…the state would probably be run much more efficiently than it is today. Their methods, though, might leave something to be desired.
However, the methods employed by Governor Jon Corzine leave a lot to be desired. Corzine wants to increase New Jersey’s sales tax rate by 16.67% (from 6% to 7%), and add a $1,424/month “bed tax” on hospitals. Certainly, it’s creative, but as Professor Maule notes this fee tax would just be passed on to users of hospitals. Health insurance premiums would rise, and hospitals will suffer. It’s likely that the number of available hospital beds would shrink. It is basic economics.
Luckily for residents of the “Garden State,” even his Democratic colleagues in the New Jersey Legislature aren’t happy with his proposals. The Newark Star-Ledger quotes Assemblywoman Joan Quigley as stating, “[this tax money would go into] a black hole…We are taxing hospitals to pay for roads and jails.”
Given the political climate in New Jersey (corruption and a very dysfunctional electorate) I won’t be surprised if Governor Corzine’s budget is implemented.
News Stories: Philadelphia Inquirer, Newark Star-Ledger