From Mish, the budget and economic perspective in one of our most beautiful states. Go West Young Man!
The only way out, they say, is to make dramatic, permanent changes. The choices that lie ahead affect not only the state budget, but the kind of place Oregon will become: What kind of schools will we have? Which criminals will go to prison? Who gets help when they need it? What kind of business climate do we want? And how much do we all pay in taxes?
“The public is going to have to understand that we will have a very different Oregon in 2020 than we did in 2010,” says John Tapogna, president of ECONorthwest, one of the state’s top economic consulting firms.
There is much more in the article including a lengthy discussion of four problems Oregon faces.
- Problem 1: Our income is shrinking
- Problem 2: We have more people in need
- Problem 3: We’ve locked up a lot of money
- Problem 4: We can’t grow our way out
These are deep, deep problems. Personal Income must grow. Budgets must work. Long term imbalances must be fixed. Higher taxes can be a partial solution, made less painful if personal income is growing. But Civil Servants must shoulder their share also. Fix Problem number 1 and the rest gets easier. To do that you must have financial intermediation in the public interest.