Loose Fed Priorities Over-Taxing Locals

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The problem with our state budget shortfalls is loose fiscal policy, not insufficient revenue according to the Beloit Daily News. This idea must come from the voodoo economics class of the GOP Club for Growth College.

BDN Editorial Excerpt:
AND SO IT continues. Just as Wisconsin is faced by a budget challenge - estimated as a $650 million gap between revenues and spending next year - so it is with Illinois, impacted by an even larger gap of $750 million or more in its state budget.

AND SO IT GOES. The $500 billion wasted in the War on Iraq would have covered the budget shortfall for a state like Wisconsin for the next 769 years!!! Some might say I’m off topic or confusing the issues. But I see a direct correlation between Fed tax-cuts and the shifting of Federal dollars away from domestic venues to our declining economy. The double-whammy economic booster the tax-cuts ushered in after 9/11 was only a short-term patch. They’re still in effect now and of completely no use. That is why the tax cuts given to the wealthiest must be rolled-back and additional tax cuts and breaks must begin from the bottom up. The locals cannot cover for the shortfalls.

BDN Editorial Excerpt:
Only by engaging in fund-shifting and disreputable accounting practices can the politicians claim to have reached balance.

Yeah, we can say that and it doesn't sound too good but the funny thing here is, states have to balance, and without owning a money printing machine.

Universally the economy has tanked, not just in Illinois or Wisconsin, but the all encompassing Federal economy. Why else would some form of a stimulus plan come from Washington? The Fed tax cuts, the Fed stimulus plan, the Fed dollars shifted away from the domestic side and the Fed interest rates are all intertwined. It's Fed, Fed, Fed, Fed, Fed.

It does not matter who says it, when or why, but when Washington politicians (Federal) pass another tax cut, they automatically increase our local tax burden. Their promised tax cut policy to get elected becomes our local, state and property tax hikes to make up the difference. Guaranteed - with a democratic governor or not.