Schwarzenegger: $4.4B in tax hikes to cut deficit

[Japher]

I like Arnie, but that is the dumbest idea I have ever heard. Where's he getting his economic advice? Kid? (just kidding Kid).

Seriously though, you DO NOT RAISE TAXES DURING A RECESSION. Cardinal sin.

[Kidlicious]

Originally posted by Japher
I like Arnie, but that is the dumbest idea I have ever heard. Where's he getting his economic advice? Kid? (just kidding Kid).

Seriously though, you DO NOT RAISE TAXES DURING A RECESSION. Cardinal sin.

WTF?! I would have advised him to impose a 100% tax on corporate profits!

[SlowwHand]

No wonder everything is shutting down and we're a service nation of geeks.

[OneFootInTheGrave]

Originally posted by Japher
I like Arnie, but that is the dumbest idea I have ever heard. Where's he getting his economic advice? Kid? (just kidding Kid).

Seriously though, you DO NOT RAISE TAXES DURING A RECESSION. Cardinal sin.

instead you go bankrupt, and wait for federal aid

[Kidlicious]

They'll probably go bankrupt raising taxes (and cutting spending don't forget).

[Agathon]

It's California, the most infantile place on the planet. Why is anyone surprised?

[SlowwHand]

As long as surf boards and inflatable boats are available, all is well.

[Agathon]

Californians no longer need those. Their fake breasts are sufficient flotation.

[Dinner]

Originally posted by Japher
I like Arnie, but that is the dumbest idea I have ever heard. Where's he getting his economic advice? Kid? (just kidding Kid).

Seriously though, you DO NOT RAISE TAXES DURING A RECESSION. Cardinal sin.

It's hard not to when you've maxed out your credit card and can't borrow more.

[Victor Galis]

Yes, unlike the federal government, California can't just print money and export it

[Kidlicious]

Originally posted by Victor Galis
Yes, unlike the federal government, California can't just print money and export it

That's why they need a bailout.

[Zkribbler]

Originally posted by OneFootInTheGrave


instead you go bankrupt, and wait for federal aid

Feds aren't helping. They want California to spend $8 billion/year more on healthcare for prison inmates. The contempt hearing for Arnie and the State Controller is next week.

[Colonâ„¢]

Originally posted by Japher
I like Arnie, but that is the dumbest idea I have ever heard. Where's he getting his economic advice? Kid? (just kidding Kid).

Seriously though, you DO NOT RAISE TAXES DURING A RECESSION. Cardinal sin.

Raise taxes or cut expenditures (since deficit spending isn't an option). Same net effect on the economy.

[SlowwHand]

Originally posted by Zkribbler


Feds aren't helping. They want California to spend $8 billion/year more on healthcare for prison inmates. The contempt hearing for Arnie and the State Controller is next week.

I'm not going to a word more than just acknowledge seeing it.

[KrazyHorse]

Originally posted by Japher
Seriously though, you DO NOT RAISE TAXES DURING A RECESSION. Cardinal sin.

Why not? California is basically an open economy with the rest of the US. There is no reason to believe that the state fiscal multiplier is significantly different than 0.