting enough taxes!
And to make th morons look even worse, if anyone suggests what they might do when the tax rates reach 100%?
THAT'S YOUR PROBLEM SUCKAHs!
They are not interested in either option. They are going to be expecting a bailout from the feds (AKA the taxpayers in the other states).
He could never win because he has a female voice.
In other words, SHUT UP, we have more bonds to sell!
And boobs.
Well then California and the other states had best get to raising their taxes, not mine because my state has neither a revenue nor a debt problem (or a democrat problem or a union problem either coincidentally). Bail yourselves out you illegal immigrant loving pot head hippie fagots.
Gingrich lost me way before that. When he was playing footsie with Fenstein, or Boxer, or some other brain-dead progressive supporting global warming panic, and greenhouse gases and greenie touchy-feelie crap costing trillions, making AL Gore rich and bankrupting the working taxpayers -- all based on "science" fraud.
He'll confiscate more of your money and send it to wealthy state employees so they can buy more Ipads.
Possibly, but I wouldn't place any money on it
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.