Here is yet another article on the demise of the 3rd world loony bin called clownifornia. I put down a quick synopsis on Mish's post on the Caifornia budget mess amd what CA will do about it. Here is the repost:
The current CA budget fiscal meltdown is really another ho hum event. I've seen this
go on most of past decade. Here is a quick synopis of what will happen:
They will just pass the problem down the road, pass an emergency bond measure or steal from one fund to bolster the general fund. Too many folks in the CA
gov't cookie jar and they do scream loud if they are not funded. This
dog and pony show has been going on most of last decade. When a budget
crisis hits the CA Gov't always manages to sleaze out of the problem
with some sort of accounting trick/temp band aid fix. Never deal with
the problem now, put it off or kick it down the road. Ca will never make
truly deep cuts in those social welfare safety net programs or Gov't
employee pensions. They will manage to conjure up additional funds by
hook or crook, ether thru more taxation increases or emergency short-
term borrowing . The really desperate move is going hat in hand to the
fed and asking for a 7 billion handout from POTUS. Good luck with that.
We already have the highest taxes in the nation on everthing. Sales taxes approach 10%. State personal incomes taxes are way up. Gasoline is taxed to the hilt, ect.
There will be attempts to raise even more taxes and the general screaming,scare tactics and threats to cut off social programs are just a way to scare the CA public into consenting to more taxes. The state employee unions will not allow any more cuts in their bloated salaries or any more forlough days.
California's solution to the budget mess is to tax anything that moves, crawls or breathes.
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