SACRAMENTO — Listening to politicians offer their solutions for the nation’s affordability crisis — a fancy term for punishing bouts of inflation — is like listening to a room full of thieves offer their ideas to end the retail-theft epidemic. They have a certain expertise in the subject, of course, but it’s best to approach their proposals with skepticism.
Despite slight recent drops, inflation remains at a persistent 2.4%. The cumulative inflation rate since 2020 is an eye-watering 25%. The median California home price in 2020 is up nearly 50% since before the pandemic. Anyone who has shopped for a car or groceries or paid utilities lately understands how costly everything has become, regardless of the statistics.
During his interminable State of the Union speech on Tuesday, President Donald Trump blamed Democrats: “The same people in this chamber who voted for those disasters suddenly used the word affordability, a word. They just used it. Somebody gave it to them, knowing full well that they caused and created the increased prices that all of our citizens had to endure.”
He’s not wrong, but it’s hard to hear his words with a straight face when one considers that his signature policies dramatically increase the cost of living. Trump loves tariffs, which are nothing more than massive tax increases imposed by fiat on America’s consumers. Federal spending has soared, which also is inflationary (although hardly unique to his administration). And Trump’s inflexible immigration policies drive up the cost of labor and groceries.
Democrats have even less credibility on the issue than Republicans. Here in California, Democrats have had iron-clad control of the state for decades. Voters now face an unusually open governor’s race, as it’s the first time since Arnold Schwarzenegger’s wild victories that there’s no pre-ordained selection. Every one of the lackluster candidates vying to get into the general-election runoff is touting some kind of plan to lower the cost of living.
Their solutions are bunk. The Sacramento Bee recently summarized the candidates’ affordability positions. For instance, former Orange County U.S. Rep. Katie Porter calls for “restructuring ‘predatory’ home-mortgage policies, which she blamed for middle-class people’s inability to afford homes.” She also touted “long-term leases,” which already are perfectly legal. State Superintendent Tony Thurmond wants to use state land to build millions of housing units. Thurmond also backs the proposed billionaires’ tax initiative. How any of that would lower high prices is beyond me.
Speaking of billionaires, I perused candidate Tom Steyer’s website, where he complains about skyrocketing costs. But his solutions include “making corporations pay their fair share” and banning PAC money from California elections. The former will only chase more job producers out of the state. The latter will only make it harder for newcomers with different ideas to win office.
By the way, California already imposes one of the nation’s highest tax rates on corporations. With our steeply progressive tax rates, the top 1% of earners already pay nearly 50% of the state’s tax burden. Serious thinkers have long proposed making our tax rates less top heavy to promote growth and reduce our whiplash-inducing revenue streams. Again, blaming the wealthy will not promote affordability.
At the national level, the so-called New Democrat Coalition unveiled its affordability agenda. It includes some sensible ideas — rolling back tariffs, reducing energy permitting rules, cutting zoning red tape — and plenty of ideas that will clearly result in more inflation. That includes national paid family and medical leave, a higher minimum wage and ill-defined crackdowns on corporate “bad actors.” And that’s what moderates are proposing. The Democratic socialist agenda would obliterate the economy.
Before listening to more of this Democratic nonsense, let’s remember their policies are the main reason California is so unaffordable. Many Democrats have admirably supported limited rollbacks of housing and environmental rules, but years of Democratic-backed growth controls, urban-growth boundaries and regulatory red tape are the reason it’s oppressive to build here. It’s why government fees account for as much as 40% of a new home’s price.
Related Articles
Douglas Schoen: Gavin Newsom takes his show on the road California’s reading reforms drive push for better math skills in early grades State of the Union: Trump strives to keep MAGA on board Don’t be fooled: What you need to know about LA County’s sales tax proposal Is Gavin Newsom really a moderate Democrat? Their green-energy rules are why gas prices are the highest in the nation. Their climate agenda is why utility costs are growing. Their tax policies are the reason Californians pay such outsized tax bills. Only our property taxes are reasonable, and that’s because voters took matters into their own hands. Democrats’ devotion to public-sector unions are the core reason state and local services cost more than elsewhere and perform so poorly. Their COVID policies disrupted supply chains that drove years of unusually steep prices.My solution is simple: Roll back regulations, lower tax rates, shutter bureaucracies and promote market-based competition. Unraveling this mess is like unraveling a giant hairball, but you’ve got to start somewhere. I have heard nothing from the candidates that even acknowledges this reality, so I can only rely on the old political maxim: When politicians identify a genuine problem, expect their solutions to make matters even worse.
Steven Greenhut is a member of the Southern California News Group editorial board. Write to him at stevengreenhut@gmail.com.
Hence then, the article about californians can t afford democrats affordability agenda was published today ( ) and is available on Los Angeles Daily News ( Middle East ) The editorial team at PressBee has edited and verified it, and it may have been modified, fully republished, or quoted. You can read and follow the updates of this news or article from its original source.
Read More Details
Finally We wish PressBee provided you with enough information of ( Californians can’t afford Democrats’ ‘affordability’ agenda )
Also on site :