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How to Save the State of California Essay

In order to save the state of California, it is necessary that everyone should pitch in, and this means we all have to sacrifice. Government aid to the state is already out of the question, as what the Obama Administration indicated. This is a big blow to the state, but we still have a few more solutions to this problem. We take into consideration what we really want for California, and with that, we’re left with two choices for a solution: short term results, or long term benefits.

For me, it is best if we choose the solution that would lead to long term benefits. This means we’ll all have to agree to increase in taxes and reduced salaries, because it will be more beneficial for us in the long run. In John Maynard Keynes’ An Open Letter to President Roosevelt, the author differentiated recovery from reform. For him, recovery is about speed and quick results, while reform is about the “wisdom of long-range purpose” rather than immediate achievement (Keynes).

If we are to apply this to the current situation of California, recovery involves the immediate solution to the current economic slump, say, pumping more money to investors and big companies so that they won’t go out of business. On the other hand, reform would entail a sequence of actions, step-by-step processes in order to save California from the economic slump, not only for today, but also for the many more years to come. We can also see this case in another perspective. The current economic slump could be considered as a disease that affected California.

Recovery in this case, would be the immediate remedy to the disease, in order to relieve the state of the manifestations of illness. On the other hand, reform would be the cure to the disease, wiping it off the body of California permanently. Indeed, it may take a long time to develop such a cure, but it is well worth it, as we would be assured that California would not suffer from it again. On the other hand, a short term remedy doesn’t mean that the disease would resurface again and affect California once more.

Because of this, the solution that I prefer more is the one that would bring the long term benefits. An increase in the tax, as well as a reduction in the wages of the workers would surely be a big burden to handle, but it is very important in order to cure California of the economic ailment. This is a sacrifice that we all have to do. This would be very hard for all of us, since it would lead to a decrease in the money that we can spend for ourselves and our families. Tax increases and reduced salary would really reduce what the workers earn.

Also, the state’s support for other services offered would have to be reduced, and it will really be a burden to the people. Again, these are just some of the sacrifices that we’ll have to make, the opportunity cost if we would resort to this kind of solution. This would result to the availability of funds that would be used to fuel the economy, something that we’re all hoping to happen. In the long run, we may be able to achieve a more stable economy if we would all help now. With the money that would be saved from tax increases and salary cuts, we could save industries that would help revive the economy.


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