MCViewPoint

Opinion from a Libertarian ViewPoint

Posts Tagged ‘Washington state’

The Real Reason Politicians Want Legal Cannabis Is Tax Money | Mises Wire

Posted by M. C. on December 28, 2021

https://mises.org/wire/real-reason-politicians-want-legal-cannabis-tax-money

Georg Grassmueck

The latest two states to legalize recreational cannabis are New York and New Jersey. However, if one believes governors and legislators in those states have finally adopted a more libertarian view of the topic, one will be severely disappointed. Legalization of recreational cannabis in both states is driven by the need for tax revenue—tax revenue to plug the holes in state budgets for social programs, holes in the state budget that were exasperated by the failed covid policies in both states. Politicians, clever as they are in hiding their true intentions for public policy changes, want the public to believe that legalization is mostly aimed at ending decades-long practices of racist cannabis enforcement, pointing to the disparities in drug enforcement. However, one will quickly realize that this is only a smokescreen to hide the true reason.

A good starting point is Colorado. In 2002, voters in Colorado passed Amendment 64 and legalized recreational cannabis. Over the last six years, Colorado has collected over $1.6 billion in cannabis taxes and fees at the state level alone. In 2014, Colorado collected just shy of $70 million in cannabis tax revenue, and by 2020 it collected close to $390 million. The State of Washington, probably the closest example to use in estimating the size of potential cannabis tax revenue for both New Jersey and New York, depending on how each state structures the taxes and fees imposed, collected in 2015 close to $65 million in cannabis taxes. By 2020, the number had increased to $470 million, an increase of $400 million in five years. While Colorado levies a 15 percent excise tax and a 15 percent sales tax on cannabis, Washington State levies a 37 percent retail tax on cannabis (for details, see the Tax Foundation). Even in Oklahoma, which created arguably the most free-market cannabis industry in the country, with no limits on how many business licenses can be issued, after voters approved Oklahoma State Question 788 in 2018, lawmakers are very candid about being motivated by dollar signs in times when states are facing a budget crisis. From June 2020 to 2021, Oklahoma collected almost $140 million in revenue from excise and license fees.

Colorado and Washington State have shown governors in the Northeast and Mid-Atlantic how much potential revenue from the legalization of recreational cannabis has been slipping through their fingers. New Jersey and New York, both with projected budget shortfalls, are eager to take advantage of the new potential revenue source. The first state to act was New Jersey. In March 2021, New Jersey governor Philip D. Murphy signed into law three bills that effectively permit and regulate the use of recreational cannabis. At that point, New Jersey was the most populous state in the Northeast ahead of Massachusetts to fully legalize cannabis. While Governor Murphy and state lawmakers talk about ending disparities in drug enforcement and the problem of subsequent overcrowded prisons, behind the scenes lawmakers are already counting on a new source of revenue to continue their spending programs. The new legal cannabis industry in New Jersey is expected to generate about $126 million a year in revenue for the state. Not to be outdone by their smaller neighbor, New York state lawmakers, worried about losing out on significant tax revenue to New Jersey, in July 2021 approved a bill to legalize recreational cannabis. Facing a budget shortfall of more than $60 billion over the next four years, New York’s legalization of cannabis is estimated to generate about $300 to $400 million annually in tax revenue when the legal market is fully established. New York, by far the most populous state in the Northeast, may serve as a catalyst for the cannabis industry in the region. According to the New York Medical Cannabis Industry Association, the cannabis market in New York is estimated to be worth about $4.2 to $4.6 billion and projected to grow to about $5.8 billion in 2027. Pennsylvania, having the longest border with New York, may be forced to legalize recreational cannabis use in order to not lose out on tax revenue. Already a bipartisan bill legalizing recreational cannabis has been introduced in Pennsylvania. More and more states are realizing that legalizing recreational cannabis is the easiest new source of significant government revenue. In April, Virginia became the first state in the South to legalize recreational cannabis.

What is more telling about New York’s motivation to change its attitude towards legalization is the long-standing fight between the governor’s office and the legislature on how to distribute the enormous amount of potential tax revenue that will be generated by legalizing cannabis. Governor Cuomo and Democrats in the state legislature tried several times to legalize cannabis, but each effort unraveled under disagreements over how to regulate the industry. But more telling is the disagreement on how to distribute tax dollars from cannabis sales and distribution licenses. 

Legal sales of cannabis are a few years away in both New Jersey and New York. In Massachusetts, it was two years from the time voters approved nonmedical cannabis to the launch of the state’s first dispensaries. Politicians and lawmakers are already injecting into the legalization effort measures that have little to do with creating a regulatory environment conducive to a growing industry. For example, lawmakers are talking about reserving sizable portions of business licenses for minority business owners, disabled veterans, and distressed farmers. If the Paycheck Protection Program and the Restaurant Revitalization Fund are any indication of the success of such initiative, more money will be wasted on social engineering programs that have nothing to do with supporting small businesses. It is very clear that states’ legalization of recreational and medical cannabis is motivated by a need to tap into a new large revenue stream to balance budgets in addition to ending racist cannabis enforcement. Author:

Georg Grassmueck

Be seeing you

Posted in Uncategorized | Tagged: , , , | Leave a Comment »

A Wilderness of Lies – Taki’s Magazine

Posted by M. C. on March 23, 2021

For example, no one living in Russia accepted what was told to them through state media as the truth. It could be true but was most likely false. The game was to figure out what the lies meant. Instead of poring over photos in the newspapers, citizens relied on their personal networks to provide a narrative that explained what they could see happening around them. There was public truth and private truth.

This is something Americans are learning. When consuming American media, you start with the assumption that the narrative is false. The framing of the story is always a self-serving fairy tale. You eliminate that and then try to figure out a new narrative from the facts that can be verified. Figuring out what is really happening has become a booming industry for independent commentators and analysts.

https://www.takimag.com/article/a-wilderness-of-lies/print

The Z Man

Way back in the before times, a regular feature of the media was the Kremlinologist, who would be brought in to explain something about the Soviet Union. Strictly speaking, Kremlinology and Sovietology were different things. The former focused on Russia and its role in the Soviet system. The latter focused on the Soviet Union as a whole, as if it was a single organism. The terms were often used interchangeably in the Cold War.

Further, the media version of the Kremlinologist was something like the court astrologer, in that they were tasked with using their secret knowledge to explain what was happening with the Russians. If Brezhnev was seen as distracted at a public ceremony, the Kremlinologist would be brought in to explain its meaning. The Kremlinologist became a carnival act toward the end of the Cold War.

Kremlinology and Sovietology were useful to statecraft, however, as the Soviet system was a black box. The West had its spies, but many of those spies were double agents used to feed the West false information. In the wilderness of mirrors that was the rivalry between East and West, the Kremlinologist was useful in helping to sort the facts from the deliberate fictions. They helped contextualize Kremlin behavior.

No doubt the roles are now reversed. The rest of the world is forced to develop experts at analyzing the American regime in order to understand what is going on in Washington and why it is happening. The administrations of Bush, Clinton, Bush, and Obama were like the Brezhnev period of the Soviet Union. The rhetoric changed from one administration to the next, but public policy, especially foreign policy, did not change. “When consuming American media, you start with the assumption that the narrative is false.”

Then we get Donald Trump. The logic of the American political class said that a populist firebrand could never win a primary, much less a general election. The system made sure of that after the Perot and Buchanan scares. Trump wins and official Washington has a nervous breakdown trying to expel him from the capital. Eventually they replaced Trump with a dementia patient and the empire no longer makes any sense.

The Soviet analogy is not a perfect one, of course. Trump was more like Khrushchev, a reformer who failed to reform the system and was pushed out by hardliners. Biden, on the other hand, is a good analog for Yuri Andropov and Konstantin Chernenko, two men long past their prime, who were installed as placeholders. They did not last long and were eventually replaced with a younger man, which is what will happen with Biden.Read more

Historical analogies are not supposed to be perfect. They are simply a useful way to use the past to shed light on the present. As the American empire follows down a similar path as the Soviet empire, the comparisons between the two are helpful in understanding what is happening in Washington. Just like the Kremlinologist of yesteryear, we are left to guess about the internal workings of the ruling regime.

That is another aspect of Kremlinology useful for us today. Outside the system, academics in the West pored over publicly available information to explain to the public what was happening inside the Kremlin. American intelligence did the same thing but relied on data not available to the public. Inside the Soviet empire, however, people came to understand their rulers using similar techniques.

For example, no one living in Russia accepted what was told to them through state media as the truth. It could be true but was most likely false. The game was to figure out what the lies meant. Instead of poring over photos in the newspapers, citizens relied on their personal networks to provide a narrative that explained what they could see happening around them. There was public truth and private truth.

This is something Americans are learning. When consuming American media, you start with the assumption that the narrative is false. The framing of the story is always a self-serving fairy tale. You eliminate that and then try to figure out a new narrative from the facts that can be verified. Figuring out what is really happening has become a booming industry for independent commentators and analysts.

You see this with the Covid panic. The one thing everyone agrees upon is that the virus did not start from a bat market in rural China. That is the official explanation, but everyone knows it is a lie. Similarly, few people think the government measures have much to do with public health and safety. Some do, but they are mostly old people more afraid of the Grim Reaper than being lied to by their government. The result is we have lots of theories about what is “really happening” behind the Covid scare.

Similarly, the militarization of Washington is becoming another topic for regime experts to analyze. The bizarre reaction of the inner party to the very peaceful demonstrations in January makes no sense at face value. There must be another reason for why they are telling the citizens that they will shoot the next demonstrators who come into the city to petition their rulers for redress. The question is, what are they plotting next?

That is the problem with black-box government. When Brezhnev was in control of the party, people did not need to know what was going inside the Kremlin, because the Kremlin was predictable. It is why Russians who remember those days look back fondly on those times. It was a time relatively free of politics. They woke up every day knowing the rules were going to be the same as they were yesterday. When the black box became unstable, no one could be sure of anything.

This is the state of the American regime. No one knows what is really going behind the razor wire and Army troops patrolling it. We are left to analyze video of Biden falling down the stairs of Air Force One and reading the body language of his handlers. Amateur linguists try to tease meaning out of his incoherent mutterings on Zoom sessions. The other geriatrics running the party are scrutinized by regime analysts, looking for clues to contextualize their behavior.

Like the Soviet empire, the American empire is now a confusing black box. It does things and makes noises, but none of it can be accepted on its face, so the world is left to guess. As citizens, we are forced to rely on private networks and create our own narratives to explain what we are seeing. There is the public truth and then millions of private truths. This is the result of black-box government. It is a wilderness of lies.

Be seeing you

Posted in Uncategorized | Tagged: , , , , | Leave a Comment »

Rail experts ask why new track in Washington state Amtrak crash did not have speed control system

Posted by M. C. on December 20, 2017

Don’t worry. Government owned and run railroad is on the job. Not too many more people will die before it applies some half-assed patch.

With any luck the next avoidable government disaster will take the heat off Amtrak.

How can a privately run rail system be worse or more expensive than this?

Government won’t follow it’s own rules but woe to you for not doing as you are told.

http://www.latimes.com/nation/la-na-washington-amtrak-derailment-20171219-story.html

The new 14.5-mile bypass, developed by the local government agency Sound Transit, was designed to allow the train to travel at faster speeds by avoiding cargo traffic.

But the passage was not yet equipped with what is known as a “positive train control system.” Such systems automatically slow down trains when they are approaching curves too quickly or headed toward a collision with another train.

Read the rest of this entry »

Posted in Uncategorized | Tagged: , , | Leave a Comment »