The IOU Monster Rises at a Unique Time
The Wall Street Journal’s Stu Woo had it right when he wrote yesterday, "If California resorts to IOUs, it will be the latest humiliation for the cash-strapped state." Key on the word humiliation. In my recent travels, I heard much snickering and disbelief about California’s fiscal situation.
The most intriguing thing about California’s drive to another in a long line of humbling fiscal moments is the timing. Controller John Chiang predicted that if nothing changes California would run out of money in late October.
Right before the November 2 election.
Sales Tax On Services? Again?
An
old friend is back in town, at least according
to George Skelton. He shows up every so often trying to settle in, but
after making an initial good impression, the neighbors usually politely ask him
to keep moving on.
I’m
talking about the proposal to extend the state sales tax to services, which is
apparently a tax reform being considered by the Governor’s Office.
We’ve
been through this before, most recently when the Commission on the 21st Century
Economy ("Tax Commission") began to consider reforming the tax
code to make it more stable and "fit with the state’s 21st century
economy."
Preaching To The Political Choir Is Good Business, Bad For Progress
I would love to hear some great ideas that are identical to mine.
That’s right; tell me exactly what I want to hear. Give it some oomph too. Exaggerate and bend those facts.
Now yell – show me you are passionate. Prove it to me.
You’re smart, just like me; nothing like those other idiots, who by the way, I never watch, listen or read. We are so right. I can’t wait to post this on my Facebook.
Urban Legends: Why Suburbs, Not Dense Cities, are the Future
Cross posted on NewGeography.com
The human world is
fast becoming an urban world — and according to many, the faster that
happens and the bigger the cities get, the better off we all will be.
The old suburban model, with families enjoying their own space in
detached houses, is increasingly behind us; we’re heading toward
heavier reliance on public transit, greater density, and far less
personal space.
Global cities, even colossal ones like Mumbai and
Mexico City, represent our cosmopolitan future, we’re now told; they
will be nerve centers of international commerce and technological
innovation just like the great metropolises of the past — only with
the Internet and smart phones.
According to Columbia University’s Saskia Sassen, megacities will
inevitably occupy what Vladimir Lenin called the "commanding heights"
of the global economy, though instead of making things they’ll
apparently be specializing in high-end "producer services" —
advertising, law, accounting, and so forth — for worldwide clients.
Other scholars, such as Harvard University’s Edward Glaeser, envision
universities helping to power the new "skilled city," where high wages
and social amenities attract enough talent to enable even higher-cost
urban meccas to compete.