Why can't CA be N.D.?

John Seiler:

Numbers released today show that California’s unemployment rose in August, to 12.4% from 12.3% in July. I guess Cal employers didn’t get the memo from that group of economists that said the Depression ended in June 2009.

We’re third worst in the nation, behind Michigan and Nevada. We have great weather all year round, Silicon Valley, Hollywood and Disneyland. They have snow, desert, and two failing industries, gambling and autos.

The state with the least unemployment was North Dakota, at 3.7%. They also have a lot of snow. So, why is their unemployment 1/3 ours?

According to the ALEC-Laffer survey, “Rich States, Poor States,” N.D. scores high in several key areas: low top marginal corporate income tax rate, low inheritance tax, low minimum wage laws, low workers’ comp costs, and it’s a right-to-work state (meaning you’re not forced to join a union).

By contrast, California, in the areas just mentioned, is good in only the low inheritance tax category.

In sum, N.D. is pro-business and CA is anti-business.

The difference in unemployment is not surprising.

Worse, higher unemployment means fewer people working and paying taxes, and more people on the dole and taking tax money. Hence, California’s budget deficit.

Our leaders in the Legislature and the governor’s office don’t understand that big government and prosperity don’t mix.

No comments

Write a comment
No Comments Yet! You can start the discussion, add a comment to this post.

Write a Comment

Leave a Reply


Tags assigned to this article:
CaliforniaMichiganNorth DakotaTaxesunemployment

Related Articles

Schools chief who tolerates bond scams wants to float own bond

Dec. 5, 2012 By Chris Reed The use of 30-year school “construction” bonds to pay for routine maintenance and short-lived

L.A. Times intolerant toward ‘intolerant’ conservatives over Google on Easter Sunday

April 1, 2013 By John Seiler The Los Angeles Times writer Robin Abcarian informs us: “There’s no intolerance like good

Internet Tax Would Kill Businesses

John Seiler: I’ve been writing about the suicidal idea for California to tax Internet sales. In a comment to that