Monday, January 10, 2011

California Gov. Brown’s spending plan seeks to close $25.4 billion deficit

California budget to leave many displeased - MarketWatch:
"By Russ Britt, MarketWatch LOS ANGELES (MarketWatch) — With California teetering on the brink of financial ruin, Democratic Gov. Jerry Brown on Monday offered a state spending plan that he said is sure to be painful, and that is almost certain to please no one, especially not voters.

Brown is proposing spending cuts of $12.5 billion, including an 8% to 10% cut in take-home pay for most state employees, and what he called a “vast and historic” restructuring of California’s government.
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He also would eliminate tax relief for those businesses in “enterprise zones,” or depressed areas.
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Already, Brown said he has cut $7 million, or 25%, from operations of his own offices, including the elimination of the state First Lady staff."

It was only a matter of time before State Governments began the layoffs and pay cuts. But what about those "depressed" areas? Does it make any sense to tax small businesses struggling to survive in these areas out of business? Wouldn't it make more sense to encourage businesses to prosper, hire more locals and raise the area out of poverty, and collect more sales and payroll taxes from the increased profits?

We should require IQ tests before a politician is allowed to run for office. Basic math skills would help too, testing them at an eighth grader level might do wonders for our country!

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