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Lessons from California: The perils of extreme democracy

economist.com

11–20 of 34 posts

Re: Lessons from California: The perils of extreme democracy

#11
post #3

"A democracy cannot exist as a permanent form of government. It can only exist until the voters discover that they can vote themselves largesse from the public treasury." - Someone, probably with a T in their name. [1] Having one or two layers of bureaucracy can provide a powerful buffer to voters doing things for immediate gains, or based on popular trends. Certainly some of how modern governments are set up is base…

People (especially Americans) often forget that a bureaucracy that slows things down can provide the occasional benefit, right along with all its costs.

Americans should be especially loath to forget this. Our government was engineered with the goal of making it very difficult to get anything done through government.

Re: Lessons from California: The perils of extreme democracy

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Unlike California (37 million), http://en.wikipedia.org/wiki/Direct_democracy is more suitable for smaller nations like Switzerland (7 million)

One thing I've often thought - but never investigated to test - is that governing at scale requires different policies and approaches than governing at 'small'. What always brings it to mind is the oft-cited success of the Scandinavian states on welfare, as compared with the USA.

> What always brings it to mind is the oft-cited success of the Scandinavian states on welfare, as compared with the USA.

Size isn't the only difference - the US is far more diverse.

Compare Sweden http://en.wikipedia.org/wiki/Demographics_of_Sweden with LA http://en.wikipedia.org/wiki/Demographics_of_Los_Angeles .

Sweden is about as diverse as Wisconsin http://en.wikipedia.org/wiki/Madison,_Wisconsin#Demographics .

Re: Lessons from California: The perils of extreme democracy

#13
post #5

I'm not a fan of direct democracy but this article isn't factually based. Notice they only give one specific example. That one example is Prop 13 which limited the amount of taxes that could be put on property and required a two-thirds majority to pass any tax increases. Now let me ask this: If Prop 13 is such a hindrance why is California in the top 5 highest taxing states across the board? Beyond that most of the i…

>but this article isn't factually based

There's more than one article and there's lot's of facts in them.

>If Prop 13 is such a hindrance why is California in the top 5 highest taxing states across the board?

I don't understand your question or the point you are trying to make.

>So California's problems are not because of direct democracy.

I'm sure it can be argued that CAs problems are not the initiative process, but you haven't begun to do that.

>they are (by their own admission) a left-leaning publication

Source? "free trade, free markets" - doesn't sound left leaning. They claim to be centrist. Unless there is some other proof that they are in cahoots with CA democrats it seems pretty unlikely that they ran the articles to help them.

Re: Lessons from California: The perils of extreme democracy

#14
post #9
post #5

I'm not a fan of direct democracy but this article isn't factually based. Notice they only give one specific example. That one example is Prop 13 which limited the amount of taxes that could be put on property and required a two-thirds majority to pass any tax increases. Now let me ask this: If Prop 13 is such a hindrance why is California in the top 5 highest taxing states across the board? Beyond that most of the i…

1) I believe your "top 5 highest taxing states" is inaccurate. In 2000, at least, California ranked 19th in combined state + local tax burden according to the U.S. Census Bureau, which is decidedly middle of the pack. Pretending like we're the most highly taxed state in the country is deceptive and gives the impression that good governance (well, bad in our case) comes for free. Note that though the ranking of 19th d…

I believe your "top 5 highest taxing states" is inaccurate. In 2000, at least, California ranked 19th in combined state + local tax burden according to the U.S. Census Bureau, which is decidedly middle of the pack.

Is that burden in dollars-per-capita or burden in percentage-of-GDP? Since California has a higher GDP per capita than most states you could both be right.

* Note that though the ranking of 19th does factor in our larger economy, it doesn't account for the reality that more highly advanced economies require a better trained and more specialized bureaucracy. So just as we shouldn't be surprised when Sweden has a better compensated civil service than Namibia, all things being equal we should expect for California government to account for a larger portion of the economy than Mississippi's or Oklahoma's*

Sweden vs Namibia ain't exactly California vs Oklahoma. In particular, Oklahoma's state government provides pretty much exactly the same services as California's... it just provides them much cheaper.

The point remains, I think, that it's fairly disingenuous when folks (almost always folks whose own personal ox is unlikely to be gored in this case) suggest that Prop 19 is responsible for the California budget woes. California's state government is rolling in money, it's just that they're incredibly bad at spending it.

Re: Lessons from California: The perils of extreme democracy

#15
post #9
post #5

I'm not a fan of direct democracy but this article isn't factually based. Notice they only give one specific example. That one example is Prop 13 which limited the amount of taxes that could be put on property and required a two-thirds majority to pass any tax increases. Now let me ask this: If Prop 13 is such a hindrance why is California in the top 5 highest taxing states across the board? Beyond that most of the i…

1) I believe your "top 5 highest taxing states" is inaccurate. In 2000, at least, California ranked 19th in combined state + local tax burden according to the U.S. Census Bureau, which is decidedly middle of the pack. Pretending like we're the most highly taxed state in the country is deceptive and gives the impression that good governance (well, bad in our case) comes for free. Note that though the ranking of 19th d…

> Most technocrats, be they left or right, absolutely hate the 40% rule as well

Since technocrats hate any restrictions on their power....

Technocrats have had small successes but in the large they've been a disaster.

> Government by ballot box is terrible.

It's better than the alternatives.

Re: Lessons from California: The perils of extreme democracy

#16
post #10
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Unlike California (37 million), http://en.wikipedia.org/wiki/Direct_democracy is more suitable for smaller nations like Switzerland (7 million)

Imagine a world where California were 4 or 5 separate states. Mendocino to Santa Cruz, including the Bay Area, as one; LA and Ventura as another; San Diego and the Inland Empire as a third; Central Valley, Shasta, etc. as the 4th. Probably would improve governance, as the Republican Party we deal with in the Bay Area would offer people like Tom Campbell instead of Prop 8 NOMers.

I've always thought that the problem with America is too many states, which allows effective one-party states to develop.

In Australia there's only six states, and they're all large and demographically diverse enough to be (in the American terminology) purple. That means that there's a regular cycle of kicking the bums out and installing the other set of bums every few election cycles, keeping things relatively healthy.

In the US, though, problems seem to develop when one party controls the legislature more or less indefinitely. In blue states this leads to slowly-collapsing economies where public-sector unions slowly suck increasing amounts of money out of the economy, and in perma-red states this leads to zany places where sodomy is theoretically illegal and you can't even buy a vibrator.

So what we really need to do is join California up with Nevada, Arizona, Idaho... maybe even as far as West Texas.

Re: Lessons from California: The perils of extreme democracy

#17
post #9
post #5

I'm not a fan of direct democracy but this article isn't factually based. Notice they only give one specific example. That one example is Prop 13 which limited the amount of taxes that could be put on property and required a two-thirds majority to pass any tax increases. Now let me ask this: If Prop 13 is such a hindrance why is California in the top 5 highest taxing states across the board? Beyond that most of the i…

1) I believe your "top 5 highest taxing states" is inaccurate. In 2000, at least, California ranked 19th in combined state + local tax burden according to the U.S. Census Bureau, which is decidedly middle of the pack. Pretending like we're the most highly taxed state in the country is deceptive and gives the impression that good governance (well, bad in our case) comes for free. Note that though the ranking of 19th d…

> In 2000, at least, California ranked 19th in combined state + local tax burden according to the U.S. Census Bureau

http://en.wikipedia.org/wiki/State_tax_levels_in_the_United_...

says that CA is 11th on a per-capita basis. However, Alaska (which is number 1) gets almost all of its tax revenue from folks who buy oil, most of whom are in other states/countries. IIRC, Wyoming, #4, is similar. I don't recall whether CT and DE, #5 and #7, get a lot of their revenue from corporate francise fees, which are also (effectively) paid by folks in other places.

Re: Lessons from California: The perils of extreme democracy

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post #7

Unlike California (37 million), http://en.wikipedia.org/wiki/Direct_democracy is more suitable for smaller nations like Switzerland (7 million)

I think there are many cultural reasons why these things tend to work out okay in Switzerland but not so much in other countries. Swiss people are (and yes, I'm about to overgeneralize about an entire country here, but I'm pretty sure it's true en massse) fairly mature and responsible people, keenly aware and extremely protective of the uniqueness of their country.

Re: Lessons from California: The perils of extreme democracy

#19
post #5

I'm not a fan of direct democracy but this article isn't factually based. Notice they only give one specific example. That one example is Prop 13 which limited the amount of taxes that could be put on property and required a two-thirds majority to pass any tax increases. Now let me ask this: If Prop 13 is such a hindrance why is California in the top 5 highest taxing states across the board? Beyond that most of the i…

Why aren't you a fan of direct democracy?

I thought The Economist leaned right on some issues....

Re: Lessons from California: The perils of extreme democracy

#20
Wow, they're really going to argue that this is about costs? :|

I think the real problem is that there's still a state government. The people who know how to balance the budget best and know what needs/wants they need to fulfill are the people in local communities and counties. Give them more power to deal with the budget and make the state government a council of delegates from each of those counties and you won't have much of a problem anymore.

Indeed, in their guise of “Publius” in the “Federalist Papers”, Madison and Hamilton warn against the dangerous “passions” of the mob and the threat of “minority factions” (ie, special interests) seizing the democratic process.

They wanted a republic where representatives were accountable to their constitutients. That doesn't happen anymore. Too often do representatives ignore the ideas and opinions of their constituents. A representative should be asking his constiuents wtf to do instead of being completely autonomous (except on election day). The minority factions are the representatives themselves which is why it's very important to keep any and all direct democracy actions.

Initiatives should be far harder to introduce. They should be shorter and simpler, so that voters can actually understand them. They should state what they cost, and where that money is to come from. And, if successful, initiatives must be subject to amendment by the legislature.

So give less voice to the people who actually make up the state. Shorter and simpler because people are dumb? Why not make them longer with more arguments to support them, or have them written in 2-3 different ways as a counter to any biased/emotionally-heavy language?

The initiatives are voted on on a state-level. It's difficult to estimate costs on something like that and it's difficult to say where the money will come from. I guess it's a good idea though because then the marijuana legalization initiative could say "this will cost $0, and will earn us $X".

They shouldn't be subject to amendment by the legislature. They should be subject to amendment by the citizens. That might curb any special interest group bullshit.

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