*Goodbye California

Years ago there was a book of that name, I don't remember if I read it or not, if I did it must not have left much of an impression, though I do remember the basic plot line, probably from the cover. It was your standard disaster novel of an earthquake sinking California into the Pacific and the consequences, come to think of it I believe they made a TV movie something like that too. This has nothing to do with earthquakes, though it is a mounting disaster.

I recently read an article about how people were leaving California in record numbers, second only to those leaving New York, think about the commonality there. Here is part of the reason given.

Among other things: California's unemployment rate hit 8.4 percent in November, the third-highest in the nation, and it is expected to get worse. A record 236,000 foreclosures are projected for 2008, more than the prior nine years combined, according to research firm MDA DataQuick. Personal income was about flat last year.

With state government facing a $41.6 billion budget hole over 18 months, residents are bracing for higher taxes, cuts in education and postponed tax rebates. A multibillion-dollar plan to remake downtown Los Angeles has stalled, and office vacancy rates there and in San Diego and San Jose surpass the 10.2 percent national average.

Median housing prices have nose-dived one-third from a 2006 peak, but many homes are still out of reach for middle-class families. Some small towns are on the brink of bankruptcy. Normally recession-proof Hollywood has been hit by layoffs.

Now people leaving a state or even a region during bad times is not unusual, as a matter of fact California was heavily migrated to during the dust bowl years and the Great depression. The mid-west rust belt exodus in the 80's and 90's being another good example. In fact Michigan which has been suffering economically for several years is also loosing people at a pretty significant rate.

But California? When times are tough in the Garden of Eden where do you go? Detroit?
It is not exactly like the rest of the country is just rolling along either. Here in Florida the housing bust has hit as bad as anywhere in the country and has deeply affected the economy. From the Miami Herald

...The national recession converged with Florida's collapsing housing market to produce the highest unemployment rate in 15 years, the highest job losses of any state, and deep cuts in public education to balance a faltering budget.

Yet people are still flooding into the Sunshine State as the old joke here goes, "in Florida they pay you in sunshine." Which leads back to California another state known for its sunshine and without the humidity too, kind of like our springs all the time. If you have to be poor you might s well be comfortable right?

This sort of got me stumped until I started looking at some of the other reasons for the California exodus. In the article they interviewed a native who was leaving for Colorado.

With a house purchase near Denver in the works, the 38-year-old engineering contractor plans to move his family 1,200 miles away from his home state's lemon groves, sunshine and beaches. For him, years of rising taxes, dead-end schools, unchecked illegal immigration and clogged traffic have robbed the Golden State of its allure.

Well it is just my opinion, but I think a great deal of California's problems lies in its liberal government structure. We have many of the same problems that are facing California, indeed facing the nation, yet people are still moving in-and staying. Notice some of the items that were pointed out above rising taxes, dead-end schools, unchecked illegal immigration and clogged traffic

Let's take two of those, Florida has no State Income taxes to raise-period. Florida is going through some serious state budget cuts whereas California is trying to solve their financial crisis by burdening an already over burdened citizenry. Just last year as the economy was starting to tank, Florida cut property taxes. While California's governor and government is trying to figure out how to go more green, Florida is just trying to stay out of the red.

Now we have our fair share of illegal immigrants, but unlike California our state and local government doesn't endorse them. There are three sanctuary cities in Florida with Miami being the only one that would by most accounts even be called a city. In California there are sixteen including the three largest, San Diego, San Francisco and Las Angeles.

Finally I happened upon this over at Carpe Diem



What was his take?

The eight states enjoying the greatest net in-migration of people from other states between 2000-2008 all have Right to Work laws. But of the eight states suffering the worst out-migration, only Katrina-hit Louisiana has such a law

See, in Florida we do pay in sunshine, but at least you can find work without being hassled.

I sure hope California gets its act together, there is only so much room in Florida and Texas, perhaps Georgia will take more in.


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