"California, once a business friendly state, continues to conduct a war on its own economy," says the Chief Executive Magazine.
Oh yes, the Golden State - once the fifth largest economy of the world - is reaping what it has been sowing for the past couple of decades. The magazine has ranked California dead last in business friendly environment for seventh year in a row. As CNN Money puts it, "buffeted by high taxes, strict regulations and uncertain state budgets, a growing number of California companies are seeking friendlier business environments outside of the Golden State". How fast? Companies are "disinvesting" in California at a rate five times greater than just two years ago. This includes leaving altogether, establishing divisions elsewhere or opting not to set up shop in California. And which are the states benefitting the most from this exodus? Texas, Utah, Arizona, North Carolina, and Virginia - all right-to-work red states!
Sacramento can't get its act together...and that includes the governor, legislators and regulatory agencies that are running wild. A state where higher and higher tax revenues are required to support a welfare state where every special interest group from the LGBT crowd to illegal aliens routinely get special rights that have costs attached to them is bound, sooner or later, to pay the price for their folly.
The arrogance of thinking that the producers of the society will endlessly support the non-producers is a hallmark of progressive thought that has failed in every social democracy tried. As bad as California's failure is, as a nation we are on the same disastrous course. I can only hope that the American electorate will heed the clear warning California is sending rest of the country.