Re:Can Facebook Save California?
by nowarninglabel on Saturday December 25, 2010 @11:43AM
(#2039078)
The shortfall itself is due mostly to decreased revenues as opposed to increased expenditures. That said, pension expenditures are a fairly good size chunk. There is a decent overview here http://reason.org/news/show/fix-california-pension-crisis but if you want to drill down through the data itself, it is available here: http://www.ebudget.ca.gov/Enacted/agencies.html
[ Parent
| on HN ]
Yes, pensions are a major part of the shortfall but I specifically said outrageous pensions payouts. It remains to be shown that the shortfall comes from outrageous pensions. I've noticed that often times people mention the unfunded pension liabilities in California and then point to a few extreme examples. Are the extreme examples causing the problem?
There are structural problems with California governing system that give more plausible reasons for its present problems. To go from Facebook setting up a data center in order to save a few million dollars to an extreme pension abuse example is very weak.