As the dinosaur era came to a close, with food supplies dwindling, the largest dinosaurs were the first to perish. It was those that were smaller, and could adapt better to a radically changing environment, that survived.
And so it is with the Megasaur of Big Government – governmentus overspendus. A recent study by the Center on Budget and Policy Priorities states that more than half of the 50 States are facing budget deficits in 2008, some of them quite massive. California is facing a projected $16 billion deficit, Virginia a $1.2 billion deficit, and so on. As noted by in the CBPP report summary:
“At least twenty-five states, including several of the nation’s largest, face budget shortfalls in fiscal year 2009. Of these 25 states, specific estimates are available for 22 states and the District of Columbia; the combined deficits of these 22 states plus the District of Columbia are expected to total at least $39 billion for fiscal 2009 — which begins July 2008 in most states. Another 3 states expect budget problems in fiscal year 2010, although some of those gaps may occur earlier than expected…”
Across the country, this means big budget cuts. And States actually being forced to tighten their belts because of their own excesses in spending.
This is quite a departure from the rosy budget surpluses many States saw in Fiscal Year 2006. And States can’t say that the CBPP didn’t warn them that they were only temporary in their 2006 assessment. For example, that year South Carolina had a 4.7% (percentage of revenue) surplus. But they spent it all, and now for FY 2009 they are facing a $160 million deficit.
ALG Perspective: With the economy facing a downturn, the American taxpayer simply cannot afford Big Spending programs anymore. Big Government has to be told, in no uncertain terms, “Don’t come back to the taxpayer demanding a bailout. You ran out of money. You pay for it.” As this aging, oversized dinosaur runs out of its natural source of food – wealth – perhaps taxpayers can be contented that governmentus overspendus may be facing extinction. And, this time, let’s hope and pray that “extinction is forever.”
