This morning John Stossel had an interesting piece centering on New Jersey Governor Chris Christie bailing out Atlantic City after promising to “reform” and “rebuild” the city “without government money.” Stossel portrayed Christie as another traitorous politician though I suspect that when Christie made that ‘promise’ he believed it – even if it was primarily because he believed his advisers and he was too dumb (or conveniently disinclined) to understand the real situation.
So it is with another piece that came out this morning by New Jersey Senate president Stephen Sweeney again pimping for an otiose constitutional amendment on public pensions with the same series of fallacious arguments debunked here previously though he added one wrinkle:
Senate Republicans recently laid out a seven-year budget showing that New Jersey could ramp up to full funding of the pension system within projected 3.34 percent revenue growth — without raising any taxes and without cutting any services.
If additional revenue is needed to reach full funding by 2022, we can raise it solely by increasing income taxes on those making more than $1 million.
The questions an intelligent objective reader might have:
Where would 3.34 percent revenue growth come from if not higher taxes, in one incarnation or another? Maybe there would be no increase in a tax rate but doesn’t someone need to pay more in taxes to grow government revenue?