Krugman Could Tell Walker Why Wisconsin Is Losing Jobs
Austerity at the wrong time, like now, costs you more jobs.
Take a billion dollars out of state spending and push a lot off to insurers and the retirement fund, and the loss of disposable income hurts the entire economy.
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I've said it before but the Walker gang doesn't get it. This is not some Econ 101 theory this real time, real community, real facts. Facts that are playing themselves out here in small and large Wisconsin communities.
Try this math. Take a small Wisconsin City with a population of less than 10,000. Now take an average of $400.00 / month out of the pockets of approximately 230 union employees. That reduces the money available to spend locally by $92,000 each month.
$92,000 less that gets spent in the local community for the most part. Is it any wonder that after a year of nearly $1.1 million less circulating money in the community that the whole community is feeling the pinch.
Business have fewer customers spending money. Their revenues are going down. Their tax bills at best are remaining the same. Their expenses are going up if only given the increase due to gas prices.
They are forced to reduce their cost. Often meaning laying of employees. Eventually even closing their doors. Adding to a reduced tax base.
In summary go after those union jobs take money out of their pockets Smile about it if you want. High five if you want. But......
But say goodbye to $1.1 million dollars circulating in your community.
Say goodbye to having some of those dollar circulate through your pocket.
Say goodbye to that after school job your kid has at the local hamburger joint.
Say goodbye to extra dollars keeping your city vibrant and alive.
Watch your mainstreet slowly wither away. As small business close their doors reducing the tax base.
Say hello to reduced services and increase tax bills as your share increases to offset the loss of $1.1 million in your community.
Say hello to loosing value in your home as a flood of homes go on the market.
Say hello to.. "What goes around comes around". Think about it.
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