Greek Financial Crisis: It's Not About Greece Any More

In a recent NYT article, Prof. Krugman compared the Greek economy to the economy of California. He says that unlike Greece, California (where I live) is able to benefit from federal programs like Social Security that help to bring money to the State, even when tax revenues are down.

I would like to point out what I consider to be a huge flaw in Prof. Krugman's logic, with whom I am usually in agreement.

While California does indeed benefit to some extent from federal government programs, the State is harmed much more by the taxes that it pays to D.C. than by payments it receives from Washington. While the vast majority of the 50 States receive much more from Washington than what they pay in, such as New Mexico, which receives more than $2 for every dollar that it pays to Washington, on a yearly basis California (where 1/9th of Americans live) receives about 75cents for every dollar that it pays in.

Since the disparity between what Californians pay in and what they get back is so large, it is not unreasonable, I believe, to make the argument that Californians are hurt much more by the federal tax structure than they are helped. In a very real sense, California is being treated like one of the 19th century colonies of the European powers, which were fleeced for the benefit of the Europeans, and California's economy is hurt much more by Washington than it is helped.

Notice how quiet France is in all this, Germany is doing all the heavy lifting...

Greek rebel dog KANELLOS!!!
http://korfiatis.blogspot.com/2010/04/blog-post_7806.html

Wow! I believe "thinking" people have to start generating "real wealth" as quickly as possible the world over. Trust is a big part of wealth. Therefore speak the facts the best that you can without spin. Education (even if just applied to yourself) is wealth. Good relationships with other human beings is wealth. Living within our means is wealth. And having a bit for emergencies for ourselves and others is wealth. Planting a tree is wealth. Loving and caring for children is wealth. Helping others to use their talents is wealth. Lets create a patchwork of wealth across the globe. Try to be as independent of the systems as possible. Good luck fellow humans.

Beware of Greeks gifting bear markets.

I ask proves, Greed, can destroy not just a Nation, but the world, right? Greed creates poverty? When is enough greed enough?

Greece is the US in 10 years at the pace set by the Progressives. A huge debt load created by flawed social conscience theory supported through a populist election process.

Also, look what happens when the politicians blame capitalist. The Union members kill the capitalist by setting fire to a bank. I would plead for the Democrat elistist to stop their horrific rhetoric directed at insurance companies and financial institutions. It will be too late when an employee of those companies ends up dead.

This is the direct result of decades of taking from the working person and giving to bankers.

The dow fell fater the the New Years ball did on time square.

Downleg 2...here we go...
http://yieldpig.blogspot.com/

espana proxima morire?

The house of cards is slowly tumbling.

just when my retirement 401K was starting to recover the bloody greeks have killed it.