California rejects tax and budget measures by wide margin

Posted on May 20, 2009

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In a blowout electoral defeat, the California ballot measures heavily promoted by Gov. Arnold Schwarzenegger went down in flames yesterday by a nearly 2 to 1 margin. The only ballot initiative to pass was one which prohibited government officials from receiving a pay raise under a budget deficit, and the defeated measures dealt with shuffling tax dollars and borrowing more money to support out-of-control state spending that has resulted in a $42 billion budget deficit. Cuts in spending must now be enacted to close the gap, which is probably what should have happened in the first place when Schwarzenegger was first elected back in 2003 largely on budget and spending concerns.

Make no mistake – California voters are quite obviously outraged over the way their state government has wantonly spent their tax dollars and worked the government into severe debt. The reason this story has national implications is that California is a predictor of what can happen on a nation-wide scale as government spends and spends and exerts more control over an economy. The upheaval being felt in California right now will be echoed across America as the bill for the reckless spending of the last few months becomes due. At that time, politicians will need to have better solutions than simply raising taxes if they want to stave off voter anger.

Better yet, they should head off the problem now and exercise fiscal restraint. But we all know how likely that is.

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Posted in: News, Politics