The American Spectator

Schwarzenegger’s problem was that he failed (miserably) to educate the citizenry of what needed to be done. He was mostly correct in summing up California’s problems. They’re the same problems that most government entities are rife with. But instead of keeping up the pressure publicly, he decided that the state could do what Americans can do better if unshackled by the state.

Similar to Michigan, California has debts piling up and residents unable/unwilling to pay. But Michigan, unlike California, chose to perpetuate their misery by re-electing Jennifer Granholm after experiencing the first 4 years of decline, to further wreck their state rather than revert back to a Republican governor who at the least, may have slowed the growth of the state.

p>Thus we suffer, the promises of a growing government, and the realities of a shrinking populace, declining home values, and an anti-growth strategy used against private industry and individuals. The remainder in Michigan, unable to sell their homes and get out, watch the former “Arsenal of Democracy” grow ever silent and its residents throw once valuable resources into their campfires as the cave dwellers remain silent and refuse to acknowledge voting for a huge mistake — twice . br> — P. Aaron Jones br> Gaza Strip /p>

California is inexorably headed toward nationhood. The impetus for seceding from these United States comes from Mexico and its migrant citizens and a liberal Socialist culture that insists on spending more than it can afford. If deficits stay small, the State can continue for some time to finance the debt with bond issues and by raising taxes. If deficits continue, however, the time will come when the State either bankrupts itself and begs to be bailed out by the U.S. taxpayer, or secedes to become a separate entity, be it super-state, territory, possession, or nation.

As a nation California would have one of the largest economies in the world. It could borrow money and run deficits that are eventually repudiated just as other nations of the world do. That is because inflation erodes the value of the debt over time. Thus a 14 billion dollar debt in 2007 and a 3 percent inflation rate would be worth half in about 25 years, one fourth in 50 years and one eighth in 75 years (rule of 72). That is the system nations use to run deficits. States and local governments however eventually bankrupt if they do not pay debts when due. Even nations can bankrupt if other nations and their own citizens will not loan them money, but because of the World Bank and other world banks and often the generosity of the U.S., this rarely happens.

p>If America regains control of its borders, Mexico’s influence and economic pressure on California will diminish. But the influence of California’s liberal politicians will continue. What Arnold started should be continued, not abandoned as he seems to signal. California’s citizens can make their resolve known by electing leaders known to be fiscally conservative. Arnold still has time to prove himself a successful Governor rather than a successful politician. br> — Howard Lohmuller br> Seabrook, Texas