044 – State Finances worse than Greece

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Huge difference in the 50 States when it comes to their financial shape.  ManyFarm And Ranch Country farmers and ranchers are from states where the state finances are in OK to good shape.  But, the states that are in financial trouble are large states in both population and economic size.

I will discuss the economic size of states, and how this affects agriculture.  Where is this all heading and when. What can be done to solve this problem. Will some states need to go into some sort of bankruptcy?

This will become before it is solved a huge problem for the United States.  Obama’s stimulus just helped these states in financial trouble push it down the road for awhile.

Will the population of these states along with their current political lineup allow the sacrifice necessary to solve these problems?  Look at the recall votes in Wisconsin and the ballot initiative in Ohio.How does this affect you and your agricultural operation? How will this affect people in states that are not in financial distress?

Will your taxes be collected and used by the Feds, if these big economic and population states are in control of the Federal Government, to fund their constituents services in their states?


 

One Comment

  1. fedup said:

    Congress has been fixated on targeting the wealthiest farmers with the most cash and with the largest investment and profit guarantees for a long time. This is just another case of crony capitalism as the wealthy receipients have been quick to send cash back to elect their congressman fixated on reelection. This safety net entitlement attitude has nearly destroyed many rural communities since it has resulted in legislation guaranteeing a huge and perpetual prosperity for the wealthiest farmers and impossible competition for most smaller farmers and those with no income guarantees. It is hard to know how a more discriminatory program could be designed. The huge disparity in incomes guaranteed by this program have effectively kneecapped the smaller farmers ability to compete for agricultural land. It really should not be that hard to understand, those that have a greater income guaranteed have a government granted competitive advantage over those who have a smaller government guaranteed income or no guaranteed income. It is not to surprising that those involved in such a despicable act of legislation have to resort to such covert and underhanded means to pursue these massive transfers of monetary wealth to the largest farmers. It is obvious to me that the Senate ag committee can not be trusted to dispurse ag government benefits in an equitable manner. Farm safety nets that guarantee million dollar investments and profits as well are an example of unequal distribution of government business benefits. Smaller farmers are being denied by government an equal opportunity to compete in agriculture due to the overwhelming competitive financial edge these guarantees give to those with the greatest probability of the greatest profits. Safety nets that cover land costs are in fact profit guarantees as many farmers have their land paid for and with the doubling of many commodity prices these guarantees provide for a whole lot more than real estate taxes

    February 5, 2012
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