More specifically, Krugman uses this highly politicized op-ed to scold New Jersey Governor Chris Christie for an ill-tempered attack upon David Rosen, New Jersey's Legislative Budget and Finance Officer, who declared that the state faces a $1.3 billion budget shortfall. Krugman tells us how Christie labeled Rosen “the Dr. Kevorkian of the numbers,” but fails to observe what was also said by the governor:
"'This year, when [the Democrats] don’t want to cut your taxes under any circumstances, they have their handmaiden walk over across the street in front of the Assembly Budget Committee today and say...’I was wrong. I was $1.6 billion wrong for this year, but trust me for next year. You’re another $660 million short for next year.’ Why would anybody with a functioning brain believe this guy?'"
Less than civil language on the part of Christie? Sure, but who will be correct at yearend? It remains to be seen.
Krugman concludes his opinion piece by launching yet another blistering attack on Republicans:
"For the modern American right doesn’t care about deficits, and never did. All that talk about debt was just an excuse for attacking Medicare, Medicaid, Social Security and food stamps. And as for Mr. Christie, well, he’s just another fiscal phony, distinguished only by his fondness for invective."
Yeah, yeah, yeah. It's all about stealing from the poor, and has nothing whatsoever to do with balancing budgets. Democrats good, Republicans bad.
But let's have a look at an ugly reality. State governments can tax the hell out of the wealthy, but guess what will happen: Those well-to-do individuals will ultimately pack their bags and leave for some other location where the tax rates are lower. Many of you who live in California have seen this happen, as your more affluent friends and neighbors have moved to Arizona. The effect on the economy? Property values and property tax revenue fall, and those of means, who have departed the state, are no longer purchasing from local business people and merchants.
Like it or not, the states must compete to attract the wealthy. Paul Krugman pretends not to understand this. Apparently, however, there are sufficient numbers of people from New Jersey's middle class who are capable of fathoming this dilemma and made Christie governor.
Oh, Jeff, there is a problem. Actually, there are many problems. Personally, I don't mind the insanely rich leaving (I doubt this danger happens in my lifetime - I live in NYC) and going to hell.
ReplyDeleteI have a problem with Krugman, but he is right here. This society has descended into total barbarism and, frankly, I doubt it can get out without a major bloodshed. No, Jeff, a society with such disparities and utterly barbaric belief that "the rich are humans and humans only and subhumans exist to serve them and ... be disposed," can't survive. And it probably shouldn't. Again, why don't the crooks, the thieves, the monsters go to hell?