In a perverse way it is gratifying to see California remain true to form as the most dysfunctional state in the country, with the stupidest and most destructive political class. They set the bar at the highest (lowest) levels and continually challenge the other states to race to the most crushing and anti-freedom, anti-market solutions to every problem (real or imagined).
Tennyson would be proud!
Made weak by time and fate, but strong in will
To strive, to seek, to find, and not to yield.
So the California legislature, in its infinite wisdom and vast knowledge of economics has decided to add an additional financial burden on the already-struggling citizens of the Golden state. But roaring to their defense are the stalwart and equally brilliant economics writers of Fox!
Gird your loins folks…this is some weapons-grade obfuscation!
The sky-high gas prices have roots in the faster-than-expected economic recovery from the pandemic, which has triggered the hottest inflation in decades amid strong consumer demand, an influx of government stimulus and disruptions in the global supply chain.
So, if I have this straight, as the economy approached previous levels of consumption (we are not there yet) that triggered inflation, even though the total demand was lower than previously? Yes, they mention the real cause of current roaring inflation…out-of-control government spending…but they led with nonsense. One wonders why! Could it be that Fox is all in on defending the Biden regime?
Oh, in case it isn’t clear, one big reason for that increased demand is that inflation has done what it always does…inflated prices…so consumer spending is up, but they aren’t getting as much value for those dollars. That is basic economics, and Fox missed it.
But back to California and its idiocy. The state has a $45 billion reserve, so it could easily decrease the fuel tax without appreciably affecting its cash flow, yet two generations of rapidly decreasing IQs among California’s populace has conspired to elect ana amazing collection of fools and socialists…but I repeat myself. Jay Guevara speaks to that issue in the current CJN podcast (at the 50 minute mark; but listen to the whole thing!).
Not to be outdone by Fox and its economically illiterate writers, the Old Gray Whore, otherwise known as the New York Times has a marvelous take on the newest economic numbers:
Let’s give them credit where credit is due: When the NYT is bought, it stays bought!