Campbell's Predictions

Republican gubernatorial hopeful, Tom Campbell, recently spoke at a Cato Institute event down south. Among other things, he tossed out a couple predictions.

The most likely end result of the state budget mess:

Dysfunctional partisan “stalemate” returns, the Legislature is unable to pass a budget, and the state starts missing payments on its bills sometime in July. At that point, he believes, some unpaid vendor or vendors would file a class action suit and the state would find itself in court being ordered by some federal judge (Article 1, Section 10 of the U.S. Constitution prohibits states from defaulting, Campbell asserted) to sell off assets and take other actions to pay the bills.

And when the recession ends he sees inflation increasing to at least 13%.

Let's try and remember this and see if he's right. No way of telling when the recession will end, but we should see whether or not he's right on the budget within a couple months.