Places like NYC & California may lose their tax base and kick off a doom loop, but 1 side effect their elected leaders may welcome is guaranteed supermajorities at state & local governments. That's weaponized incompetence, pioneered in DC.
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That is true although if they lose enough seats, it will be difficult to tap into the federal well.
Really doesnt matter because politicians today, no matter which party, excel at incompetance (or corruption).
Incompetence is weaponized b/c it causes flight from location, leaving only the very poor & the elites. The very poor R dependent on gov't. Elites have their voters locked up. It may happen in red places, but better known instances R blue.
Regarding accessing federal funds, places which lose representation in the House of Rep's still have their 2 senators, and they still wield significant influence when it comes 2 bringing home D bacon. That's why they love D current process.
its all a play