Higher Taxes mean Fewer Jobs

With California’s unemployment rate rising above 7%, the national economy shrinking, and the state’s budget deficit widening, voters are looking for answers to ease their financial fears and fix the state’s budgetary mess.

The temptation among Democrats is to raise taxes in order to fund government programs that they believe would both help people through these difficult economic times and balance the budget. However, increased taxes would only worsen the situation by hindering economic recovery, which in the long run means fewer jobs.

California already ranks among the top ten in hostile business environments in the nation. According to the Tax Foundation, only New York and New Jersey beat California in harsh business climates.

A hostile business climate does not invite entrepreneurs to expand business or start the businesses necessary to create jobs. This means less investment in the state, which means fewer employment opportunities for California residents.

Nearby states like Nevada, Arizona and Texas – all of which have lower income and sales tax rates – are creating jobs, oftentimes by enticing California entrepreneurs to open shop. Were it not for high taxes and burdensome regulations, many of these jobs would otherwise stay in California.

Furthermore, increased taxes will not lead to balanced budgets, especially if state spending is not cut. California has faced this situation before, and should learn from its mistakes when it comes to raising taxes during an economic downturn. In the mid-nineties when California faced a budget deficit and a cooling economy, state leaders decided to raise taxes. Revenues consistently failed to meet the rosy projections.

In hindsight, their actions prolonged economic hardship without solving the fiscal problem of overspending. Based on that experience, now would be the worst time to consider burdening Californians and hindering our economy with higher taxes. Sacramento should not repeat the failed policies of the past.

Help our Troops Call Home

The Lancaster West Rotary is kicking off its Cell Phones for Soldiers used cell phone drive to collect 1000 cell phones by November 11 – Veterans Day. The Cell Phones for Soldiers organization sends the used phones to ReCellular, which pays for each donated phone – enough to provide an hour of talk time to troops around the world and our local National Guard Unit.

The community is asked to bring their used cell phones to the following AT&T stores that are national partners in the Cell Phones for Soldiers program. The stores are located in Palmdale at 1201 W Rancho Vista Blvd Suite B, and in Lancaster at 2002 W Avenue J and 1715 W Avenue K. The public may also drop off phones at the information booth in the Antelope Valley Mall.

The Cell Phones for Soldiers (www.cellphonesforsoldiers.com) program was founded by teenagers Robbie and Brittany Bergquist from Norwell, Mass., in 2004. Since then, the registered 501c3 non-profit organization has raised almost $1 million in donations and distributed more than 400,000 prepaid calling cards to soldiers serving overseas.