The Golden State is not so golden anymore. California is broke. With a $20 billion dollar deficit and tax revenues down 27% from last year, Governor Schwarzenegger looks to Washington D.C. for a bail-out to rescue the state from financial ruin. Like the executive passing a beggar on a street corner, Washington looks the other way. Unemployment is statistically 12.3%, but functionally, it runs closer to 20% of the work force. Nowhere is unemployment more tragic than in the Central Valley, the fruit and vegetable producer of the world. read more »
By Richard Reep
Until recently, Florida was the king of growth, agriculture, and tourism. Growth – at 900 immigrants a day from other states – characterized Florida’s landscape for over 30 years, and growing cities were in perennial battle with agriculture up until the watershed year of 2009. As a tourist destination, Florida claimed world-class status, which once served the state just fine. Now, gasping for breath and facing financial uncertainty, Florida’s leadership frantically seeks a new silver bullet to create jobs, focusing on biomedical research. This focus is timely and important, and can truly move the state in a new direction, and the state leadership’s resolve to diversify the economy should stay strong, even with a short-term lack of results. read more »
Inrix, an industry provider of traffic information, has just published its third annual Traffic Scorecard, which ranks the nation’s 100 largest metropolitan areas based upon the intensity of their peak hour traffic congestion in 2009. The results provide further evidence of the association between higher urban population densities and more intense traffic congestion.
Los Angeles, Again: Not surprisingly, Los Angeles is again the most congested metropolitan area over 1,000,000 population. read more »
Remember that Fisher Price toy – “Baby's First Blocks”? It was supposed to teach us one of life's first lessons: Place a square shape in a square hole, and a round shape in a round hole. We're supposed to understand this idea before we learn to say our first words, or to walk. Yet in the development of our neighborhoods, we have put that square shape into every hole, no matter what the shape of that hole. read more »
From health care reform and transportation to education to the environment, the Obama administration has--from the beginning--sought to expand the power of the central state. The president's newest initiative to wrest environment, wage and benefit concessions from private companies is the latest example. But this trend of centralizing power to the federal government puts the political future of the ruling party--as well as the very nature of our federal system--in jeopardy. read more »
The Obama administration celebrated the anniversary of the passage of the American Recovery and Reinvestment Act, or economic stimulus, by pointing out the gradual recovery of the United States economy has resulted in “saving or creating two million jobs.” But young Americans continue to bear the brunt of what is still America’s worst recession since the Great Depression. read more »
There are those who believe that Sweden has a low level of unemployment. This is far from the truth. The combination of high taxes, generous government benefits and a regulated labor market has led to many Swedes to rely on handouts rather than work. The system does succeed in one thing: hiding the true unemployment. read more »
The rapid decline in public support for Democrats and President Obama represents one of the most breathtaking political collapses in modern times. Little over a year from a huge electoral triumph, President Obama’s level of support has dropped from around 65% to under 50%. The Democrats in Congress, who held as much as a 10% edge over the Republicans last spring, are actually losing a “generic” vote.
Many Republicans and conservatives may think this represents a confirmation of their values. Yet in reality, the Democratic meltdown has less to do with belated admiration for the GOP—their support as a party remains at historically low levels—than a question of a massive disconnect between the people in power and the large, middle-class majority. read more »
Free markets are out of vogue. The unfortunate lesson that policymakers have learned over the past two years is that a big, brainy government that supposedly creates jobs is superior to irrational, faceless markets that just create catastrophic errors. So Washington has seized on the financial and economic crises to enlarge its role in managing the economy—controlling the insurance giant AIG, for example, and trying to maintain high housing prices through tax credits and “mortgage modification” programs. read more »
Although I cannot imagine that it will have much appeal in the ratings beyond C-Span 2, a terrific new reality program, Euro Bomb, could be produced around the survival of the Greek economy.
The founder of both the ancient and modern Olympic games is in the midst of a debt crisis that threatens not just to send a few bondholders off the island, but has the potential to blow up the European Union’s currency zone. read more »