Thursday, June 18, 2009

Why do Blue States have the Worst Economies?

It's not a coincidence that the most economically successful states during these times also happen to be conservative states. Of course, now liberal progresive socialists want to export the ideas that didn't work at the State level, nationally. Perhaps if I have time I'll do a comparison between economic health and the precent that voted for Obama.


Where Struggling Americans Can Find a Fresh Start

Texas is the Most Popular Destination

Alaska isn't alone in having difficulty attracting skilled employees. Iowa, Kansas, Nebraska, North Dakota, and Oklahoma also have trouble finding folks willing to relocate from areas with faster-paced lifestyles, Goss said. Some states have encouraged immigration to fill employment shortages, he said.

Tim Johnson, managing editor of online moving-services company Relocation.com, said few people are relocating these days, but Texas is the most popular destination for those who are.

Texas, like many of today's other economic bright spots, never had a housing bubble or bust. Its job market has remained relatively strong, in part because it is a major oil and health-care hub.

"The clear winner is Texas," Johnson said. "People really see Texas as a place for good economic prospects."

Why?

  1. Lower taxes: There is no sales tax. If a family is looking at paying $10,000 in taxes in California and $5,000 in Texas, No sales tax.

  2. Fewer restrictions on which business can operate. For example, when California decided to stop construction of power plants in California, it meant they had to import electricity from Nevada and other surrounding states. That meant jobs in those plants went to Nevada.

  3. Right to work laws means that unions aren't prevalent. Unions drive up the cost of doing business. What the unions and politicians forget is that companies can move. They may be forced to move in order to remain competitive or attract capital.

  4. No Housing Bubble and Bust. Texas has both the ability and room to expand. Houston, at least, does not have zoning laws. This allows for a transition of neighborhood. An old commercial site can be turned into a housing complex without having to bribe government officials or fight special interest groups. Much of the area inside Houston's 610 loop has undergone revitilization that couldn't have happened if there were zoning laws. Texas also doesn't have any land use restriction laws. Finding new places that the environmentalists allow you to build in California is hard. This makes the existing land skyrocket.



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