Did you ever wonder what motivates politicians? In many cases the assumed motivation is social justice, helping the poor and working American families.
This post is about New Jersey, but I suspect it’s reflective of other states and even the federal government.
During this year’s New Jersey budget process the Governor proposed everyone born in New Jersey should get 1,000 dollars. Fortunately it was rejected by the legislature.🤑🤑🤑 but in view of the following why would anyone make such a proposal?
Consider such a proposal in light of the following facts about New Jersey. ⬇️ Would you handle your household finances this way? Not for long.
✔️ Garden State Parkway tolls will rise by 27%, increasing the cost of an average trip by 30 cents from $1.11. Atlantic City Expressway tolls will increase an average of 57 cents.
✔️ New Jersey’s pension fund has just 38.4% of the assets promised to about 800,000 members, according to S&P Global Ratings, making it the least-funded of its kind among U.S state governments.
✔️ New Jersey officials on Thursday approved a budget that hinges on borrowing $4.5 billion to cover basic operating costs, making the state one of the first to take on debt to plug a gaping financial hole during the pandemic. Gov. Philip D. Murphy and his fellow Democrats who control the Legislature argued that the step was needed to avoid deep cuts to essential services, including education, transit and health care, in the absence of a deal in Washington on a stimulus bill.NYTs September 24, 2020
✔️ NJ is among the highest taxed states in the US including the highest property taxes in the Country.
✔️ But even as the new rating actions by the Big 3 firms have all come during the pandemic, they’ve also highlighted how New Jersey policymakers left the state in a precarious position heading into the health crisis, including by running up significant debt, regularly underfunding the public-worker pension system, and maintaining only meager budget reserves.https://www.njspotlight.com/2020/05/downgrading-njs-credit-rating-or-outlook-wall-street-firms-highlight-poor-fiscal-history/