231 karma · joined August 30, 2015
The poster above highlights not the tax rates, but ratio of receipts vs. expenditures of federal taxes in given states. Poorer states get well over one dollar in federal program spending for each dollar they contribute, while richer states have a net outflow, subsidizing the poorer states' programs.
The urban areas tend to have people who insist upon higher taxes, while the people in the rural areas commonly want the reverse. Meanwhile, because of those taxes being redistributed in the way they are, money that could go toward mass transit in cities is instead being funneled to road projects in rural areas. With all that money, the rural areas are able to secure funding (but not in any way, shape, or form afford) oversized infrastructure so they can turn their places into post-apocalyptic wastelands of Walmarts and car sewers.
Rural towns may develop in horrendously bad ways, but at least if they were less well-fed by federal and state programs they might come to meet the reality that their development patterns are completely unsustainable.
I can't speak to the majority of pensions funds, but there are State funds that assume 8.5% returns while having 50-60% of the fund in bonds. Those are the Minnesota numbers, and they tend to be pretty good for a State. They're ~75% funded, and that makes them 19th best in the country. If you face the reality that their assumptions are insane, then you have the wrestle with more realistic projections of how much they've really funded.
We may be agreeing, but I'm always a little worried when people vaguely argue for more infrastructure. We pursue such enormous and unproductive road-building in this country in the name of growth. Induced growth is a siren's song to our governments; they've already driven us onto the rocks, but it would at least be nice if we'd address the problem before we sink the country anymore with huge debts, public and private.
Having said that, I stayed up watching the whole thing, and it never felt very real. There's no way you're going to fire on people in the streets with a helicopter but not shoot down the president's plane. Hell, they didn't even arrest the Parliament.
For the record, my Appalachia town also had good schools, though we had more than our fair share of meth and poverty as well.
So those are some ways. Paying for phone plans (my parents didn't) could also get expensive, as could clothes if they don't have to buy their own.
The utilities thing was what I found crazy. I was paying about 1-2% of take home pay to utilities at my place in California, despite making what I assume is far less than most people here.
I actually do believe that the US is in for serious contraction due to the unsustainable infrastructure and development patterns. I'm hanging out in the market anyway, because the federal reserve and misplaced public trust in municipal bonds will kick that can decades further down the road before we ever face the facts.
Until then, I know that I don't have the forecasting ability of large banks, so I play the game with the only advantage I've got: patience.
There's a book I read recently that I thought did a good job looking into the demographic and social shifts associated with women having high workforce participation. It's 'XX Factor' by Alison Wolf, in case you're interested. She gives a convincing tour of some thorough data, but also makes it into a manageable narrative. She also did a decent Podcast interview on Econtalk, if you want a short version.