It’s darkly comical that American politicians regularly increase taxes, regulation, and the threats of frivilous lawsuits, meanwhile implicitly expecting citizens and businesses to continue to want to live in the same place.
It’s unfortunate that elected liberals, who always tell us to listen to government-paid educational experts with regard to the size of government, are the ones most likely to ignore the many government-paid economics professors about the negative effects of taxes and regulation.
Something amazing is occurring in California. It’s great for other states. It’s terrible for the economy of California. An average of 5.4 businesses per week are leaving the state of California, according to this article from University of Michigan economist Mark Perry.
California currently ranks #49 among U.S. states for “business tax climate” (Tax Foundation) and #48 for for “economic freedom” (Mercatus). It shouldn’t be any surprise then that companies are leaving the “Golden State” in record numbers this year (see chart above) for “golder pastures” and more business-friendly climates in other states.
Where are the businesses going?
“The capital directed to out-of-state or out-of-country, while difficult to calculate, is nonetheless in the billions of dollars. The top five destinations are (1) Texas, (2) Arizona, (3) Colorado, (4) Nevada and Utah tied; and (5) Virginia and North Carolina tied.”
Connect with Benjamin Hodge at Facebook, Twitter, LinkedIn, The Kansas Progress, and LibertyLinked. Hodge is President of the State and Local Reform Group of Kansas. He served as one of seven at-large trustees at Johnson County Community College from 2005-’09, a member of the Kansas House from 2007-’08, a delegate to the Kansas Republican Party from 2009-’10, and was founder of the Overland Park Republican Party in 2011. His public policy record is recognized by Americans for Prosperity, the Kansas Association of Broadcasters,the Kansas Press Association, the Kansas Sunshine Coalition for Open Government, the NRA, Kansans for Life, and the Foundation for Individual Rights in Education (FIRE).