What Happens When California Defaults?

[CARLHAYDEN]

First, investment in California government debt instruments will dry up.

Second, the question which has been lingering for nearly fifty years is whether the judiciary can order tax increases (there was an interesting case in Kansas City schools on that issue many years ago).

Third, can a judge and/or his representative order spending reductions?  The D.C. case may shed some light.

Fourth, the chances of the California government getting its act together (slim to none).

[CARLHAYDEN]

part of the reason I am fleeing the West Coast

So, you destoyed California with your socialist nonsense.

Now you're looking to bring your disease to other states.

[CARLHAYDEN]

It's cool.

They have a restart button.

Hopefully they can restart without Prop 13 which helped get them into this position in the first place.

Don,

Why do you want higher and higher and higher and higher taxes?

Have you given some thought to decreasing spending?