Intro

It's time for a reality check ...

Maybe we’ve reached the point of diminishing astonishment.

But I suspect that much of what we’re hammered with every day really doesn’t make much of an impact on most of us anymore. We’ve heard the same stories too often. We’ve been exposed to the same issues for so long without any meaningful resolution. We recognize that reality is rapidly becoming malleable, primarily in the hands of whoever has the biggest microphone. How else can we explain a society where myth asserts itself as reality, based entirely how many hits it gets online?

We know that many of the “issues” as defined are pure crapola, hyped by politicians on both sides pandering to “the will of the people,” which is still more crapola. Inevitably, it’s not the will of all the people they reflect, but the will of relatively small groups of people with disproportionate political influence.

Nobody wants to face up to the realities of the issues. Nobody wants to say what’s right or wrong – even when it’s obvious and there are numbers to back it up. Most of us are afraid to bring up the realities for fear of being accused of being insensitive or downright mean.

So we say nothing. Until now.

It’s time for a reality check on the fundamentals – much of which is common knowledge to many of us, already. But it might be comforting to know you are not alone …

Tuesday, November 10, 2015

Blue-state economics …

Here in Pennsylvania we have an interesting situation:  a newly-elected liberal Democrat governor and a more conservative Republican-dominated legislature. 

Make no mistake – this has become a solid blue Democrat state in recent years.  However, outside of the two major metros anchoring the eastern and western parts of the state, the rest of the state is pretty conservative.  Democrat strategist James Carville once derided Pennsylvania as Philadelphia and Pittsburgh with Appalachia in between.

The “in between” often votes in Republicans as state legislators; the big cities and many of their  suburbs reliably vote in Democrats. 

In statewide and national elections the density of votes cast in the Philly and Pittsburgh metros – legal or bogus – increasingly outweighs the rest of the state. Sometimes the votes from these areas exceed the number of registered voters on the books but no matter.   

Voting in other parts may be different but in Philly inhabitants of vacant lots and cemeteries routinely cast ballots, and overwhelmingly for Democrats.  If you’re a Democrat and die here you want to be buried in Philly; that way you can remain politically active for years to come.   

But back to our current situation. 

Our new governor wants to hike taxes to pay for his campaign promises of more spending on education (read: bailing out the Philly schools); expanding social programs even more (read: more free stuff), repairing infrastructure (read: union jobs); and pumping more into state pensions (read: paying off public sector employees).  Oh, and he also promised to reduce property taxes. 

He’s a typical tax and spend liberal.  Practically everything he’s proposed is targeted to reward unions, public sector employees, fiscally mismanaged cities and townships, top-heavy failing school systems, and people who would rather vote for a living than work for a living.    

To pay for all this, he wants a 5% severance tax on natural gas and oil drilling, a hike of another buck on every pack of cigarettes, an increase in the personal income tax from 3.07% to 3.7%, and an increase in the 6% state sales tax to 6.6% for every place outside of Philly and Pittsburgh (Philly and Pittsburgh already have higher sales taxes) while also including more things – like professional services – subject to the sales tax. Republicans in the legislature have balked.   

Consequently we haven’t had a state budget for months.   

Republicans wanted to privatize the state-store system and get out of the liquor business – an extremely popular idea among just about everybody except the union that represents the state store workers.  Republicans also wanted to reform our out-of-control public sector pension program. They also wanted to prevent a severance tax on oil and gas drilling – one of the few growth industries for the state.

So here we are.  The governor has vetoed all the Republican plans.  The Republicans have rejected all the governor’s plans. 

But now there’s a breakthrough. The governor is putting aside the severance tax and the Republicans have tentatively agreed to increase the state sales tax to 7.25%.

Wait a minute.  The governor was asking for a sales tax increase to 6.6%.  Yet the Republicans agreed to a sales tax of 7.25%?  And that’s a good deal? 

They are still negotiating, so nothing’s final. But this alone should give you some idea of how blue-state economics work. Once the posturing is done, our taxes still go up.  

We’re all screwed.  At least, all of us who still work for a living. 

And in a blue state, that number gets smaller and smaller all the time.       

No comments:

Post a Comment