It turns out that the governer of California, Arnold Schwarzenegger, is considering pay cuts that will effect about 200,000 people who work for the state. Apparently, if money is not raised soon the state of California will not be able to borrow enough money needed to keep the state solvent. State revenues have been affected by the decline in the real estate market which has hit property tax collections. California is also overly dependent upon capital gains tax revenues, which have fallen as the US economy has slowed down. Now the state legislatures are in a dead lock debating whether or not the money should be raised or saved via cuts such as the ones proposed by the governer. Reportidly, the temporary pay cuts will raise appoximatly $400 million a month if inacted.
http://www.ft.com/cms/s/0/3b13c350-59b5-11dd-90f8-000077b07658.html
Originally posted by whodeyWell, sometimes we overspend, and need to tighten our belts to get back on track. It sounds like Schwartzenegger's doing what needs to be done.
It turns out that the governer of California, Arnold Schwarzenegger, is considering pay cuts that will effect about 200,000 people who work for the state. Apparently, if money is not raised soon the state of California will not be able to borrow enough money needed to keep the state solvent. State revenues have been affected by the decline in the real estat ...[text shortened]... llion a month if inacted.
http://www.ft.com/cms/s/0/3b13c350-59b5-11dd-90f8-000077b07658.html
The socialist element of my state needs to open it's eyes to reality.
Originally posted by AThousandYoungSo you favor cutting spending over raising capital?
Well, sometimes we overspend, and need to tighten our belts to get back on track. It sounds like Schwartzenegger's doing what needs to be done.
The socialist element of my state needs to open it's eyes to reality.
I know, how about cutting spending AND raising capital? God forbid they should ever do such a thing.
Originally posted by whodeyWhat is "raising capital"? Borrowing?
So you favor cutting spending over raising capital?
I know, how about cutting spending AND raising capital? God forbid they should ever do such a thing.
I thought that we'd already decided that this isn't possible. If we can borrow money, we should, but we also need to cut spending, because clearly we cannot afford to spend what we do spend.
Originally posted by AThousandYoungThat is a good question. The article did not really get into the other side of the debate. I just assumed it meant taxing the masses more. After all, it is the Democrats answer for all our ills.
What is "raising capital"? Borrowing?
I thought that we'd already decided that this isn't possible.
Originally posted by AThousandYoungBut don't taxes negatively effect the overall economy? If so, is'nt the who endevour counterproductive?
Well, that could work, I suppose.
Also, don't you live in California? I thought the taxes there were already out of hand. Are you saying you don't mind paying higher taxes?
Originally posted by whodeyI already told you I prefer to cut costs. I don't want higher taxes. But they could solve the problem.
But don't taxes negatively effect the overall economy? If so, is'nt the who endevour counterproductive?
Also, don't you live in California? I thought the taxes there were already out of hand. Are you saying you don't mind paying higher taxes?
California is a basket case, with onerous business taxes and the highest worker's comp in the nation. I saw a survey of California small businesses which asked the question: Have you considered moving your business out of state? Fully 100% said yes! The Governator thought he could reign in the state employees unions, but they told him otherwise. Hopefully, the next governor will be able to do something about this.
Originally posted by der schwarze RitterDid the unions step in and limit Schwarzenegger's move? Do you have a link? I'd like to read about it.
California is a basket case, with onerous business taxes and the highest worker's comp in the nation. I saw a survey of California small businesses which asked the question: Have you considered moving your business out of state? Fully 100% said yes! The Governator thought he could reign in the state employees unions, but they told him otherwise. Hopefully, the next governor will be able to do something about this.
Originally posted by der schwarze RitterI think you are being a bit harsh on the liberal run state of California. I just think they ran into a bit of bad luck here of late.....that and the energy crisis they had a while back. In fact, I think they deserve a chance to run the country for a change. 😉
California is a basket case, with onerous business taxes and the highest worker's comp in the nation. I saw a survey of California small businesses which asked the question: Have you considered moving your business out of state? Fully 100% said yes! The Governator thought he could reign in the state employees unions, but they told him otherwise. Hopefully, the next governor will be able to do something about this.
Originally posted by der schwarze RitterYet somehow we're still #1 in the Union.
California is a basket case, with onerous business taxes and the highest worker's comp in the nation. I saw a survey of California small businesses which asked the question: Have you considered moving your business out of state? Fully 100% said yes! The Governator thought he could reign in the state employees unions, but they told him otherwise. Hopefully, the next governor will be able to do something about this.
