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Observations and musings on Jacksonville Politics

A Florida Bailout? Not so fast…

The Orlando Sentinel’s Mike Thomas makes the case that Florida needs to reform its tax code before rushing to DC begging for a bailout.  

Florida’s tax system is becoming so dysfunctional that we will need bigger and bigger asset-bubble booms to keep us afloat. We depend on increasingly unrealistic growth rates to pay the bills while at the same time levying harsh property-tax penalties against those people who want to move here or invest in a second home.

Put in economic terms, we are pushing ourselves off a cliff.

To stop doing so requires the kind of crisis we happen to be in right now.

So I am not keen on Obama printing a bunch of money to bail us out and take the pressure off.

Bailouts tend to perpetuate inefficiencies and bad behavior.

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Filed under: Florida, Florida Politics, , , , ,

2 Responses - Comments are closed.

  1. g8rluvr says:

    I have to wonder if Florida would be in the financial mess it currently finds itself in, if the Legislature would have followed the lead of Senator John McKay back in 1998 when he began his quest to review and revise Florida’s sales tax code exemptions.

  2. This whole bailout mindset makes me sick. All we’ve done the past 8 years is spend and spend, and look where we are. Why do we think spending even more will make things better? Also, do we really want to reward companies for failing? Because that is basically what it is. People are learning that if your company fails, then the government will be there to pick it up. It is the same mentality as welfare was in the 90’s. And we all know that went too far and had to be ended. Are we going to have to face an economic collapse in order for people to realize welfare for companies is not what we need?

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