California Lunacy Thread

Newsom Revises California Budget Deficit estimate to $31.5 Billion

Gov. Gavin Newsom (D-CA) announced that California's budget deficit is now estimated to be $31.5 billion, a figure $9 billion higher than the $22.5 billion figure announced in January.

"We have a $31.5 billion challenge, which is well within the margin of expectation and well within our capacity to address," Newsom said at a press conference on Friday.

The increased budget deficit is a symptom of the state's progressive tax code, which relies on high-income taxpayers whose income is dependent on the stock market. Capital gains are lower than in recent years, leading to less revenue.

Newsom revises California budget deficit estimate to $31.5 billion
 

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