The begining of the end or how regionalism can transform our republic
Back in 1989, I came to conclusion that it was highly probable that the Soviet Union would fracture. Granted it was 2 years early but the signs were clear; overspending, rising nationalism, a distracted and overextended foreign policy and an uncontrolled shifting away from a centralized totalitarian government.
A few years later, during Bill Clinton's Presidency, I became concerned that rising regional discord brought on by a tax system that was now shifting tax receipts between states, rather than applying those funds on a federally prioritized basis, would start the US down a similar path. My argument was that citizens were clearly more concerned about local issues and problems and resent their tax dollars being "exported" and applied to those of another state located across the country. For example, my home state of New Jersey, as a percentage of federal spending applied to each state, sends more dollars to Washington then it receives back. So effectively federal tax dollars raised in NJ are being sent to California to address their fiscal mismanagement when the money could stay local and be applied to NJ's own fiscal mismanagement.
Yesterday, the people of Massachusetts, a traditionally liberal and democratic state, reacted en masse, along those lines. As Massachusetts requires it's residence to carry health insurance or incur financial penalties (sound familiar), approximately 97% of the population are insured. Additionally, those whose incomes are low enough, qualify for subsidized insurance paid for by state taxation. So what happened yesterday? The people of the commonwealth of Massachusetts elected to put their interests first. They have a working system that effectively provides universal coverage and they are already heavily taxed; it is completely understandable that they do not want to subsidize health insurance coverage in other states.
To be clear, I am not judging or advocating any political positions. I am not suggesting that the US will fall into another civil war and "Balkanize". I am simply pointing out what I see as a trend that will undoubtedly have a significant effect on the social, economic and political landscape in the years to come.
A few years later, during Bill Clinton's Presidency, I became concerned that rising regional discord brought on by a tax system that was now shifting tax receipts between states, rather than applying those funds on a federally prioritized basis, would start the US down a similar path. My argument was that citizens were clearly more concerned about local issues and problems and resent their tax dollars being "exported" and applied to those of another state located across the country. For example, my home state of New Jersey, as a percentage of federal spending applied to each state, sends more dollars to Washington then it receives back. So effectively federal tax dollars raised in NJ are being sent to California to address their fiscal mismanagement when the money could stay local and be applied to NJ's own fiscal mismanagement.
Yesterday, the people of Massachusetts, a traditionally liberal and democratic state, reacted en masse, along those lines. As Massachusetts requires it's residence to carry health insurance or incur financial penalties (sound familiar), approximately 97% of the population are insured. Additionally, those whose incomes are low enough, qualify for subsidized insurance paid for by state taxation. So what happened yesterday? The people of the commonwealth of Massachusetts elected to put their interests first. They have a working system that effectively provides universal coverage and they are already heavily taxed; it is completely understandable that they do not want to subsidize health insurance coverage in other states.
To be clear, I am not judging or advocating any political positions. I am not suggesting that the US will fall into another civil war and "Balkanize". I am simply pointing out what I see as a trend that will undoubtedly have a significant effect on the social, economic and political landscape in the years to come.
Labels: Balkanize, Health Insurance, Massachsettes, Scott Brown, Soviet Union
posted by DK at 6:24 AM
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