There is one simple reason why Governor Moonbeam's tax hike on the rich will bring in far less than he projects: Rich people are rich with ideas for hiding their riches in tax shelters. They are also wealthy with options for investing their wealth in other states or countries.
Of course, there is that little matter of getting voter approval. All is projection, nothing is resolution.
I cannot imagine anyone in the state of California agreeing to a sales tax hike, either. Most people in this state are not making enough as it is, and now Sacramento wants to take more?
Enough with empty hopes and dreams, Governor. It's time to cut everything. If that means less welfare for the "poor, unknown, and unemployed", then the state must cut. This country has the healthy precedent of welfare reform signed into law in 1996. Despite the raucous and racist demagoguing that mothers and children would be thrown out on the street, more people got back to work! The economy improved considerably, and the Reagan recovery continued for another decade.
The State of California Legislature must abandon rosy financial scenarios that placate the public and please the politicians. The Golden State is gilded with good will, covering a core of bankruptcy and inept accounting. Let's stop spending what we do not have and start investing in less government, more deregulation and decentralization, and resurgence of private initiative.
No comments:
Post a Comment