Schwarzenegger: California Faces Insolvency within Weeks

[RedEarth]

by CalculatedRisk on 1/15/2009 01:28:00 PM
UPDATE: from the WSJ: Facing Budget Gap, Schwarzenegger Urges Lawmakers to Bridge Divide

"This disruption has stopped work on levees, schools, roads, everything," Mr. Schwarzenegger plans to say. "It has thrown thousands and thousands of people out of work at a time when our unemployment rate is rising. How could we let something like that happen? I know that everyone in this room wants to hear again the sound of construction. No one wants unemployment checks replacing paychecks."

http://www.calculatedriskblog.com/2009/01/schwarzenegger-california-faces.html

[tridim]

1. Isn't that similar to the reason why Davis was recalled and Arnie installed?

[naaman fletcher]

4. in part..

But Davis had also clearly lied about the state of the budget and what he intended to do, which I think provoked much of the anger. But, Arnie should be thrown out, too.

[tabatha]

2. Throw the bum out.

Another republican disaster.

All the money that should be in the coffers of CA are in the bank accounts of the wealthy.

[The_Casual_Observer]

3. Another fair weather asshole prop. One big ass movie illusion.

As long as he didn't have to do anything everything was great.

[bunnies]

5. I dont get it.

Didnt he just veto a budget due to the budget cuts it contained?

Has he spent all of California's money? Is that what this means? :shrug:

[FirstLight]

6. Does this mean that welfare will be IOU's...?

where does the money come from, AND what happens when it dries up?

serioulsy, I hope I am not screwn, I am having to apply for aid, too...

with all these people, cities and counties, and now STATES going Bankrupt...are we officialy in a Depression? and If so, where do we stop the bleeding if the economy has Ebola? Is there SOME way the federal reserve can reset the playing field? or do we just keep playing until we ALL have no chips left?

and who has all the chips anyway?

[Blue Meany]

10. In the Depression, a lot of towns paid their employees

with scrips that then circulated as a local currency. Some also accepted in-kind payment of taxes and used some these payments (e.g., crops and firewood) to provide relief to the poor. Even with a shortage of money, the basic economy required for survival must and will go on.

[FirstLight]

11. That may or may not be comforting...

back then, a woman could take in mending or bake for the folks down the stret in return for eggs or vegies or wood...we are going to be hard-presed to re-learn those sklls and how to barter...

Funny, we are going from an "outsourcd" economy back to a purely local one...I guess it's a god thing I know how to do a few things, being a mountain woman and all...

[Blue Meany]

12. Well, I'm an academic, but being a student of history

I've seen this coming for some years and have taken it upon myself to learn some basic skills, like gardening and food preservation. And there is already a demand for some of the skills I have developed: I am regularly asked to give workshops on building root cellars, which I have discovered are better than refigerators for short-term storage of alot of summer crops, beside being good for the typical fall storage crops.

[Sequoia]

7. We? How did WE let this happen?

It isn't we you DF it was YOU !!!!!!

[nichomachus]

8. Isn't it obvious, Arnold?

It happened because you and the other Republicans convinced people that taxes were evil and that you could run a 20th or 21st Century enterprise with 18th Century revenue.

The fucking no-tax/low-tax chickens are coming home to roost.

[Greyhound]

9. I also heard in his announcement that California is the world's 8th largest economy.

It was the 5th a mere 6 years ago.