Everyone wants a piece of the pie.

Today five Democratic governors asked the Federal Government for a nation-wide bailout of $1 trillion dollars. Three major things I see wrong this:

1) If this money is allocated to the union of states, who is going to pay for it and how? Also, who is going to oversee this allocation? With a Democratic controlled congress, there is a great chance of a conflict of interest toward home states, marginalizing other states in favor for others.

2) The Federal Government's bailout to the Big Three Automotive industry will be paid back eventually, so although unfavorable in my book, at least there is some delayed gratification. If the $1 trillion state-bailout goes toward public institutions and agencies on the state level, how will this ever be paid back to the Federal government? Bear in mind public institutions are not profit-driven and I feel this money will just be squandered and the states will end up asking for more...which leads me to my final point.

3) A bailout of this magnitude will further promote the need of big government. States will develop and enable a deepening dependence upon the Federal Government. Fostering a policy like this will only force states to forfeit their rights mostly because of the leverage the Federal Government will become ever stronger.

Its funny to me. States, such as New York, have initiated 88 new taxes upon its citizens, yet claims there is still a need because of growing deficits due to a tax revenue plunge? I'm sorry David Paterson, that simply makes no sense. In my opinion, if you over-tax your citizens, they will simply find ways to avoid them, such as boycotting consumer products. This does not promote growth and free economic enterprise. I'm sorry, its not the Federal government's job to "jump-start" the economy. Let private enterprise and ingenuity fix the economy because handouts are not compatible with capitalism; it is a band-aid on a bullet wound.

Here's the full story. Thank you Drudge.