CtTaxed.com

Connecticut Is Dying.

People vote with their feet and those that can do. We have lost a segment of our population that WAS vital to our economic and social vitality as a state. Our young people have left and they will not be coming back. By losing the 18 to 34 year old segment we lost the vitality of our state and will become a state wide retirement home. And once we do, how will we ever crawl out of it?

Graph Source: Presentation Prepared for the Appropriations Committee and the Finance, Revenue, and Bonding Committee by the Office of Policy and Management, November 27, 2006

The effects will be profound.

The primary wage earner group is smaller making it harder to pay for our bloated state government.

Housing prices will be under terrible downward pressure as the pool of young families looking for homes decreases.

Manufacturing and other businesses will continue to leave the state because they can’t find workers and what workers are here will demand higher wages then other parts of the country because of supply and demand and because they’ll need it to pay for all the social services for the Senior Citizens. Remember businesses pay a huge amount of the state budget, that burden will increasingly have to be shifted to wage earners, it’s the responsible thing to do.

The segement of the population that requires state services will stay because there will be no pressure on them the services will continue to flow adding an increasing burden on the productive enconomy of the state.

The good news is school over crowding will be unheard of, Senior Citizens don’t have kids in school.

Traffic congestion will be lessened as the work force gets smaller, Senior Citizens don’t go out during rush hour.

This is not a model that can be sustained. At some point the economics will be clear and simply increasing taxes will result in diminished increases in revenue. (The Law of Diminishing Returns) And no matter how much taxes are raised no more revenue will come in. At that point in time, a horrible correction will start taking place and no matter how pressing the need, they will go without.

Did you know the state debt per capita is the 3rd highest in the Country? You owe the state ~6,452$. Pay up. So it’s not like all this spending and taxes is keeping us on sound financial footing, a huge part of this increase is to pay off previous spending, and we are going to increase spending even more.

The unfunded liabilities is even worst. The State of Connecticut has unfunded liabilities of $50 Billion which totals out to $14,280 per capita, whereas the personal income tax only brings in $6.625 Billion a year. We are in a hole that might be impossible to dig out of, but rasing taxes just makes it worst, remember the tax paying ability of the state is limited and a some point people and businesses leave, the evidence is overwhelming that point was reached years ago.

There are two solutions:

1) Make it illegal to leave the state. OR

2) Make Connecticut family friendly again.

Please take the time and email your state Rep and Senators, a link to their email addresses is in the upper right of this website. Remember: polite, honest, respective, short and to the point.

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