If you're worried about $350 million - Nevada's projected budget deficit this year - try wrapping your brain around $35 billion.
That's the shortfall - 100 times larger than Nevada's - that is looming before the state of California.
That's certainly bad news for Californians, who are facing slashed services and soaring taxes.
But it may end up being very bad news for Nevadans and Nevada businesses, too.
The exact amount of business conducted between Nevada and its powerful neighbor to the west is unknown.
Unlike statistics on exports to other countries, which states are required to maintain, data on commerce between states is not publicly available.
"There is no balance of payments between states," said Glen Atkinson, professor of economics in the College of Business at the University of Nevada, Reno.
"But obviously there is a big tie between Nevada and California." Few would dispute that.
From tourism to consumable goods, Nevada relies heavily on California.
More than 65 percent of the tourists who visit Washoe County, for example, come by car or bus, and the majority of those are coming east on Interstate 80.
In fact, Phil Satre, chairman of Harrah's Entertainment, at the recent Directions 2003 conference in Reno, said his biggest worry is a dip in California's transportation spending.
"My greatest fear is California cutting back on I-80," Satre said during a panel on Reno's outlook.
"If California stops spending money on I-80 that could be critical to us," said Jeff Beckelman, president and CEO, Reno- Sparks Convention and Visitors Authority, during the same panel discussion.
The logistics industry in Nevada, which connects the warehouses of Reno with the markets of the Bay Area, also relies on good California highways.
Dennis Trujillo, deputy director of external affairs, California Department of Transportation, said it's unlikely California will cut spending on the highway arteries.
"It's premature to speculate what the ultimate impact will be," he said.
"The governor has given his budget to the legislature and they still have to vote." California Gov.
Gray Davis proposed cutting $1.8 billion from the state's transportation budget, which includes repair and maintenance of roads and highways.
"Ninety percent of our core programs are intact," said Trujillo.
"We have plans to rehabilitate 80 from Sacramento to the Nevada County line.
Over the next few years I-80 will be completely rehabbed.
And we're constantly doing maintenance on 50 as well." Many would say even more worrisome is Indian gaming, which will likely end up indirectly benefiting from California's horrendous deficit.
How? In March, the tribes will be renegotiating their gaming compacts with the state.
Davis last month said he is willing to give the tribes what they want in exchange for a huge chunk of the revenues generated in their casinos.
He's looking for something like the 25 percent cut now collected by Connecticut, home to the largest casino in the world, the 315,000- square-foot Foxwoods Resort Casino run by the Mashantucket Pequot Tribal Nation.
Most of the California tribes are now limited to 2,000 slots per casino; some are allowed less.
Rumor has it that many will be seeking to negotiate a ceiling of about 5,000 slots per casino, according to Anthony Miranda, president of the Pechanga Development Corp.
and executive board secretary for the California National Gaming Association, during a recent conference on Nevada tourism.
Californians may stop dropping more than just nickels in Nevada slot machines.
"The biggest effect would be California's attempt to balance its budget," said UNR's Atkinson.
"If they increase taxes or cut spending, or both, their economy will suffer and people will stop spending here." "Any time the government takes away money there is a drop in discretionary spending," said Ray Bacon, executive director of the Nevada Manufacturers Association in Carson City.
Plenty of business flows the other way, too.
Nevada buys the bulk of its goods from California.
Almost all of the gasoline sold in Nevada, for example, comes from California producers.
The majority of the state's food and produce comes from California and much of the clothing bought here is sold in local stores with headquarters next door, according to UNR's Atkinson.
"If taxes are raised high enough, they'll raise prices," said Atkinson.
"We could end up paying some of California's taxes." Still, some see a sliver lining to California's dark cloud.
Bob Jones, president of the Northern Nevada Builders Association in Reno, thinks increased taxes will drive residents out of California.
Already, plenty of older Californians are retiring here.
"We will have a residential influx from California," predicted Jones.
"From a housing standpoint, that will benefit builders.
I think the impact the other way will be marginal." Businesses, too, may be more motivated to move to Nevada.
"The greatest gift the state of California gave to Nevada was to reelect Gray Davis," said Ron Weisinger, executive director, Northern Nevada Development Authority in Carson City.
"It is the most unfriendly business state." That was true even before its huge budget deficit became known, which has only exacerbated the problem, said Weisinger.
He said NNDA has seen a significant increase in the number of California businesses visiting Nevada to consider relocating here.
"And they're not just tire kickers," said Weisinger.
"Thank you very much California." Weisinger thinks that the threat of new taxes here, even the proposed gross receipts tax on businesses, isn't deterring companies from looking here.
"No one likes to pay taxes," he said.
"But nothing could be as bad or worse than it is in California." NMA's Bacon disagrees.
"I have to believe that the tax package announced [by Nevada Gov.
Kenny Guinn] is so sweeping that people will look beyond Nevada," he said.
Arizona, for example, Bacon said, is planning to cut spending rather than raise taxes.
"Arizona just became our number one competitor," for attracting new businesses, he said.
According to Bacon, there may be no upside to California's deficit.
"It's just bad news and more bad news."
