Business leaving California at an accelerated pace
...
Stanford Study: More Businesses Have Already Fled California This Year Than in All of 2020
“California,” Brad Polumbo writes, “has regulated and taxed its once-thriving economy into a coma.”
Everyone seems to know someone who has packed up and left the once-Golden State. But two Stanford researchers looked past the anecdotes to find “a damning trend.”
The study also reports that the rate at which businesses are leaving the state is rapidly accelerating. For the first six months of 2021, the rate is nearly twice as high as it was last year. That means more businesses have already left California this year than in all of 2020.
The authors note that this count is, if anything, an enormous underestimate. Many small businesses exiting the state do not receive media coverage and are not required to file compliance reports, so many of their exits go uncounted in the analysis.
Why are businesses leaving? The authors give the exact reasons you’d expect, gentle reader. They cite “high tax rates, punitive regulations, high labor costs, high utility and energy costs, and declining quality of life for many Californians which reflects the cost of living and housing affordability.”
...
People are also leaving California at a rapid rate. Besides Texas and Tennessee gaining population from the moves so is Idaho which is also gaining population from liberal Washington State and Oregon. California is joining New York and Illinois in losing population too.
Comments
Post a Comment