Governor Jerry Brown recently took offense with Governor Mitt Romney’s comment recently, jokingly comparing California’s economic condition to that of the debt-burdened European countries of
No Real Reforms, Prolonging CA’s Economic Problems The State of California sits poised to fall off a financial cliff with a budget deficit of almost
According to recently released data from the Internal Revenue Service (IRS) California lost $27 billion in tax revenues over the past decade due to residents
Waste Connections, one of the Sacramento region’s largest publicly traded companies, announced last week that it will be relocating its headquarters from Folsom, California to
As debt issues in Europe continue to plague the world markets, European nations teeter on complete fiscal collapse. Similarly, many U.S. states are likewise under
After a year of waiting, last week Governor Jerry Brown finally released his 12-point plan to address California’s massive unfunded pension liability. With an estimated
Democrats in Sacramento are still operating from the point of view that if government raises taxes, more revenue will ensue. If members of the majority party would simply check empirical evidence, they would see that California has gone past the point of peak revenue generation and not only will fail to generate increased revenue, but will in fact greatly hinder California’s economic recovery, causing more businesses to pull out of the state or to close their doors altogether.
Case in point: the “Amazon” tax (Assembly Bill 28x) recently passed as part of the partisan majority vote budget deal.
According to business and finance experts, due to Governor Brown’s signing of AB 28x, approved by Democrat legislators on a party-line vote, small web-based businesses’ revenue will drop by 20% to 30%. Why? As a direct result of the enactment of AB 28x, larger internet retailers, such as Amazon.com and Overstock.com, have already sent notices to over 20,000 California affiliates business terminating their contracts for advertising services.