California Pension-Padding Exploits Loopholes for Thousands of Retirees

While fiscal austerity (balancing the budget) might resonate with voters today, it will only exacerbate the problems that intensified in 2008. The public sector dwarfs that of the private. Cutting jobs, salaries and benefits, right or wrong, will reduce private consumption. That’s a big deal for an economy that generates over 70% of its income comes from private consumption. The secular trends in gold and lesser degree silver incorporate this reality.

At this point, it’s important to note that President Hoover was a big believer in balanced budgets.

He was also a firm believer in balanced budgets, and was unwilling to run a budget deficit to fund welfare programs.

Hoover was quickly voted out of office in 1932 as the debt crisis intensified during the Great Depression. History is sending a clear message to anyone willing to listen.

Shrink Government

Righeimer’s efforts are part of a larger movement to shrink government and reduce union influence, Baugh said. “Ground zero is right here in Costa Mesa for this revolution,” he said. Baugh didn’t return phone calls and e-mails seeking comment.

“I think we’re putting the city through a lot of unnecessary stress and strain,” said Sandra Genis, a former Costa Mesa mayor and councilwoman in the 1980s and 1990s. “You don’t give notice to that much of your workforce without doing studies.”

Source: bloomberg.com