Our governor, Jon Corzine (another Goldman Sachs genius), informed us that the current state deficit could reach $1.2 billion. The governor reported that, compared to the projections for October, revenues are off by $211 million.
Gross income tax collections were off by 14 percent, or $116 million; sales tax collections were 4 percent, or $28 million, below projections; and corporate business tax collections were off by 16 percent, or $30 million.
No shit, Sherlock.
This is what happens when a rotten-to-the-core state government tries to tax its way into prosperity and when it regulates businesses to the point where it simply makes no sense to do business in this state. Businesses flee, taking jobs with them, and people flee, unable to afford to live here, leaving fewer and fewer taxpayers to provide sustenance for the hoards of taxtakers.
The terrifying part is that the governor is not telling the entire story. As I have written before, the unfunded pension liabilities and the unfunded medical liabilities for state workers make that $1.2 billion look like a pre-teen’s allowance. (In the private sector, such unfunded liabilities would land people in jail).
That’s life … in a Blue State.