The projected level invites another roughly 4 percent drop in state
government spending. No doubt when the Revenue Estimating Conference coughs up
its next set of numbers as early as the middle of next month, these will show
slack revenue growth behind the rate of increase in predicted spending. This
stems from problems faced by practically every state, a national economy with
the faintest of recoveries ready to slip back into recession held hostage by
national government policy that relies on government by continuing resolution
at levels locking in too high wasteful and counterproductive spending.
Understand that this is by design, courtesy of 2009-10 unified national
rule by Democrats who still hold veto power to change it. Beggaring of the
states is part of the long-term strategy of Pres. Barack Obama
in his quest to transform
the culture from an opportunity to entitlement mentality. One of the
effects of the deliberate debasement of a private sector-led economy is to
dampen state revenues, and since all but Vermont must operate balanced budgets,
the left’s goal is to force them into tax increases and thereby the acceptance
of larger government in a way to make this increase nearly permanent (as it is
trying to do at the federal level), or to have them beg for bailouts that
increases federal power over them. Either way, the aim is to defeat, at least
temporarily if not permanently, conservatism, fiscal rectitude, and alternative
power centers.