America wants YOU..taxpaying comrade
Think about this for a second....the following have seen their incomes implode over the past few years:
Airline Pilots and other workers,
Auto Workers and now executives getting fired
Builders, Construction workers
Bankers and Finance workers
Mortgage companies and mortgage brokers
Real Estate sales people and title company workers.....
Notice many of these people and businesses were high income earners generating huge taxes for federal and local governments. Never before have so many seen their incomes evaporate so fast.
Now government revenues are dropping off at the fastest rate in history....just at the time when their expenses are skyrocketing for the increasing number of retired people in America.
Recently, I have posted on CA because without a doubt it will be on the frontlines of this issue. Few still understand the magnitude of the problem. If CA fired all 200K of its workers it would still have a revenues shortfall.
In order for CA to be able to pay its workers, it would have to double the income tax on those tax payers who can afford to pay.....then those people would have little left to spend in the economy.
Yes, most of the above people are still spending money as they draw down their savings/,,,, so certain businesses are still reporting decent numbers....however, expect that to slow dramatically over coming months.
In the mean time, let's see what our governments will demand out of us to make up for the HUGE and growing shortfalls. Unless of course we want ot abolish social security and medicare......can you imagine the impact on our retirees and the health care system???
In the mean time, as the revenues contract, expect to see more and more of America shutting down. Yesterday, WCI and department store chain Boscov's filed for bankruptcy. Wachovia is laying off about 10,000 workers in Charlotte(a once strong housing market), Eschelon (about a $5 Billion dollar project in Vegas-more than the current annual revenues of many public builders) stopped mid-construction last Friday....as you know we could go on and on.
Remember, as these guys and many more stop generating an income and paying taxes.....at some point getting much closer.....you will be forced to pay a whole lot more...