Saturday, December 4, 2010

As California goes . . .

. . . so goes the nation.  According to a California consultant, the number of companies leaving the state in 2010 is up to 144!  In 2099 the number was 51.  So why the threefold increase?  The companies want to reduce their California footprint because of the anti-business environment of the state.  They are moving to attractive, lower-cost alternative locations like Texas, Arizona, Colorado, Nevada, Virginia and Utah.  And of course they are moving to other countries that appreciate that it is business that drives the economy, not government.

California's posture of  high taxes and intense regulation damages companies' ability to compete.  This is a problem that faces the entire country, not just California.  Will people take heed?  If the current culture in Washington is any indication then, no, we won't.  Raising taxes, increasing business regulations, and forcing questionable environmental restrictions on American manufacturers is sure to drive even more business (and jobs) overseas.

I live in a city that is less than business friendly.  We have plenty of open spaces, parks, and bike trails but apparently not enough revenue to run our schools and library.

Maybe we should all pay more attention to California.  They are a shining example of where we are headed.

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