We’ve all marveled at the stupidity of Manhattan voters, in voting into power some Marxist asshole who is promising all sorts of free stuff in exchange for higher taxes and malevolent gouging of successful businesses and the individuals who made them or run them.
This might work if Manhattan was truly an island, i.e. well away from any mainland, where the population is in essence imprisoned on the island and can’t move out of the Marxist hellhole. This, by the way, is how Marxist governments have traditionally been able to bend their citizens over the desk: by forbidding them to leave or physically restricting their ability to do so.
Fortunately (for the would-be recipients of the looming Marxist economic rape in the Five Boroughs), they have a chance of saving themselves from catastrophe by simply leaving for sunnier climes (in every sense of the word), taking themselves, their businesses and their tax payments with them.
And the scale of said catastrophe? Here’s the pitiless financial analysis:
Put simply, by any normal accounting, New York State is using federal funds to pay $21 billion to NYC. By the same standard, New York City too is presently bankrupt, in the old-fashioned sense that it cannot pay for its extravagant spending, collecting $86.8 billion in total revenue versus outlays of $119.8 billion. The $31 billion needed annually by New York to survive comes, directly or indirectly, from the federal government. That will not last.
But all this is mere prelude to the Mamdani tax-the-rich onslaught about to hit New York City. The numbers are frightening.
At the individual level, in a city of 8.5 million people and 4 million taxpayers, the top 1%, or some 40,000 individuals, account for an estimated 45% of the city’s total $17.4-billion personal income tax receipts. While the New York Post talks of 1 million potentially exiting New York, it is highly likely that at least half of high-income taxpayers will choose escape over life in Mamdani New York. So goes roughly $4 billion, from a mere 20,000 departing for greener pastures. Others are sure to follow. Seventeen point four billion dollars will be the high-water mark for New York City personal income tax revenue.
It gets markedly worse when businesses choose to exit New York, especially financial firms.
The city collects roughly $13 billion in direct taxes on businesses, but the impact of business exit would be far greater, as associated spending ripples through the economy, conservatively tying $30 billion in city tax revenue to business-driven activities. Ten major financial firms alone could reduce NYC tax revenue by $5 billion. The city is at enormous risk, made all the greater by the well understood impact of technology. At a minimum, no financial firm needs to be in New York any longer, especially when the most needed 1,000 firms are specifically targeted by Mamdani for sharply higher taxes.
Put it all together, and New York City revenues are likely to decline, permanently, by at least $10 billion due directly to Mamdani’s actions, adding to $5.5 billion in structural deficits, on top of an already slapdash concoction of sticks and glue that is New York State, made worse by implementation of devastating, and costly, Democratic Socialist Party principles, with President Trump vowing to restrict federal spending to the “bare minimum required by law.”
Read the whole thing for the full gory details.
I read somewhere that actor John Voigt has implored POTUS to somehow overturn the NYC election results, but of course Trump can’t — and shouldn’t. Why not?
Because at some point the vacuous dreams and economic stupidity of Marxists need to explode, spectacularly, so that the people who did not learn the lessons of 1990s Detroit can have their noses rubbed in the foul dirt of utter financial bankruptcy.
And then they have to shoulder the burden of rebuilding the whole thing from the ground up, just as the Germans had to rebuild the shattered German state after 1945 — only without the lifeline of any kind of federal Marshall Plan, because New York City doesn’t deserve it. New Yorkers have always had an unhealthy sense of their own importance and urban grandeur, and this time their collapse through stupidity and cupidity will actually be well deserved.
H.L. Mencken once defined democracy as “the theory that the common people know what they want and deserve to get it good and hard.” Well, New Yorkers exercised their democratic rights… and now the fun begins.
