Santa Barbara Independent on pensions:The steady climb of pension payouts (pictured) has been taking bigger and bigger chunks from Santa Barbara Unified School District’s budget as school districts statewide have been required to contribute more to their retiree’s benefit packages since state law was changed five years ago.“It’s mind-boggling to me where we’re going,” said school board president Kate Parker earlier this month. “What it feels like is that we’re heading toward a system where we’re only paying for future retirement and not able to fund cost-of-living increases for people working right now.”Emphasis mine. The school president has made herself clueless when she prices wages to inflation in a fessed ratio. Absent a fair traded wage setting, she will remain price clueless.
Why haven't the economists informed government officials that inflation adjustments are a dis-eqiuilibrium that leads to sudden re-quantization.