Over the last 15 years, California ranks as the third worst state in the country in terms of job migration, with a net outflow of jobs that is 1 percent greater than the flow of jobs into the state, according to the National Establishment Time Series database. Texas, by contrast, is 10th best in the nation in that period, with a plus 1.3 percent inflow of jobs from other states. Based on Vranich’s anecdotal list, Texas is the biggest beneficiary of jobs leaving California.
There are many reasons for the cost differences between the states, but government clearly plays a role. The chief executive of CKE Restaurants Inc., a California based owner of restaurant chains, told Bloomberg News that it takes only six weeks to get approvals to open a new eatery in Texas, but up to two years in California. Given those dynamics, is it any wonder that Texas has been generating more net jobs through start-ups and expansions than California?
Unfortunately, it seems that the incumbent governor is clueless about the impact state regulation has on those costs. As Sonicfrog reminds us, Jerry Brown recently “signed into law legislation” mandating that “33% of all power generated in California was to be renewable.” Such a benchmark, Sonic adds, can only be met with “massive energy price increases by energy providers AND massive government subsidies”.
By increasing the cost to do business in California, the governor is doing little to stem the outflow of entrepreneurs and employment. In fact, his policies serve instead to encourage it.Read more here: from the conservative gay patriot