Supply Side Nightmare As Bobby Jindal Pushes Louisiana Into The Fiscal Abyss

jindal

The country is full of examples illustrating the failure of Republican economic policies. Scott Walker’s Wisconsin and Sam Brownback’s Kansas have become poster children for the job killing, budget busting, folly of pursuing supply side economics. Were it not for the damage that right-wing policies inflict upon working families, the Laffer curve would be simply laughable.

Yet, Grover Norquist’s army of tax-hating Governors continues to run roughshod over red state budgets promising a fiscal utopia. The fact that the utopia never materializes apparently doesn’t matter. Red state voters re-elect them anyway. The words “tax cut”, like an elixir, cures their fears, even if the people whose taxes are being cut are not the ordinary voters, but rather the ultra wealthy.

Joining Brownback and Walker on the list of Governor’s facing serious budget problems, is Louisiana Governor Bobby Jindal. On Friday, The New York Times reported that Louisiana is anticipating a 1.6 billion dollar budget shortfall for next year, and that the deficit will remain in that range for years to come. When Jindal took office in 2008, the state had a 900 million dollar surplus, and the unemployment rate was just 3.8 percent. Now, in addition to having a gaping budget shortfall, Louisiana’s unemployment rate is at 6.7 percent, above the national average.

Despite the state’s budget woes, Jindal has continued to resist any tax increases. He has depleted the state’s reserve funds to fill budget holes and is still coming up short on the needed revenue. Louisiana has one of the lowest tax burdens in the nation, and as a consequence, the state ranks near dead last in quality of education and health care. Nevertheless, the supply side dogmatism of Governor Jindal virtually guarantees that the state will continue on its current path to economic perdition.

Jindal is often mentioned as a possible Republican candidate for President. However, Jindal’s fiscal mismanagement has made him deeply unpopular even in his own state. A November 2014 Public Policy Polling survey found that only a third of Louisiana voters approved of the Governor’s job performance while 56 percent disapproved. Supply side economics has been a nightmare to the residents of Louisiana.

The nation should not be subjected to the same failed policies that have tanked Louisiana’s economy. However, given that so many Republican politicians have embraced the mythology of supply side economics, the GOP will probably nominate a candidate who imitates Jindal’s tax policy, even if they don’t choose Jindal himself. Republican commitment to tax cuts for high income earners, regardless of the costs, is more a religious faith than sound fiscal policy. Jindal’s Louisiana demonstrates the folly of supply side economics, but Republicans aren’t paying attention. They are true believers, and let the facts be damned.

26 Replies to “Supply Side Nightmare As Bobby Jindal Pushes Louisiana Into The Fiscal Abyss”

  1. Supply side economics is a failue to understand basic market forces. It is a quasireligious creed of simpletons who are unable to learn from history. It will never work as it ignores market realities for a faith that “it may work next time.” Vote Republican if you want America to fail.

  2. Had to update list of republican states that are in the HOLE

    Republicans can’t govern states

    Louisiana – $1.6 billion deficit…NEW
    New Jersey – $2.7 billion deficit
    Pennsylvania – $1 billion deficit
    Kansas – $1 billion deficit
    Wisconsin – $2.2 billion budget deficit
    Arizona – $1.5 billion deficit
    Alaska – $3.5 billion deficit
    Alabama – $950 million deficit

    Democrats love running a surplus
    California $4 billion+ SURPLUS

  3. When Jindal took office in 2008, the state had a 900 million dollar surplus, and the unemployment rate was just 3.8 percent. Now, in addition to having a gaping budget shortfall, Louisiana’s unemployment rate is at 6.7 percent, above the national average.

    Dumbya Bush: took office with a record budget surplus, left it with a record budget deficit.

    John McCain: thought people who made less than $5 million/year were “middle class.”

    Sarah Palin: as mayor of Wasilla, AK (a town of 5K), took it from 0 net debt to $20 million into debt.

    And now, Piyush Jindal.

    Tell me again how repubs are “better for the economy” . . .

    .

  4. forgot the links to backup California

    California sees reserves growing more than $4 billion over two years
    http://www.reuters.com/article/2014/11/19/us-california-budget-idUSKCN0J32CT20141119

    With Surplus in Hand, California Eyes Debt
    http://www.nytimes.com/2014/01/10/us/with-surplus-in-hand-california-eyes-debt.html

    A more golden state: California tops nation in job growth
    “It’s by far the best in the nation,” said economist Stephen Levy, director of the Center for the Continuing Study of the California Economy in Palo Alto. “There is no question that we slid into a deep hole and this is a slow recovery. But Southern California and the state are now both outpacing the nation.
    http://www.dailynews.com/business/20140919/a-more-golden-state-california-tops-nation-in-job-growth

  5. Perhaps we just haven’t gotten enough wealth into few enough hands yet to trigger the benefits of trickle down.

    Maybe if like .000001% of the population had 99.9999% of the wealth that then the benefits trickle down would start to kick in.

    I wonder if the 1% would be up for getting more of their wealth into the hands of the.000001% to see if that’ll finally do it.

  6. And yet, despite the facts, despite the numbers, despite the quality of life…polls show that the American people trust the Republican Party to create jobs.

    It just blows my mind how stooooopid some of our countrymen and women are. Unbelievable.

  7. Alabama has a budget shortfall of 700 million so our brilliant Governor has proposed a tax increase on the middle class(working poor) and the impoverished. Problem solved.

  8. Supply and Demand are one of the fundamental concepts of economics. Failure to address both is setting up the economy to fail.This so called “trickle down economics” is a fraud.The ignorance of supporters of failed republican policies never ceases to amaze.

  9. I’m certain they’ve unrigged it since then. President Obama would’ve never won Florida or Ohio were that not the case.

  10. Republicons are wrong in everything they say and do. For 5 years they slandered this president and made lying predictions about him and they have been wrong on every count. They say cut taxes on the rich and cities across this nation are dying. When will the American people wake up and see the enemy within?

  11. Arkansas will be next: the new Guv is giving out tax breaks like lollipops and raising the salary of all his staff

  12. And, like Goodhair Rick Perry, Jindal will probably suck in every federal subsidy possible to balance his budget–and blame all his troubles on the president.

    You’d think the Koch Brothers would step up and help these poor people–oh, wait, I said the ‘p’ word.

    And all this from the guy who told Republicans “Let’s not be the stupid party.” Well, Gov. Jindal certainly got over *that*, didn’t he?

  13. Perky. That is one reason Texas isn’t as bad off as the other red states. Perry took the 17 billion in stimulus funds to grow jobs and put towards paying his state budget deficit for 2 years. Walker did the same, but is still a couple billion in the “red”. Shame that President Obama can’t appoint emergency managers like Snyder of Michigan, who is in financial crisis mode also.

  14. Wait, wait!……. I can’t believe what I am seeing! Jindal has turned WHITE! Or is it Yellow? That portrait is just an example of what Jindal wants the country to believe…..He is not Brown (of Indian ancestry) but White. He wants to remove his skin color to fit in. This is par for the course of Jindal’s Indian ancestry—caste system, the monied elite would like to fit in with the Colonials and get approval—by trying to shed their natural brown skins. Fact!

  15. Look, to be simple and to the point: Republicans are hung up on the fact that they DON’T know how to get the middle class out of the gutter. So, they talk the BS, but don’t deliver. To those who believe the BS (and suffer) YOU GET WHAT YOU DUMB A$$ES DESERVE! NOTHING! Yet your Republican representatives continue to fill your dumb A$$es with false promises, no fulfillment, no forward progress—NOTHING! WHY, WHY, WHY do the masses continue to vote and support these people? Don’t they get it? Or, as long as they vote Republican, they can say: I stuck it to a Democrat. FOOLS!

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