Ever since California’s voters approved the Prop.
30 sales- and income-tax increase on the November ballot, liberal
commentators have been gloating about the resurgence of the Golden
State after many years of predicted doom and gloom. Their evidence:
Higher taxes seem to have cleared up the state’s budget deficits.
But as Steven Greenhut notes, all that's really happened is a
temporary elimination of the deficit on paper. That can quickly
change and the state is still living off of borrowed money.
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