Death Spiral States
They might as well give you your own dependent to take home with you - maybe they could mow the lawn or do the floors?
- A writer at Forbes Magazine has identified a phenomenon called the “death spiral states.” Sounds intimidating, right? Fox Business Network’s Melissa Francis broke down what you need to know on America Live today.
The category includes 11 states where private sector workers are outnumbered by people who are dependent on the government. That number would include state workers, and people who are receiving welfare or pension. For example, in California the ratio of “takers versus makers” is bigger than one. If you own a software company that employs 100 people, you’re supporting 139 other people in the state who are on the “takers” list.
Credit worthiness was the second factor worked into this equation. To calculate that, Forbes looked into large debts, uncompetitive business climate, weak home prices and unemployment trends for each state.
And guess who's on the list?
$85 billion in debt, failing businesses, dying tourism, and citizens moving out of state as fast as they are able.
Labels: money questions