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Already, the push-and-pull of falling revenue based on property taxes, on the one hand, and demand for services, on the other, is convulsing many communities and states. In Decatur, Ga., a suburb east of Atlanta that relies on property taxes for revenue, the city has postponed a vote to annex additional neighborhoods because locals are concerned that annexation will overcrowd schools. In New Jersey, Governor Jon Corzine wants county and municipal governments to forego more than $500 million in pension payments in the coming year as a way of avoiding higher property taxes. And California and Arizona, where...

Author: /time Magazine | Title: Why Does Your Devalued Home Have Such a High Tax Rate? | 1/10/2009 | See Source »

...Pentagon soon will begin paying monthly bonuses of up to $500 to troops barred from leaving the military because they're needed for the wars in Iraq and Afghanistan. A fatter paycheck will take some of the sting out of the military's high demand for troops and the resulting stop-loss policy. But it won't do anything to dry the tears of soldiers' children distraught over Dad's or Mom's absence. Now the Pentagon wants to create computerized hologram-like moms and dads that can talk with the kids when their parents are deployed far from home...

Author: /time Magazine | Title: When Daddy Is Off at War: A Hologram Home? | 1/9/2009 | See Source »

...TIME's Postcard from Culiacán: "Mexico's drug war" is in fact America's war fought in another country [Dec. 29]. You describe the narcotrafficking murders but fail to explain why they occur: as a direct result of demand for cocaine in the U.S. They do not demonstrate, as may be inferred, any inherently violent characteristic of Mexican society. About 90% of cocaine used in the U.S. passes through its southern neighbor, and Mexican civilians are dying so that American drug addicts can get their fix. David Sussman, WILLIAMSTOWN, MASS...

Author: /time Magazine | Title: Inbox | 1/8/2009 | See Source »

...financial sector is in ruins; the budget is hemorrhaging red ink; debt-ridden households have clamped down on spending, thereby pulling the rug out from under the economy; unemployment is soaring; the country is in two wars; and the unmet social and environmental needs are vast. These conditions demand a fundamental realignment in strategy that ultimately comes back to taxation: Will we pay for the government we need? Obama's big domestic program, the American Recovery and Reinvestment Plan, proposes doubling renewable-energy production and making public buildings more efficient. It calls for better schools and classrooms and the rebuilding...

Author: /time Magazine | Title: The Case for Bigger Government | 1/8/2009 | See Source »

...remains on the table, but for now Hamas has said no to it. The Islamists doubt that Egypt can be an honest peace broker, as it is allied with Israel and the U.S. and is politically antagonistic to the Islamist movement. Hamas says it is refusing Israel's key demand for an international force to be deployed on the Gaza-Egypt border to prevent arms smuggling. "It will be doing the job of protecting Israel, not the Palestinians," said the Hamas official...

Author: /time Magazine | Title: Prospects for a Truce Still Dim in Gaza | 1/8/2009 | See Source »

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