Friday, November 12, 2010

California : from 6th economy of the world to model of socio/economic destruction

Just over one month after the fascist Governor of California, Arnold Schwarzenegger, announced that he had, once again, solved California's ongoing budget crisis, the Legislative Analysts Office (LAO) announced new figures, showing an even-bigger crisis looming for fiscal year 2011-12. The warning from the LAO included the news that 6.1 billion dollars of the 25.4 billion shortfall will occur in the present year's budget, which ends June 30, 2011. This news prompted Schwarzenegger, who has been engaging, successfully, in the "creative destruction" of the state government, to call a special session, to begin on December 6.

The lying Schwarzenegger told reporters, "While California's economy appears to be showing signs of stabilizing, our job creation and revenues are still lagging." Arnie has repeated virtually the same phrase each year since he assumed the office of Governor -- yet revenues and job creation continue to "lag," or rather, collapse, as California is leading the way in the complete unravelling of the U.S. physical economy, which is then reflected in the decline in revenues, and increased expenses to cover the costs of those who have lost jobs, homes, health insurance, pensions, etc..

The budget "deal" which Arnie rammed through last month included expectations that there would be at least 5.4 billion dollars in federal aid for the state. In fact, Obama's so-called stimulus plan provided only 1.9 billion. It was further revealed that, as this news service correctly pointed out when the "deal" was signed, that nearly one-third of the expected revenues and "savings" which were incorporated in the new budget never materialized, thus adding to the "new" crisis.

In fact, Schwarzenegger has never, once, attempted to "solve" the budget crisis. He was put in office by senior Austrian School fascist George Shultz, for the explicit purpose of the enacting the "creative destruction" of the state government of California. Each successive budget crisis has been "solved" by more cuts, each time more draconian, and more deadly, while ripping away chunks of the protective elements of the state's social service sector. The state and local governments have, in the last year, been forced to enact savage cuts in police and fire protection, education, social welfare, infrastructure, and health care expenditures, while waiting for the "recovery" to kick in.

Thus far, newly-elected Governor Jerry Brown -- a Democrat, whose election occurred as a repudiation of Schwarzenegger -- has offered no program, or ideas, for dealing with the continued crumbling of the state

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