Massachusetts has one of the highest tax rates in the nation, with Govenor Deval Patrick pushing through a round of new taxes in 2009 on everything from cell phones to an increase in the sales tax, and promising more upon his reelection n 2010 and as a result, people move. The outcome is thatthere is less income for the Commonwealth to meet its entitlement budget.
States Progject to Gain population (Green) verus Lose (Brown)
The likelihood of Deval Patrick proposing new taxes to cover the ever burgeoning deficit is high, and it is unlikely he would be willing to make the cuts to programs necessary to balance the budget. Further, he would be opposed to tax cuts necessary to give incentive for individuals or corporations which would bring jobs to the State.
The inability of Democratic Governors over the decades to cut taxes, and cut programs has caused a population shift south and west to more tax friendly climes and states that have lower cost of living. From an increase of approximately 26% in groceries over the previous year (save your receipts, it’s stunning), to rising heating costs during the winter months, to a lack of jobs due to high corporate tax rates, those that can, move out of Massachusetts. During the 1970’s under Michael Dukakis (who’s philosophy of tax and spend is similar to Patrick’s), watch the state’s unemployment rate soar as factory after factory closed, and moved to the Sun Belt. Moving into the state were those who found an environment friend to those who preferred to survive by government assistance. Massachusetts is ranked 7th in illegal immigration in the nation.
Therefore, as the Department of Revenue continues to announce shortfalls, and the Governor continues to provide more benefits from the State - the 2010 Census (due out today) (Boston Globe) may show a shortfall in population once again. The result is the loss of a Congressional Representative, and Deval Patrick and Company trying to find a way to increase fees (taxes) and taxes (taxes) in order to cover the budget.
What is most startling, is that information on bad governing practice by predecessors is available in history books, online news clipping, one’s memory if it serve one correctly, and or a myriad of places that anyone with the wherewithal to become Governor might look to find a virtual “how not to” book on the subject. From the state to the Federal government, historical figures (many of whom as living, breathing, guides to the window of historical economic buffoons abound, Carter, Dukakis, etc.) who, if one (Governor) took the time to study (or reflect using long-term memory), the policy of tax and spend, then these cyclical migrations to states other than Massachusetts, would not occur.
Although it is difficult to say what will occur, as the results will be released today at 11:00, (as the Boston Globe notes), the aforementioned bad fiscal policy may have resulted in a loss of population, or at the very least a loss of taxpayers, as well as a Congressional seat.
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