The ballot initiatives may have exacerbated the problem in CA but they did not cause it. Cailfornia's tax base is very narrow. Same with NYC and this trend is also evident in the Federal tax code. Anytime you have a narrow tax base, your at risk for huge swings in revenue. So in the good times the money rolls in and then in a downturn, revenues shrink more than the economy as a whole. Its a lot easier to raise spending when your flush with cash than it is to cut spending when times are tough. The CA legislature needs to learn how to say "NO" to spending. This isnt my theory. Its been written about extensively.
Californiaâs Nightmare Will Kill Obamanomics
- Thread starter Tom B
- Start date
The republicans drove the USA into the ground. It began with reagan.
RIP USA
RIP USA
They'll start taxing assets. Cars, houses, boats, scooters, roller skates, cutlery, etc.
I wonder if a State Gov.(like Arnold) can legally command the Treas. of said state to send out agents that stand by when you open your safety deposit box in a state chartered bank, and confiscate what's in it.
We might find out, and soon.
Quote from Landis82:
Are you absolutely sure about that?
I'll bet you $1,000 dollars that you are wrong and that I only have ONE screen-name on ET.
Time to put up or shut up.
Your move, pea-brain.
Isn't that about two months rent on your Oakland apartment? Every one already knows about your fake challenges. You make silly demands that others post there trade statements, yet you refuse to do the same. I think that speaks volumes on the subject. Please stop trying to be a hot shot on a message board. Your behavior is very childish. Everyone is still waiting for your trading statement. Now you want to make a phantom bet. Go stalk some one else, loser.
California has relatively high sales tax rates, but the tax base is pretty narrow considering that it only taxes 18 out of 164 possible services.
Due to Prop. 13 and low reliance on property taxes, local governments are constantly under the gun and there is an increasing reliance on personal income tax for financing the state budget.
18% of General Fund vs 48% today.
Quote from Tom B:
Isn't that about two months rent on your Oakland apartment? Every one already knows about your fake challenges. loser.
Either step up and put $1,000 into an escrow arrangement with one of the Moderators or shut your pie-hole and run away like the pussy that you are.
My guess is that you are the ultimate ET PUSSY and would never put $1,000 where your mouth is.
Your move, douche-bag.
I read that 35% of California pays income taxes.
Sales tax is 8 something.
Income tax quickly rises to close to 10 percent for 6 figure earners.
Property taxes in good schoold districts run recent home buyers around 10% of income.
CA is already hammering the working class.
The dems have been giving away freebies to make this a more democratic state for decades. They are destroying us.
This is what happened to big cities on the east coast.
As others have pointed out - this is what happens when democrats are left in control.
They hollow the system out because the tax payers flee.
Sales tax is 8 something.
Income tax quickly rises to close to 10 percent for 6 figure earners.
Property taxes in good schoold districts run recent home buyers around 10% of income.
CA is already hammering the working class.
The dems have been giving away freebies to make this a more democratic state for decades. They are destroying us.
This is what happened to big cities on the east coast.
As others have pointed out - this is what happens when democrats are left in control.
They hollow the system out because the tax payers flee.