California Governor Jerry Brown Proposes Spending Cuts

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In summary, California Governor Jerry Brown has proposed deep cuts to spending and tax hikes, all in an effort to balance the state's budget. If these cuts and hikes are approved by the legislature, it will mean that the state's pensions will be spared, but many other programs and services will be reduced.
  • #71
WhoWee said:
I have to wonder if this is the best use of these funds in the Central Valley - as compared to a re-investment into agriculture (water) perhaps?

http://www.constructiondigital.com/sectors/civil-engineering/california-benefits-rejected-arra-funding-high-speed-rail [Broken]

This is a common problem that in hindsight, we see Japan engaged in; runaway construction which ends in economic collapse. I doubt that this is so simple, but China's central pathology would be: the need to catch up at virtually any cost. Often, this leads to ambitious projects for the sake of ambition, or infrastructure that is poorly planned.

China is enjoying vast growth now, but it hasn't found anything like a sustainable model for it yet. China also has to be concerned about political and social stability on a scale that is truly daunting, and which is now tied directly to 'Chinese Prosperity'. Real or not, the fear in Beijing is that a faltering economy would equal faltering control; above all the maintenance of central control is at the heart of Chinese government ambition... this often conflicts with an increasingly profit-minded military.
 
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  • #72
It's hard to imagine that environmental groups won't be outraged over the train project - driving the costs even higher.
 
  • #73
Marketing?

http://a6.sphotos.ak.fbcdn.net/hphotos-ak-ash4/382822_2052509963480_1566452468_31550637_1799001446_n.jpg [Broken]
 
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  • #74
The nation's smartest most modern state has found a way handle money... they have 49 other states to pay the bills. To California, "Just Say NO". At some point, the states need to learn financial responsibility. Don't build, buy, or promise what you can't pay for without using creative accounting. Make everyone pay some tax, so they will care about what the state promises and the cost to THEM. If CA were a company, the entire government would get life behind bars. They make Bernie Madoff look good.
 
  • #75
Lulz, my European penpals would call this austerity...

Austerity=Screw the People
 
  • #76
ThinkToday said:
The nation's smartest most modern state has found a way handle money... they have 49 other states to pay the bills. To California, "Just Say NO". At some point, the states need to learn financial responsibility. Don't build, buy, or promise what you can't pay for without using creative accounting. Make everyone pay some tax, so they will care about what the state promises and the cost to THEM. If CA were a company, the entire government would get life behind bars. They make Bernie Madoff look good.

One of the major problems I think with California was in allowing the public-sector workers in the state to unionize (the Dill Act signed by Governor Jerry Brown in the late 1970s). This gave the Democratic party and the political left a lock on the state government, but put most of them at the mercy of the government unions. A lot of the Democratic party politicians in the state legislature who might otherwise be open to some spending cuts can't be because the unions will get them voted out of office.

grendle7 said:
Lulz, my European penpals would call this austerity...

Austerity=Screw the People

That depends on what's being cut. If you are cutting an elderly or sick person's source of income, then sure, but if you are scaling back a generous social-welfare state, not really.
 
  • #77
CAC1001 said:
One of the major problems I think with California was in allowing the public-sector workers in the state to unionize (the Dill Act signed by Governor Jerry Brown in the late 1970s).
From a practical standpoint that seems to be the case. But disallowing unionization does seem to go against the American ideal ... "of, by and for the people". That is, disallowing unionization by any group would seem to, eventually, give undue power to the tiny minority of individuals in the populace that are already in positions of power.

I agree with grendle7 that austerity measures are usually applied to people who can least afford to be ... austeritized (I don't know it that's an accepted term.)

But the thing is that if austerity measures are necessary, and imminent, then it seems rather unlikely to me that the people who are running things will apply those measures to themselves.

Thus, the likely scenario, imho, is that aid programs for the poor, elderly, and infirm will be cut, while corporate welfare might actually increase.

This will not, imho, necessarily help any country in general (and might even, in general, hurt a country), but it will, necessarily, help those who run it. Just my opinion.
 
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  • #78
ThomasT said:
From a practical standpoint that seems to be the case. But disallowing unionization does seem to go against the American ideal ... "of, by and for the people". That is, disallowing unionization by any group would seem to, eventually, give undue power to the tiny minority of individuals in the populace that are already in positions of power.

I agree with grendle7 that austerity measures are usually applied to people who can least afford to be ... austeritized (I don't know it that's an accepted term.)

But the thing is that if austerity measures are necessary, and imminent, then it seems rather unlikely to me that the people who are running things will apply those measures to themselves.

Thus, the likely scenario, imho, is that aid programs for the poor, elderly, and infirm will be cut, while corporate welfare might actually increase.

This will not, imho, necessarily help any country in general (and might even, in general, hurt a country), but it will, necessarily, help those who run it. Just my opinion.

Hey, Thomas.

The accepted word is "getting cuts," according to my Euro penpals. Still, I'll consider writing a letter to Merriam-Webster Inc. that the adjective "austerized" is on the prowl! [lulz]

And, like you mentioned in your last short-paragraph, it could have its bad consequences. If we take a look at Europe, in general, austerity hasn't provided any growth/help. Look at Greece, Italy, Romania, Latvia, Spain, Portugal, Ireland, Iceland, France, Netherlands, and England. It has actually screwed the people over, in my opinion; actually increased the national debts, of these nations; aided in bailing out high/elite corporate institutions; and has, however, toned down the speed of the Euro falling into a pit of death.

Then again, It's quite fallible to compare the possible impacts of austerity between a European country and the state of California. Both are two very different entities.
 
  • #79
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  • #80
ThomasT said:
From a practical standpoint that seems to be the case. But disallowing unionization does seem to go against the American ideal ... "of, by and for the people". That is, disallowing unionization by any group would seem to, eventually, give undue power to the tiny minority of individuals in the populace that are already in positions of power.

I don't think public worker unions should be abolished. But the problem is, when it comes time to negotiate a contract, who is representing the taxpayers if the person across the table from the Union rep is a Democrat? Dems are strongly supported by unions.

Now, I nearly always vote Dem. But still, I see this as a conflict of interest.

I think it would be more appropriate to assign a non-partisan commission to negotiate with public sector unions.
 
  • #81
First, guys, note the age of the thread...

grendle7 said:
And, like you mentioned in your last short-paragraph, it could have its bad consequences. If we take a look at Europe, in general, austerity hasn't provided any growth/help.
Austerity is not done for the purpose of providing growth or "help" if by that you mean help to people who are hurt by the economic downturn. Austerity is strictly there to prevent the country from going bankrupt, which would then make the downturn worse, hurting more.
Austerity=Screw the People
And does no one get screwed when social programs are paid for with borrowed money?
 
  • #82
russ_watters said:
First, guys, note the age of the thread...
Noted. But the general issues are still relevant. Aren't they?

russ_watters said:
Austerity is not done for the purpose of providing growth or "help" if by that you mean help to people who are hurt by the economic downturn. Austerity is strictly there to prevent the country from going bankrupt, which would then make the downturn worse, hurting more.
Is there any imminent threat of that wrt the US?

russ_watters said:
And does no one get screwed when social programs are paid for with borrowed money?
As far as I'm aware, paying for things with borrowed money is the norm. Who gets screwed when social programs are paid for with borrowed money? Who gets screwed when the federal budget isn't balanced? As far as I can tell, nobody ... necessarily. It's just that as long as the US government operates with budget deficits, then the longer it will take to pay off the national debt. Presumably, the US can continue to operate with budget deficits and increasing debt ... pretty much indefinitely. Why not? What am I missing?
 
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  • #83
ThomasT said:
Presumably, the US can continue to operate with budget deficits and increasing debt ... pretty much indefinitely. Why not? What am I missing?

Because at some point people will stop loaning money to the government - or at least demand higher interest rates to do this.

If 10-year Treasuries were at their 1981 historic highs and not their 2012 historic lows, interest on the debt would be approximately where total government spending is today. Even with today's low interest rates, interest on the national debt is about half of the total revenues from individual income tax. Both the left and right should be able to agree that this money could be put to better use.
 
<h2>1. What is the purpose of California Governor Jerry Brown's proposed spending cuts?</h2><p>The purpose of Governor Jerry Brown's proposed spending cuts is to reduce the state's budget deficit and address the ongoing financial challenges faced by California.</p><h2>2. How much money does Governor Jerry Brown plan to cut from the state budget?</h2><p>Governor Jerry Brown has proposed cutting $5 billion from the state budget, which includes reductions in spending for various programs and services.</p><h2>3. Which programs and services are expected to be affected by the proposed spending cuts?</h2><p>The proposed spending cuts are expected to affect a wide range of programs and services, including education, healthcare, social services, and environmental protection.</p><h2>4. How will these spending cuts impact the people of California?</h2><p>The spending cuts are likely to have a significant impact on the people of California, as they may result in reduced access to essential services and potentially lead to job losses in certain industries.</p><h2>5. What other measures is Governor Jerry Brown considering to address the state's budget deficit?</h2><p>In addition to the proposed spending cuts, Governor Jerry Brown is also considering other measures such as tax increases and borrowing from special funds to help address the state's budget deficit.</p>

1. What is the purpose of California Governor Jerry Brown's proposed spending cuts?

The purpose of Governor Jerry Brown's proposed spending cuts is to reduce the state's budget deficit and address the ongoing financial challenges faced by California.

2. How much money does Governor Jerry Brown plan to cut from the state budget?

Governor Jerry Brown has proposed cutting $5 billion from the state budget, which includes reductions in spending for various programs and services.

3. Which programs and services are expected to be affected by the proposed spending cuts?

The proposed spending cuts are expected to affect a wide range of programs and services, including education, healthcare, social services, and environmental protection.

4. How will these spending cuts impact the people of California?

The spending cuts are likely to have a significant impact on the people of California, as they may result in reduced access to essential services and potentially lead to job losses in certain industries.

5. What other measures is Governor Jerry Brown considering to address the state's budget deficit?

In addition to the proposed spending cuts, Governor Jerry Brown is also considering other measures such as tax increases and borrowing from special funds to help address the state's budget deficit.

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