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July 27, 2009

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It's not just overspending -- it's also the complete inability to raise revenue (and the failure of the federal stimulus bill to include substantial help for states, thanks to the "moderates" who trimmed that out of the bill). Prop 13's treatment of commercial property, which has resulted in residential property taxes bearing all the load (instead of sharing it with commercial property), which can't be fixed without 2/3 support or a ballot measure, is a key cause.

Fair point, Asa. But I remain in the camp that thinks the CA has more than enough tax revenue per capita, one if the highest levels of any state. Why would they need more per capita revenue than Florida or New York? I might buy the revenue argument if CA had lower revenues than most other states.

The battle of ideas is not won or lost in Congress, or even in elections, but in the long assessment of history. Just ask Qeng Ho

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Created by:

  • entrepreneur

Authors

  • Tim Kane
    Senior scholar at the Kauffman Foundation, former entrepreneur, and veteran Air Force officer.
  • Dane Stangler
    Research manager in the Office of the President at the Kauffman Foundation.
  • Robert Litan
    VP of Research and Policy at the Kauffman Foundation, and former White House official.
  • Brink Lindsey
    Senior scholar in Research and Policy at the Kauffman Foundation.