Left In Lowell

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June 13, 2009

You Get What You Pay For

by at 11:49 am.

Sigh. It seems that the same old tired arguments get brought up over and over and over again. Talking points without merit.

I heard this same exchange that Margaret did yesterday on WCAP. Guess what my response was? I shut the damn radio off rather than be frustrated listening to Shaw. And it’s not that I am not capable of listening to “the other side” regarding taxes, government, and spending, but…I hate listening to broken records.

Read Margaret’s great overview of the conversation and response. She’s right in that Teddy Panos brought up how the schools have very much cut, “innovated” and brought down costs where they could. Thanks Teddy for that. But when are these knee-jerk anti-taxers going to let reality hit them?

Look, you can’t innovate, reform, or efficiency your way to close this horrific budget gap. Pension reform is awesome, especially as it gives voters the view that the government is cleaning itself up. Transportation reform is necessary, especially fixing the funding mechanism. And we always want to be working towards better electoral reform and transparency.

But folks, the “inefficiencies” and abuses are not going to single-handedly find the magic money train. You can wring a few million here, a few tens of thousands there, by stopping elected officials from getting a whole year’s pension credit from one day of work in a year, or an MBTA worker from retiring very early but getting full bennies, or fixing whatever the scandal-du-jour happens to be. That’s fabulous, and finding these should be a constantly ongoing process.

However, the conservative view is that like, 50% of the budget (local, state, federal, whatever) is graft and waste. They never do the math or find the actual numbers, but that’s what they would like you to believe. It just isn’t so. At best, these fixes and reforms are nibbling at the edge of a budget that already, in most cases, is trying to deliver more services than funding to do them. Most government employees are paid like normal jus’-folks. Sure they have unions to help keep their wages decent and benefits better than most (and I would argue that we’d be better off if we all had that ability to advocate for ourselves, instead of trying to dismantle it for public employees, but I digress). But chronic budget shortfalls are normal in pretty much every sector, and the city is facing the loss of a lot of important services in our schools and around the city. Of course innovation, efficiencies, and reform must be found and done. No one argues against that.

But you are deluded if you think merely that will solve all our budget woes, even in a normal year. Never mind this cliff upon which we are standing. We have spent the last 20-30 years slashing taxes (mostly for the wealthy). Yes, even in this state. We are now reaping the consequences - poorer schools, universities losing excellence, services not available. Think about that the next time you are waiting in line for over an hour at the RMV.

8 Responses to “You Get What You Pay For”

  1. Anonymous Says:

    Great diary.

  2. Josh Says:

    “We have spent the last 20-30 years slashing taxes (mostly for the wealthy).”

    Honestly, what planet are you on?
    http://www.marginalrevolution.com/.a/6a00d8341c66b253ef01157062753a970b-pi

  3. Lynne Says:

    What planet are you on?

    http://www.cbpp.org/cms/index.cfm?fa=view&id=139

    http://findarticles.com/p/articles/mi_m0CYZ/is_2_32/ai_n14919401/

    http://www.truthandpolitics.org/top-rates.php

    We reduced the tax rates on the richest drastically under Reagan, because he moronically believed the supply-siders; subsequently had to bring them up a little because his budget was a mess. They went up marginally during Bush I and Clinton again because they had to. Clinton balanced the budget.

    Then under Bush they went down again.

    Similar story with corporate and Wall St taxes.

    So you tell me, where were you all that time?

  4. Mimi Says:

    Warren’s arguments would have more validity if he encouraged CM Lynch to continue trying to save money by doing things like hiring seasonal help to prepare the parks; or encourage the Superintendent’s office to pursue ways of privatizing the lunch program.

    Both of these actions were an attempt to cost savings measure without compromising the quality of service to the City.

    But as we all know CM Lynch got vilified by the majority of the City Council and well, we all know what happened to the Superintendent. The City Council competed to see who could say “1705” the most in one sentence.

    Bernie was trying to eliminate positions to bring greater efficiency rather than the old formula of last-in, first-out. And what did he get for that? Read today’s the Sun’s Column.

    So if Warren, Shawn and the rest of WCAP’s Saturday morning gang does not want additional taxes, they should begin the movement to call for privatization and regionalization. And they should begin it by influencing the City Councilors in Lowell and Selectman and Selectwoman in the adjoining towns.

    For the record, I am willing to pay the extra 2% and I will continue to go out to eat in Lowell, not N.H., not Dracut and not Chelmsford.

  5. joe from Lowell Says:

    Josh,

    Linking to a table about expenditures doesn’t address the statement “We have spent the last 20-30 years slashing taxes (mostly for the wealthy).”

    In fact, we have done both - increased expenditures while slashing taxes mostly for the wealthy.

  6. lowellgal411 Says:

    I agree with Josh. What planet are you living on?

    And I’m giving paragraphs a try for Ned who is concerned with how I stucture my reponses. Enjoy Ned.

    http://www.realclearmarkets.com/articles/2008/04/the_rich_and_their_taxes.html

    The Congressional Budget Office, a nonpartisan entity like the IRS concludes that the richest 1 percent pay an even higher real tax rate than the IRS figures—31 percent of income.

    How much more do you want them to pay? And I’m not rich. But I pay a heck of a lot in taxes. As most rich folks do. I’m squarely in the middle clas. Many low income Americans pay zero in taxes and access many more services.

    Just curious, what percentage would be enough for you? I can never understand why people feel other people’s money is their money? They worked hard for it, not anyone else. The government will just keep taking more and more. It never ends. And it doesn’t ever make it down to the people who need it most. The more money they have the larger government gets. It never means they’ll do the right thing with it.

    That’s why I’d prefer to give to charity. At least then I know its getting to the people who need it most. If government keeps taking it I won’t have any left to give to organizations that use it wisely. National government does a horrible job getting services to those that need it most. State government does a mediocre job and local government does an average job. Is that really where we want to send our money? Not me.

  7. Mr. Lynne Says:

    The article leaves a little to be desired:
    “Over 25 years, in fact, the percentage of the federal income tax bill paid by the wealthiest Americans has doubled, even as it has shrunk for all others.”

    Wish he would cite a source for that.

    John pointed out Josh’s original mistake in that looking at expenditures in isolation, one can’t actually conclude much about taxes.

    Your cite makes a similar problem. You can’t actually conclude much about income taxes by only looking at taxes and ignoring income.

    All of his citing of percentiles doesn’t really mean anything until you also look at the actual income distribution. That is, if the top 1% pays more than twice the proportion of income taxes now than in 1980, but they are also making 10% the relative income from 1980, then the whole premise as being ‘outrageous’ falls on it’s face. Conveniently, he doesn’t mention any income data… data that is very necessary to properly evaluate if ‘twice as much’ is too much.

    I’ll file this under worthless.

    The planet we come from is the planet where we like to analyze reality, not isolate chunks of data to make a partisan point.

  8. Lynne Says:

    Oh Lowellgal…sad.

    Guess you don’t like passable roads, cleared of snow in the winter, schools that are helping all of us (even the childless) by increasing our economic capacity for the future, universities that are (well, less and less these days) accessible to any student who does well enough to deserve a college education, or unemployment insurance for the time you might get laid off? Among the hundreds of other services you take part in using all the time?

    Have a nice society with that hole in the ground you stick your head in.

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