Thursday, November 20, 2008
Here we go again
Every time the economy is in trouble, what is the headline news? What gets splashed across the front pages and discussed in hand-wringing lead editorials?
The budgets of GOVERNMENT.
All we hear about is what can we do to make sure government doesn't have to feel the impact. And of course we are treated to an endless parade of human-interest stories about how people can possibly get by without this or that government program. It has only just begun.
So perhaps it would be wise to actually put things in perspective. The state revenue reforecast came out yesterday, and the estimate is that the state tax revenue will .....
Increase by $857 million.
Say what? Yup. It's true. That new estimate you hear all that caterwauling about is because state revenues will only go up by almost a billion. You see, in the prior forecast they thought they would have $2 billion more than last biennium, so the government class is crestfallen that some of their big spending plans might be at risk.
It's like if you thought you were getting a big raise next year, then your boss told you it would be smaller than you expected.
Clearly, this is untenable. Unless the state government has 20% increases each biennium, we are in crisis. Just ask them.