"7.3 billion in education cuts ... Kindergarten through college teachers are getting laid off and he wants to talk about signing cars at an auction ... Why doesn't he sign their pink slips?" said Matt Littman, a political speech writer and blogger.
Littman calls the governor's video clip an act of desperation.
"I think he wishes that he had done something else and not gone on to become governor. Because when he came in, he was exceedingly popular. He's going to leave with 30 percent popularity ... slightly above where George W. Bush was when he left office," said Littman.
In response to Schwarzenegger's Twitter video, a spokesperson for the governor's office said, "I don't know why he is holding a knife. The message is in what he is saying, not what he is holding in his hand. "
"To me it's not offensive. I think it's a little bit beneath him, but that's the governor," said Bob Barnes, a Los Angeles resident.
"He should be focusing on other things besides signing cars and holding a knife ... and being Twitter," said Giovanni Matallana, another Los Angeles resident.
When asked if there is anything Governor Schwarzenegger could to do redeem himself while still in office, Littman said, "Quit now, like Sarah Palin did."
The governor's Twitter page received over 10,000 hits in the first 10 hours after the video was posted.
Lawmakers will vote on the budget plan later this week.