California Squeeze

"Whoever crafted the 'Sopranos' television series of downward-spiraling family dysfunctionality must be writing the script for California's saga of upward-spiraling taxation dysfunctionality--into bankruptcy oblivion. ... With no discernable conclusion, [Sopranos] somehow just drifted off into nothingness, where California's economy may well be headed. Once the Golden State, now 'Taxifornia,' has grown addicted to the Tony Soprano formula. Its politicians, Democrats and Republicans, seem to think they can play 'Sopranos' roles in real life and get away with it. Gov. Arnold Schwarzenegger, who burst onto the scene as a low-tax, low spend terminator, was soon kidnapped by tax-and-spend Sacramento Sopranos. ... Taxifornia is a terminal thrall to tax-addicted special intersts that depend on state entitlements to survive. ... They, like Tony, apparently never had a day of economics at school or cracked a history book. ... Taxifornia is taxing a multitude of its own residents into leaving the state. It is also taxing into leaving the state a parade of significant industries (which hire employees who are consumers, and are taxed). If politicians there cannot discipline themselves (as Tony's analyst was always counseling him), discipline will be imposed upon them--ultimately at the polls. A bankrupt state is not a happy place for those politicans who cause bankruptcies to run for reelection", John Perry at newsmax.com, 8 September 2008, http://newsmax.com/john_perry/california_taxes/2008/09/08/128708.html.

My answer for the Governator, Senate Majority Leader, Gloria Romero and Assembly Speaker, Karen Bass, is: get your own Fed. Print your own money, hire your own Helicopter Ben. You know what Lenin said at a time like this, see my 28 December 2007 post. http://skepticaltexascpa.blogspot.com/2007/12/california-municipal-bonds.html. Why should anyone in California worry? Does Alfred E. Neuman worry? Remember the New York Daily News 30 October 1975 headline, "Ford to City: Drop Dead"? Will any White House incumbent let California go bankrupt? No, he will let the dollar go bankrupt through inflation. Got gold? Get more.