by Rachel Alexander
Senate Majority Leader Mitch McConnell (R-KY) touched a nerve recently by suggesting mismanaged blue states shouldn’t be bailed out by the federal government; they should be forced to file bankruptcy instead. President Trump tweeted, “Why should the people and taxpayers of America be bailing out poorly run states (like Illinois, as example) and cities, in all cases Democrat run and managed, when most of the other states are not looking for bailout help? I am open to discussing anything, but just asking?”
Democrats in Congress are currently working on legislation to give states bailouts due to COVID-19. Democrats claim that in general, their blue states give more to the federal government than they take back from it, in contrast to red states. So they feel entitled to bailouts.
Now it’s true that the average taxpayer in blue states pays a higher per capita income tax than the average taxpayer in red states. But that’s because those states — particularly Connecticut, Massachusetts, New Jersey, New York and California — have more rich people. Don’t the Democrats want the rich paying their fair share?
As for blue states allegedly getting back less, what numbers are they looking at? It is true that red states receive 35.75 percent on average of their budgets from the federal government, while blue states receive 30.80 percent. But this is because the blue states’ budgets are far larger due to all the bloat and waste. The 10 states in the best fiscal condition are almost all red states. The 10 states with the worst numbers in the red are almost all blue states.
The higher the taxes, the more mismanaged a state is. CNBC examined the infrastructure of every state — roads, airports, water systems and ports — and found that the places with the worst-rated infrastructure are six Democratic states, which also rank among the highest in taxes collected per resident: Connecticut, Hawaii, Maryland, Massachusetts, New Jersey, and New York.
Steven Malanga at City Journal looked at airports as an example of how blue states mismanage money. He found that three of the worst airports, all located in NYC, are run by a port authority that has “enormous taxing power in the form of fees, tolls, fares, and rents that it collects everywhere from bridge and tunnel crossings to the airports themselves.” The authority uses this to “to subsidize lavish salaries and benefits for workers and politically favored, but super-costly, money-losing building projects.”
The Tax Foundation’s State Business Tax Climate Index analyzes how well states structure their tax systems. As expected, the poorest performing states are generally the highest taxed states.
Kyle Sammin at The Federalist found that if you look at the amount of money the federal government gives to states on a per capita basis instead, blue states get more; $2,124 per resident. Red states receive just $1,879 on average.
Matt Palumbo writing at The Dan Bongino Show found that even if red states receive more in federal welfare, it’s not going to Republicans. Those on public assistance, as well as long-term unemployment, are overwhelmingly Democrats.
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To try and rectify some of the disparity, Congress passed the Tax Cuts and Jobs Act (TCJA) in 2017. It put a cap of $10,000 on state and local tax deductions (SALT). Without it, rich people in blue states that had bloated, wasteful, high state and local taxes were able to deduct those ridiculously huge tax numbers from their federal taxes, resulting in those states sending far less money to the federal government.
It was very unfair to taxpayers living in sensible states without bloated taxes, who didn’t get the huge deductions. Adam Michel at The Heritage Foundation observed, it “forces people in lower-tax states to subsidize more expensive governments elsewhere.” He provided an example, “The average millionaire living in New York or California deducted more than $450,000 worth of state and local taxes; the average millionaire in Texas deducted only $50,000 and therefore paid close to $180,000 more per year in federal taxes.”
So basically the reason the Democrats are protesting the SALT cap is to help rich Democrats in blue states avoid the consequences of their states’ wasteful spending. Does this surprise anyone? Democrats always say they’re for the poor, but their actions show they favor the rich. The only time they care to throw taxpayers’ money at the poor is if they think it will get the poor to vote for Democrats.
A lot of the blue states were already in fiscal trouble before COVID-19. Bailing them out also bails out their irresponsible policies. Yes, it’s unfair that a lot of people who are fiscally responsible in those states are going to be hurt without a bailout, including Republicans. But where does the buck stop? I didn’t like the liberal policies of my home state, Washington, so I moved to Arizona in my mid-20s.
The goal of the Democrat Party, the “Blue” is to take complete control of the country and not allow any other parties to compete or even exist.
This is actual tyranny.
They own the media and thus seed the idea they “policies” are good, and GOP policies are not.
Looking at numbers, the opposite is usually true, and also there is no clear “winner” in many cases as well. It’s a compromise…you know, democracy.
In our democratically processed Constitutional Republic, we all get to share our voice and opinion, and there is no “majority rule.” That’s a form of tyranny. Democrats are trying to take this away.
Democrats and their cult push the notion they are some kind of super majority, which they are not.
If I had Joy Behar say “Trump was good. I love Trump.” People like greg and michael would love Trump overnight.
They don’t have any ideas or integrity. They have conformity. That’s it.
Democrats/the deep state have started a civil war because they are trying to take over the government and simply replace it with a good old fashioned autocracy. The twist here is they make sure there is no obvious “leader” so no one has a clear focus for their ire. Biden was installed because no one believes he’s in power, and everyone knows it’s others pulling the strings…but they remain anonymous, for the most part.
Putin calling their bluff shows they don’t know what they are doing as much as we thought they did.
Global war is breaking out because Euro-funded and installed dictators have destroyed the West.
A strong piece of real America will survive, but those casting their lot with atheist groomers will find their ideologies cannot sustain a civilization. The United States of LGBT will be like East Germany was: poor, controlled, and destitute.
To use a tool from your own toolbox: “Town Hall? Biased. Dismissed.”
Hush, child. These are serious matters we’re chatting about.
You disqualified yourself from being taken seriously months ago.
“You disqualified yourself from being taken seriously months ago.”
So says the religious fanatic/conspiracy theorist.
Saaaaaay… where have we heard that before? Lately? I guess somebody named Michael owes someone called “Deplorable” and apology and admission of error.
Democrat states could continue to fail fiscally and charge massive state income taxes because the residents could deduct those exorbitant state income taxes from their federal taxes to defray some of the pain. This essentially makes red states pay for blue states income taxes.
If this is coming down to “blue states” and “red states,” then it’s time to abolish the Federal Government and reform the states into what they want to be for themselves.
Our Constitutional Republic is “bottom up” and not “top down.”
The Federal Government is too big, and exceeding it’s mandate.
It is past time to dissolve the administrative state. It is unconstitutional and puts power in the hands of bureaucrats who are unelected and are not accountable to the people
“it’s time to abolish the Federal Government and reform the states into what they want to be for themselves.”
If it were up to me, you’d be welcome to leave and start your own country.
Righties are the ones who are always talking about breaking off and going their own way. Do it!
Tenth Amendment
Tenth Amendment Explained
The powers not delegated to the United States by the Constitution, nor prohibited by it to the States, are reserved to the States respectively, or to the people.
In others words, if the constitution does not explicitly state a particular power within the federal government, it is by extension, unconstitutional
One of the jobs of the Federal court system is to decide whether a particular law falls within the parameters of the powers outlined for the national government.
Your personal thoughts on that matter—and mine, too, of course—are of little interest to Constitutional scholars.
No they pass unconstitutional laws all the time. Do you see any immigration laws in the constitution? Slowly they have taken the things that shoud be done at state level and given themselves the power. Hey where is the DOE powers in the Constitution?
“No they pass unconstitutional laws all the time.”
And as I said, one of the jobs of the Federal judiciary is to make that determination.
Wrong, Groomer.
Read Article IV, Section 4.
The Federal Government, and its Chief, is not doing its job.
How many are waiting to cross the Rio Grande today alone that Biden is now going to give asylum?
You’re saying that the entire concept of judicial review needs to be thrown out the window.
You’ll need to take that up with Chief Justice Marshall.
Refute. The left has turned them into protection for corrupt Democrats and an attack force against political opponents. The Constitution be damned.
By refuting, you’re saying that the task of determining whether or not the laws passed by Congress are Constitutional is no longer one of the duties of the Federal judiciary. That’s idiotically incorrect, but at least you got to use the word “refute,” and we both know that mimicking someone they disagree with is one of the simple joys of six-year-olds everywhere.
Refute. If you would have noticed, had you looked, I explained my point.
We also both know that refusing to answer questions posed is chickenshit. You aren’t being “mimicked”… you are being MOCKED.
I read your explanation. I also read “refute.” If you don’t know what words mean, maybe you shouldn’t try to use them.
“If you don’t know what words mean, maybe you shouldn’t try to use them.”
I know what “wormy little evasive dumbass liberal” means and I know one when I see one.
20 Stars Who Pledged to Flee the Country If Trump Was Elected: Where Are They Now?
Typical whiners…one and all.
As one would also recall, southern democrats chose to leave the union instead of giving up the black Africans they kept in bondage
Yes, I, too, know about that event that happened more than 160 years ago.
Many polls have established that Republicans —clear majorities of Republicans, in some states—approve of the idea o secession. They’re typical whiners too, one assumes.
The entire argument is designed to divide, If the feds are giving back money taken from taxpayers to the state governments to spend only as the feds say, its money laundering. Choosing winners and losers who gets the money who does not. As the money exchanges hands much is wasted and used for political favor donors get the contracts.
“If the feds are giving back money taken from taxpayers to the state governments to spend only as the feds say, its money laundering.”
Then don’t take the money. Get your elected state representatives to formally renounce any and all Federal funds.
Its basic blackmail for federal causes.
Ok dont take the money, we did that told Barry to shove his obamacare money up his crank.
Now our education depts are worried the over 2 billion given for covid cant be spent fast enough. They might have to give it back…the horror! The fools that closed the schools did not buy aircleaners for classrooms had no dead kids when they were forced to return to work.
Should have been directed at Michelle.