Richardcyoung.com

The Online Home of Author and Investor, Dick Young

World Series Winner in Kansas: Gov. Brownback

By

Governor Sam Brownback is in the fight of his political life, under immense pressure by the tax and spend liberal left. It’s no mistake that Gov. Brownback was one of only four governors to receive an “A” grade in Cato’s Fiscal Policy Report Card on America’s Governors. My friend Chris Edwards at Cato calls out the leading liberal pundit of them all writing:

Paul Krugman slammed Brownback’s tax cuts, saying, “the state’s budget has plunged deep into deficit, provoking a Moody’s downgrade of its debt.”

One problem with that assessment is that state budgets don’t really “plunge deep into deficit” like the federal budget does. Nearly all states must legally balance their general funds. They often cheat a bit with accounting maneuvers, but they generally get it done.

This recent report from the Kansas Policy Institute (KPI) shows how modest budget changes in Kansas can close the gap between projected future revenues and spending. If Brownback is reelected, he will need to trim spending to match his reduced revenues because the Kansas governor is required to submit balanced budgets. By contrast, the federal government has no balanced budget requirement, and it is federal politicians who have “plunged deep into deficit” in recent years, ironically with Krugman’s strong support.

The following two tabs change content below.

E.J. Smith - Your Survival Guy

Preparing your investments and family for when disaster strikes.
E.J. Smith is the Founder of YourSurvivalGuy.com, Managing Director at Richard C. Young & Co., Ltd., a Managing Editor of Richardcyoung.com, and Editor-in-Chief of Youngresearch.com. E.J. graduated from Babson College in Wellesley, Massachusetts, with a B.S. in finance and investments. In 1995, E.J. began his investment career at Fidelity Investments in Boston before joining Richard C. Young & Co., Ltd. in 1998. E.J. has trained at Sig Sauer Academy in Epping, NH, where he completed course-work in Practical and Defensive Handgun, Conceal Carry Pistol, Shotguns, Precision Scope Rifle and Kidnapping Prevention. E.J. plays a Yamaha Recording Custom drum set with Zilldjian cymbals. His first drum set was a 5-piece Slingerland with Zilldjians. He grew-up worshiping Neil Peart (RIP) of the band Rush, and loves the song Tom Sawyer—the name of his family’s boat, a Grady-White Canyon 306. He grew up in Mattapoisett, MA, an idyllic small town on the water near Cape Cod. He spends time in Newport, RI and Bartlett, NH—both as far away from Wall Street as one could mentally get. The Newport office is on a quiet, tree lined street not far from the harbor and the log cabin in Bartlett, NH, the “Live Free or Die” state, sits on the edge of the White Mountain National Forest. He enjoys spending time in Key West and Paris. Please get in touch with E.J. at ejsmith@youngresearch.com. Sign up here to receive all the best content from Richardcyoung.com each week.