Mass Exodus Proves High-Tax Democrats Kill Economic Growth.

[Dave007inVegas]

In the fight to attract taxpayers and businesses to their states, Republican governors are far outperforming their Democrat counterparts.

New IRS data shows that in 2013 alone, Republican-run states gained more than 200,000 people fleeing Democrat-run states according to a recent analysis by Americans for Tax Reform. The correlation between high tax burdens, crippling government regulations, anti-business environments and the beeline of taxpayers to more friendly states is quite strong.

And the biggest loser is New York.

http://dailycaller.com/2015/09/24/mass-exodus-proves-high-tax-democrats-kill-economic-growth/

 

[JDeuce]

"Oh well, we'll just jack up the taxes on the greedy rich again to make up for it! They won't notice because they can afford it."

"But sir, there aren't many wealthy residents left. They're taking off in droves. There is no one left to tax."

"DID YOU HEAR WHAT I SAID?? HIGHER TAXES!!! NOW!!!!"

 

[PatsFan1283]

Some of that is taxes obviously but some of it is just natural migration trends that have been going on for 50 years.

People moving East/North/Midwest to West/Southwest/Southeast

Taxes these days are certainly accelerating it though...

 

[PatsFan1283]

It is interesting because California still creates the most technological innovation, New York is still the US base for finance/media, LA for entertainment and DC for politics.

You would think these industries would be enough to lift the economy for these areas to where there wasn't an exodus. And yet people are still moving from CA to Oklahoma, that should tell you something about the policies of these states.

Rick Perry actually did a really good job of realizing for a state to create jobs, all you really have to do is just steal them from other states and it isn't even that hard considering how screwed up some states are.

 

[JDeuce]

It is interesting because California still creates the most technological innovation, New York is still the US base for finance/media, LA for entertainment and DC for politics.

You would think these industries would be enough to lift the economy for these areas to where there wasn't an exodus. And yet people are still moving from CA to Oklahoma, that should tell you something about the policies of these states.

Rick Perry actually did a really good job of realizing for a state to create jobs, all you really have to do is just steal them from other states and it isn't even that hard considering how screwed up some states are.

Not so much anymore.

I read an article not long ago...will try to track it down and post here. But there are something like 25 total primetime shows networks run on weeknights. As recently as 10 years ago, 23 of the 25 were filmed and produced here in LA. Today, that number is only two.

It's become far, far cheaper to produce TV shows in other states...and that's what's happening. It isn't an overnight process where everyone suddenly abandons the state, but its happening gradually. And it's about to get worse:

http://www.ocregister.com/articles/california-678796-taxes-billion.html

California is considering imposing the most ruthless set of taxes seen yet – a tsunami of levies that may trigger the worst raid on private-sector finances ever organized by the state’s politicians.

One result will be an increasing number of businesses leaving California for greener domestic or international pastures.

Gov. Jerry Brown and legislators will consider several proposals – including a new tax on previously untaxed services that will force companies to pay more for routine transactions, such as shipping a FedEx package, conducting bank transactions, hiring a contractor or relying on an independent auditor.

 

[PatsFan1283]

Yeah, it is far cheaper to run tech businesses in other states as well. Places like Texas and Nevada have been gaining and slowly stealing market share from NoCal in that arena. You're still talking about an entrenched business though. A lot of infrastructure/human capital in place in the areas I mentioned. Most of the major decisions in those 2 sectors still come from CA. If the current trajectory continues with no real changes, then possibly that would change long-term but it is tough to say.

It would be really bad for NY to not be the finance mecca or for CA to not be the tech capital. It would be even worse for America if these mega-hubs went overseas.

One idea that would really keep checks and balances in place is if let's say Quebec seceded from Canada and then became a low-tax, low-cost place to incorporate. We have plenty of these now but many of them are halfway around the world like Singapore. If Quebec provided that type of competition then the US would have to shape up almost instantly. The world is becoming much more flat and capital will flow to where it is appreciated.