Will Governments Layoff Millions??????
“With sales taxes and housing fees plummeting, cities across Riverside and San Bernardino counties are trying to cover the shrinkage of their main revenue sources by laying off workers, trimming services and cutting back on extras such as travel and conferences.”
It ain't hard folks.
State and Local Governments depend on property and sales taxes for a significant part of their revenues.......and revenues are evaporating.
The new fiscal year started July 1st for many municipalities.....do you think many of our elected officials are in for a rude awakening when they realize that their grand plans simply does not have the funds to be implemented?
They can't say Alstry didn't warn em......hopefully, you have contacted you local leaders...I have.
With housing down, sales down, and incomes down.....we should not be surprised if revenues come in 20% below budget this year and maybe more next year.
The fallout will be unprecedented in job losses and government spending cutbacks.
Just as growth begets growth, contraction begets contraction until the excess is wiped out.
In this case.....we still have tens of trillions of dollars of debt to deal with.........and only a few trillion of cash to pay it off.......................uh oh.