It’s no joke: the state sales tax goes up tomorrow. What will that mean for car sales and local government? Will California get as much new revenue as the Governor says it will? On our rebroadcast of today’s To the Point, cozy relations between Wall Street and Washington make the US look like Argentina, Russia and Indonesia. So says a former chief economist for the International Monetary Fund. We talk to him about “financial oligarchs” with too much political power.
FROM THIS EPISODE
Argentina, Indonesia, Russia and other so-called “emerging economies” have followed a pattern that’s all too clear to officials of the International Monetary Fund. Entrenched financial elites take too many risks during good times, and when times go bad they can’t pay their debts. But they’ve accumulated so much influence that governments can’t call them to account and the rest of the country suffers.
Simon Johnson, former Chief Economist, International Monetary Fund
Desmond Lachman, former Deputy Director of the Policy and Review, International Monetary Fund
Thomas Ferguson, Professor of Political Science, University of Massachusetts
Michael Mandel, Editor in Chief, Visible Economy
Billboards, radio ads and reminders by mail are urging California consumers to “Buy Now,” before the state sales tax goes up tomorrow by one cent on the dollar. We look at tomorrow's tax increase and its possible impact on California.
Peter Welch, President, California New Car Dealers Association
Rudy Cabriales, Mayor, City of Victorville
Sung Won Sohn, Professor of Economics, California State University Channel Islands
Jean Ross, California Budget Project