Our last post made the point that the Fed govt would become more and more militant in collecting income taxes. Ditto for local property taxes. Those empty car dealerships will take a big chunk of both property tax and sales tax revenue on reduced car sales. Hmm, less tax on non existent inventory come to think of it.
So an enterprising couple with the most expensive house in SA, has decreased their property tax by $50,000. The solution was to install a 'herd' of 18 miniature donkeys, garnering an agriculture exemption. House values are falling, more homes are becoming rentals in the absence of a ready market. Yet local governments are not able or wiling to do what really ought to be done.
And that is,
cut salaries not positions. Cutting positions and closing libraries does nothing for service and puts otherwise employed folks on unemployment. Instead of annual pay increases, I suspect an annual expected pay decrease of say 5% for all, would be much more realistic. Employees could cut back on lifestyle and be glad they still have a job. Business is slashing like made, govt is not, when do we have more people working for govt, riding in the wagon, than pulling the wagon, working in business.
Professor Elam 
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