"Just as California sends more of its entrepreneurs and big businesses to Texas every year, soon America may see a higher flow of creative and talented people to its shores for the same reason: more freedom and a chance to keep a little more of their own hard-earned money.
Low tax rates spark economic growth and job creation. High taxes do just the opposite. This have been proven true time and time again, yet big-spending Democrats still have not learned the lesson."
Have they missed all the announcements of investing, hiring, and pay increases in the US because of the tax reform? Do they see and hear it, but they don’t believe or can’t understand it? Things like that really make me wonder. Are they only paying attention to biased news sources that’ll never cover it? Are they exposed to the info, but they don’t believe it? What is the root cause of such a high level of ignorance?
“The state has been on a spending spree driven by social-welfare and health-care and pension costs.The state budget has ballooned by 44 percent over the past seven years to an inconceivable $190 billion.”
That’s an annual increase of 5.3% a year when inflation is running under 2%. They want to provide healthcare to people illegally in the state too. People should think that through, because it might cause a big surge in the number of illegals living in CA.
“How will the state raise taxes even higher when only about 150,000 households out of 40 million state residents already pay almost half the state’s income tax?”
Yet the tax code isn’t fair and the rich aren’t paying their fair share.
“California has the nation’s highest percentage of impoverished residents after factoring in cost of living. One in three welfare recipients in the U.S. lives in the state. One in four California residents was not born in the United States.”
I thought all the high taxes and social programs were supposed to great equality?
“California governor Jerry Brown just warned that in the foreseeable future it may be impossible to honor pension obligations to the state’s retirees. They may already be underfunded by nearly half a trillion dollars. California’s once-impressive annualized GDP is slowing. Despite the tech boom and the national economic renaissance, the state has recently slipped from fifth in the U.S. to 35th in annual economic growth.”
Ouch. $500B in unfunded pension obligations which is well over 2x the annual state budget.
California economic growth is the 35th in US. That’s alarming. Is it a real risk that it would stagnate just like New England? Maybe the overzealous liberals have already chased away our economic growth engine