GOP Policies and the California Economy

* David Friedman’s argument that California is not a “growth state” because of liberal policies is absurd (Opinion, Jan. 7). Although the growth rate dipped after the Republicans’ military spending cuts drove L.A. into riots in 1992, the state has been growing at a healthy rate. At the time of the riots, then-President George Bush was running up the largest deficit-spending package in U.S. history, and California was not receiving its appropriate share of the spending. Despite the recession, California contributed more to federal coffers than it received in contracts and subsidies. If California, New York, New Jersey, Connecticut and Massachusetts (which Friedman defines as “slow-growth” states) demanded that the amount of money collected in taxes and tariffs remain in their respective states, the economic growth in many conservative states would never materialize. Many conservative states still do not contribute more than they receive in contracts and subsidies.

Once again a Bush presidency coincides with a troubled economy. We all know the outcome of Republican trickle-down economic policy. Is it any wonder that on the eve of its return the economy shudders?

THOMAS L. RODGERS JR.

Los Angeles

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Friedman has the unbelievable gall to suggest to President-elect George W. Bush that he deliberately refrain from any attempt to mitigate the looming downturn, possibly a recession, in order to punish those states that did not vote for him in the recent election. I hope (and believe) that Bush has a more enlightened and less cynical understanding of the duties and responsibilities of his office in managing the economic affairs of the country.

LEO A. GOLDBERG

Los Angeles

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It is depressing to realize that our new president-”elect” is still after his ridiculous tax cut. Where was he when fiscal policy geared to stimulate the economy was replaced by monetary policy and the Fed? Bush’s proposed tax cut ultimately puts more money in the hands of the wealthy and offers more chance of debilitating the economy. I’m sure Bush can find other issues to spend his energy on, or else the Fed will have some cleaning-up-after to do.

MICHELLE ROBERTS

Riverside