I am sitting here in Kabul, Afghanistan, reflecting on how Lake County compares to Kabul. This country is the size and population of Texas. Most ministries have two budgets – one is for their own tax funded programs, and the other is a “development” budget for programs provided by the US and other donor agencies like the UN, etc. Thus the government leaders (aka elected or appointed officials ) are constantly asking donors for funding (sounds like the School District ). The average government worker gets about $100 per month, Open storm “ditches” on the mostly dirt roads make navigation hazardous, and most college students go out of the country for education if their family has funds. My admin assistant visited her mother in a private hospital where all the Doctors are from India and her family pays “much” to have her go there because the government provided health care and hospitals are sub standard.
Construction firms building some government projects may not get paid for months and go bankrupt. Some government workers in provinces may not get paid for weeks or months. Then I remember about the last time inflation really hit the US in the Carter years. Government revenue in California skyrocketed from inflated home prices and resulting tax revenue until they passed prop 13, which limited tax increases like Florida’s Save Our Homes law.
So, what happens when the predicted inflation hits Florida? The government won’t try to control costs, but it will do everything it can to remove the Save our Homes limits to benefit from rising, inflated prices of goods and homes. Sales tax revenues will be extended to services unless voters stop them. Perhaps this will be the perfect storm and Lake County voters will dump all incumbents that don’t have an active track record of REDUCING and controlling the cost of government. Or, voters may cave to more emotional appeals from Charlie Crist and charismatic politicians, and vote higher taxes. Which will you support?
Note: This comment was also posted on the "Right Side of the Lake" blog in response to their pretty stiff prediction of inflation for Lake County and the US)
vj (currently in Kabul helping improve internal audit departments in the Afghan government)
