California’s Bankrupt Tax System

If you run a business, you need to turn a profit in order to stay in business. If you have a non-profit, your revenues and expenses need to balance. But if you’re the Federal Government, you can have a deficit: you just print more money. Not the State of California, though; under California’s constitution, budget deficit’s aren’t allowed (laugh).

Of course, if you live here you know of our budget deficits, and the borrowing that has allowed “balanced” budgets. Now the Legislative Analyst has issued a report, Revenue Volatility in California, that California’s tax system is a mess.

Any bets on the Democratic legislature paying attention to the report?

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