Tuesday, July 07, 2009

Sacramento Budget Gridlock Solutions

The Citizens for Responsible Budgets and Accountability sent me a mailer urging me to contact California Assemblymember Brian Nestande, and urging me to inform him of what the right budget decision is. The mailer proclaims in order to save California, the only choice is an either/or. Either, make oil companies pay their fair share - or - Cut another billion dollars from schools.

Typical liberal tactic. Either stick it to those greedy business owners, or stick it to our poor kids. Makes it an easy decision, doesn't it?

Problem is, Nestande is a Republican - not that it matters much, anymore. The politicians have all gone off the deep end, and have adopted liberal tactics that is destroying California's economy, and will cause the American economy to collapse.

Like most of the newer "moderate" Republicans, rather than use their common sense, Brian Nestande may have fallen for the typical political tripe being regurgitated by Sacramento, and the Democrats for years. The politicians are chasing mirages, rather than getting to the root of the problem. If Nestande joins these cockroaches of Sacramento in their quest to worsen an already broke California governmental budget, he'll be jumping on the bandwagon of a blame game against "profit," rather than recognizing the oily drudge of political rhetoric.

Business exists for profit. It is profit that drives businesses. That is the whole point of being in business. Without profit, business does not grow. Without profit, business does not offer employment, move goods and services, and will eventually go out of business (giving government another opportunity to extend a handout, and then dictate to the business what they can and can't do because the industry foolishly accepted the "with strings attached" government money). Without profit, the economy is doomed.

Yet, California hits businesses with taxes and fees (another word for taxes) while applying regulations that kills the ability to do business. As a result, businesses make less profit, which cause them to downsize, cease to do business, or leave the state - all of which takes revenue away from the State of California.

To get an economy moving, the key lies in business. Capitalism. The ability to make a buck. Business thrives when government creates a favorable environment for businesses. Increased taxes and regulations are driving businesses out of California. Increased spending on programs that are designed to regulate and control business compounds the problem.

In short, to return the economy to a prosperous, robust engine, government must encourage capitalism.

California is not suffering from a revenue problem. The population has been increasing in California rapidly, and the revenue has been going up each year. However, the spending by Sacramento has been rising faster than the revenue.

When it comes to education, the drop-out rate, and test scores, are a disaster. California spends over a hundred billion dollars on education, and only six percent of these programs have as their primary function the teaching of math, reading, or science. Private schools educate children on a much smaller budget, but garner better results. This is because it is not about how much money is spent, but "how" the money is spent.

The organization that sent me the mailer is suggesting taxing business over cutting back on wastful spending (specifically in education). This is what California has been doing all along. When will the politicians in Sacramento learn from their mistakes?

And if some non-profit organization is suggesting this madness, you can only imagine the insanity the Democrats are suggesting.

-- Political Pistachio Conservative News and Commentary

By Douglas V. Gibbs

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