Living in New York State

I live in New York State. I have never lived in any other state. I don’t hate New York or New Yorkers. I have high hopes for the Central New York economy. Or should I say HAD high hopes?

I am not a financial expert, in any sense of the term, but I am having a problem with how I see my state government acting during this economic climate. I was raised to believe in hard work, a good education, and always thinking about the future to secure economic success. While not a specific plan, it does lay a ground work on which I try to build my financial future. I believe the basic solution to a strong home budget is controlled spending. Credit cards and debt are the enemy. In practice, I must admit, I may not always follow these rules to the letter. I believe some debt is unavoidable. For example, I am unable to make large purchases, such as a home or car, in full. Debt must be incurred to have the large ticket items. You know what I don’t own? A boat, motorcycle, luxury car, massive house, or many other big ticket items. I can’t afford them. The debt that I would accumulate would put a strain on my finances and possibly make it impossible for me to pay them off. The more money I have, the more I am likely to spend, but I know when my check comes there is a finite number printed on it.

I don’t think the politicians in New York share my philosophy in financial planning. If I’m concerned about a budget gap, I adjust my spending. The little things I like to do get cut first to make room for essentials. I am seeing increased spending on a state and national level while we are asked to strap in and take it. Are the politicians cutting their spending at all? This excerpt from a story in the Washington Times suggests they aren’t.

“Talk about a pet project. A tiny mouse with the longtime backing of a political giant may soon reap the benefits of the economic-stimulus package.

Lawmakers and administration officials divulged Wednesday that the $789 billion economic stimulus bill being finalized behind closed doors in Congress includes $30 million for wetlands restoration that the Obama administration intends to spend in the San Francisco Bay Area to protect, among other things, the endangered salt marsh harvest mouse.

House Speaker Nancy Pelosi represents the city of San Francisco and has previously championed preserving the mouse's habitat in the Bay Area.

The revelation immediately became a political football, as Republicans accused Democrats of reneging on a promise to keep so-called earmarks that fund lawmakers' favorite projects out of the legislation. Democrats, including Mrs. Pelosi, countered that the accusations were fabricated.”

http://www.washingtontimes.com/news/2009/feb/12/earmark-less-bill-gives-pelosis-mouse-cookie/

The other side of the economic crisis is the slow retail sales. Again, I am far more willing to spend money that I have. Along with the increased spending from the federal government come the increased taxes and fees from New York State. The lesson I am taking away here is spend more with less. They want me to go out and buy to stimulate the economy. Only they are going to add fees to what I buy and increase how much they take before I even get my check. Isn’t buying when we can’t afford to what got us into this mess to start with?

Governor Patterson, please stop trying to stop trying to fill gaps in the budget by squeezing more money out of the people who have the ability to save the economy. The politicians have it only partially right. We can spend our way out of this crisis. But, when I say we, I mean the American public, not the giving money to large struggling businesses. They will stop struggling when their quarterly profits go up after the public consistently buys their products again, not when you just hand over a onetime cash award.