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Wednesday, October 15, 2008

Sarah Palin - Alaskans are throwbacks to a more self-reliant America. Not exactly.

In Alaska, we save our money the old-fashioned way, by financing needs and luxuries off the federal dole and from oil cash?

Apparently, living high off the hog IS the truth of things, in true pork barrel style, in our northernmost state. See, here:

Palin's Self-Reliant Image of Alaska Is Bogus -- By David Morris, originally published in Alternet, September 15, 2008 [David Morris is vice president of the Institute for Local Self-Reliance, based in Minneapolis and Washington, D.C.

About ILSR: The Institute for Local Self-Reliance is a nonprofit organization founded in 1974 to advance sustainable, equitable, and community-centered economic development through research and educational activities and technical assistance. More at http://www.ilsr.org]


In her latest comment on the "Bridge to Nowhere" controversy, Sarah Palin appealed to the self-reliant, individualist, rugged, anti-government image most Americans have of Alaska. "If we wanted a bridge," she declared, "we would build it ourselves."

Actually, much of Alaska long ago lost the tradition of self-help. Palin might be campaigning on an anti-government, do-it-yourself platform, but her state is the most dependent on the federal government of all 50 states. Washington sends Alaska more money per capita than any other state. Alaskans receive back from the federal government almost $2 for every $1 they send to Washington. It's a sweet deal.

And when it comes to government pork, Alaska is king. As USA Today noted back in March, Palin's state ranks number one -- no other state is even close. In 2007 Alaska received some 2.5 times as much as runner-up Hawaii and 15 times more than the national average.

Alaska has by far the most state government employees per capita as any other state and about five times as many as Obama's Illinois.

The part of Alaska not dependent on federal government largesse is dependent on big oil. Almost 90 percent of Alaska's general budget comes from royalties and taxes on oil, which explains how the state can be number one in state government spending while ranking far down the list in taxes its residents pay. Alaska has no income tax or sales tax. Recently, its legislature suspended the gasoline tax.

Up to a quarter of an Alaskan's family income comes directly from the profits of oil companies. [...]

Alaska has the most unbalanced and least diversified economy of all 50 states. Yet politicians like Palin do not appear to have the courage to change that imbalance. About 95 percent of the Permanent Fund is invested outside the state. Exxon Mobil Corporation is the fund's single highest valued stock holding. The state legislature has appropriated little money to diversify the economy and prepare for a new age of renewable energy.

This year Alaskans will receive a dividend check of some $2,000 for every man, woman and child. Palin requested that the legislature add another $1,200 to offset rising energy prices. Most legislators agreed. The check, to go out in a couple of weeks, will certainly boost her popularity before the presidential electioin, and Alaskan households are definitely hurting because of their high energy prices. But assuming that households use the money to pay energy bills, Alaska is sending part of the oil revenue it is receiving back to the oil companies to pay their customers' bills. That may be a short-term palliative. But Palin quickly quashed legislative proposals that money be spent in a way that might help reduce a household's reliance on oil.


While the role of Todd Palin in the Wooten - Troopergate situation, where Sarah Palin was found to have breached ethics law via misuse of the governor's office, was a role perhaps amplified by Palin recollections to lessen the attention to the direct kinship and possible motivation strength of the governor, herself; that which may have redirected Alaskan attention has been viewed as cause for concern, with the Palins positioned as they are with a 72-year old as GOP presidential candidate. That theme, with the photo of the Palins, is explored on Alternet, this item.

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Original online photo of the Lil' Abner coin bank (for saving by not spending your cash), here. It's a "1953 Lil Abner Bank From Improvement Savings Bank," asking price $125.

More on candidate Palin, here and here.