New York realized it was entering a financial crisis by mid year of 2008 when many investors globally remove their money form the clutches of Wall Street and put their money in Treasury bills, a more secure investment.
Making businesses suffer by having to pay higher cost to run their businesses could cause more damage than good in an already down spiraling economy.
While it was evident that the economy crisis affected investors in the United States it also hit hard at the pockets of investors in Europe and Asia.
It is on record that there are only fourteen countries that have a larger economy than the state of New York. And it doesn’t even make a difference that the cost of living is high because the average New Yorker can still buy more than someone in London or Paris.
New York saw it's worst fears come true when the crash of the stock market caused one of the most serious financial crisis since the great depression of the thirties. Only this time, the downfall began with Subprime mortgages and the stock market. Many major businesses combined lost what was estimated to be in the trillions of dollars.
Although New York has seen a decline in it's manufacturing business,they have been able to maintain some of the manufactures. Among some of the other recognized industries that are becoming commercially and financially stronger are, printing and publishing, advertising, and entertainment.
In October of last year it was already projected that New York would have over 1.5 billion in tax revenues for the next two years, causing Mayor Bloomberg to call for higher taxes.
According to the Mayor, The Governor of New York State, David A. Paterson made an announcement of an award to the tune of fifty-nine million dollars of relief for revitalization and stabilization grants to help people who were affected by the mortgage crisis.
For a long time now New York City’s economy survived by income from taxes paid by Wall Street. But since 2008 the New York’s economy has gotten so bad that more layoffs are inevitable, and with the State already falling deeper into the recession, State Representative Charles Rangel wants to place a surtax on the households that are making a high income in order to pay for a new health plan that would be run by the government. Rangel and many of his Democratic supporters would like to see a 5.4 federal tax increase as soon as the vote is passed. The tax increase would effect only those who make over $800.000. There are other stipulations for couples bringing in over $1 million as well as individuals who's earnings start at $280.00.
Ronnie Tanner is a contributing writer at New York Salvage Yards. He writes about
New York Salvage Yards,
Salvage Yards in Buffalo and other industry specific topics.
