Is California Driving Away Job Creation?

Here is Dan Walter’s opinion.

What is yours?


33 Responses to “Is California Driving Away Job Creation?”

  1. 1 Rafael Barrera April 22, 2009 at 6:22 PM

    Wow We are that bad to drive our people out of the state to another state that is just a little bit better than us economically. I am Embarrassed to read that article but what it has to say really cuts deep. ouch.

  2. 2 Michael DeBoer St. Mary's April 22, 2009 at 11:42 PM

    Not just our state, but our country. I have been looking everywhere for a internship, and I finally found a company in Shanghai, China. If things keep going the way they are, I might as well keep my job in shanghai and never come back. So yes, I agree that California (as well as the U.S.) are driving jobs away from their local citizens.

  3. 3 Debbie April 23, 2009 at 10:12 AM

    Interesting that the article talks about CA and Nevada, and mentioning that the state of Texas offers less taxes and regulations for business. I am considering moving to TX in the summer. I have tried the CA life and with unemployment, there is no way to make it in this state. My city is bankrupt, the state is in dissarray and our nation is trying to find its way back to being the Great Nation it once was. However, for now, I must find a state that shows signs of growth and potentional employment. That is the bottom line. CA needs to find a way to keep employment in the state. Where does the line get drawn? Who and How does it get drawn? Do we blame the current governer, our past president? Many questions, few answers. If Nevada is being hit as bad as CA, then why do we think people are moving to that state?

  4. 4 LEONARDO SANCHEZ April 23, 2009 at 1:08 PM

    California may be hit hard by the economy but business is still

    booming enough to maintain small companies afloat (like 10-40 employee company.)

    Business people are relocating to Nevada maybe not alot but business in

    California is not easily moving to a different state but

    reinventing itself by cooling down with layoffs. Yes layoff may

    not be a pretty story but thats how companiess are being

    stabled. The population of people are rising per year not

    dropping so if we had the 1980’s population in the 21 century

    then we would be fine of course thats not happening so we need

    to make jobs for the people. The reason is there is too many people

    for one state. If it means people need to move to a different

    state then that would be a one up for California.

  5. 5 Noe Pate April 23, 2009 at 2:54 PM

    This is a clarifying article and I am so glad to hear the exodus of business to Nevada talked about outside of NPR. I have to wonder isn’t there an emergency bill that can be passed lowering the taxes for companies who hire? Is that short sighted or are we trying to find a balance between job creation and the natural carrying capacity of our states population? It is nice to hear that there is a demand for college educated workers because everything students have been hearing is rather bleak once we graduate.

  6. 6 jenna s April 26, 2009 at 3:14 PM

    With rising taxes and regulations, there has been a major exodus out of California. Many people I know have left the state in hopes of finding economic stability elsewhere. I have read that many people who have lost their jobs in California are now looking for jobs in Texas and Arizona. However, I do believe that when the economy starts to get better, people will come back. Because of the major industries in the state, it is hard to stay away. California needs to fix its budget problems before its economy can start rebuilding and flourishing. As long as economic turmoil plagues the state, people will continue to leave.

  7. 7 jordan April 27, 2009 at 3:19 PM

    I do agree that certain factors of living in California have driven more people away. The cost of living is higher and therefore the limited supply of jobs is making it harder to maintain their original standard of living. So I do agree that more people are leaving California in order to live more comfortably, which is ultimately really unfortunate and scary.

  8. 8 Genine Lobo April 28, 2009 at 12:29 AM

    California is surely driving away job creations and have learned about it from the company my father works at. Many people who once worked in their San Francisco location have either been moved to different countries in Asia or have been fired for cheaper labor in these countries. Also, as the article says, “California continues to increase regulations, raise taxes and spend profligately,” another reason for many people leaving California.

  9. 9 Ally S. April 28, 2009 at 9:09 AM

    According to Dan Walters article ‘Is California driving away job creation?’ he noted that California’s latest economic recession or unemployment rate reached record highs 11.2%; it is now the fourth highest state in the nation. Based on these facts and many more within this article is it easy to say that the Californian business climate is changing; taxes are high and are continuing to get higher, and regulatory climate have “rendered it inhospitable to job-creating investment.” Like Arthur Laffer, and other such economists, I agree that if California keeps increasing these regulations, and raising taxes small businesses will be driven out of this Golden state. I think this because costs of maintaining a business will be so large, that it will soon be impossible to carry on, thus forcing its owners to pack up and possibly leave to lower states like Nevada or Texas.

  10. 10 Marilyn Monroe April 29, 2009 at 8:35 AM

    California is definitely driving away job creation. The employment rate has drastically increased within the last few months and the taxes seem to get higher by the minute. People are being fired because now there is more of a competition for jobs due to the fact that people with the same qualifications are getting jobs for cheaper salaries.

  11. 11 Melissa Schmitt April 29, 2009 at 10:12 AM

    I have to agree that it is much more difficult for people to find jobs in California. It seems like not matter where you go no one is hiring and if u do get hired your hours are very limited. Although this is very true, small businesses have been able to stay competitive in this economy and hopefully we can expect that small businesses will help start to boost so that they can hire more workers and help the problem of unemployment.

  12. 12 Andrea Nemeth April 29, 2009 at 1:59 PM

    since it costs some much more to live here i do too believe that we have driven more people off. more people are competing for jobs but yet people are stil being fired because frims are starting to get picky and dropping weaker employees for cheaper stronger ones.

  13. 13 lalves May 3, 2009 at 7:51 AM

    I completly agree that California, and maybe most of American drives out job opportunities. The reason being is that no one wan’t to move to California and work or create job where the sales tax and income tax is so high. In addition, the federal government should be careful not to raise taxes because no foreign investors are going to want to invest in American when the profit that they make will be taxed tremendously. In the end, American’s should be able to keep most of their money for themselves. I understand that it is a priveledge to live in America and taxes are needed, but lately the tax raises have just got out of hand. In the end, taxes make a person not want to work or prosper because they figure in the end the government is going to take their money.

  14. 14 Luis A. May 5, 2009 at 4:55 PM

    i think this is not that big of a problem. The unemployment rate has increased this year because the U.S is going though difficult times. however, it does not make sense that companies are moving away from California because of tax problems, they are probably moving away because of cheaper labor. People say they will move to texas to be employed but they are not going to get paid the same like they do in california. This is just a huge bump on the road that will stabilize eventually. We just need to have hope and understand that competition has become harder.

  15. 15 Nirbhik Trehan May 6, 2009 at 3:48 PM

    I certainly agree that the state of California is running out of jobs for their local citizen. In the past months many of my father’s and my elder brother’s friends have applied for jobs in California but were unable to find any. They also couldn’t find any jobs in the United States as well. Some of my father’s friends have applied for jobs in South East-Asia, in countries like India and China. So as Californians we can certainly see the change in the job environment not only within our own state but in the United States as well.

  16. 16 Jay Surface May 9, 2009 at 3:50 PM

    Walters wrote a great article. It all stems from the legislation in this state. High taxes are the cover for how much stupid spending this state does. EVery bond that people vote for just sends us into further debt creating a bigger tax hike. The bonds sound good on paper, but what people don’t realize is that the tax payers end up carrying the burden.

  17. 17 Audrey Hepburn May 11, 2009 at 4:07 PM

    It is definitely hard for people to get jobs in California and live here. Taxes are very high and maybe if they were lowered a little it could possibly help people live here and maybe even get jobs. California definitely needs to take into consideration that many people in college and graduating from college in California can not get jobs and stay close to their families. It is hard to pick up and move to another state just because you can not get a job. It is not good we are driving people out of California.

  18. 18 Hyo Kim May 11, 2009 at 7:23 PM

    I also strongly agree that California drive out job opportunities, people won’t move to California if the state keep rasing taxes like this. And, that is another reason of people moving out from the California.

  19. 19 Rachel Sturm May 12, 2009 at 10:11 PM

    I think that Walter has a good opinion about jobs/business leaving california. It strikes me that maybe, we do have too high taxes. And why, may I ask, are california’s taxes so much greater then other states? With a larger population, should not the taxes be less? Or is the government spending the money in a way that we do not realize? Not only do we have higher taxe rates, but California has a high minimum wage (good for the workers, but bad for the business) It seems to me that these high taxes for business’s only make the business’s leave Cali and seek cheaper labor and lower taxes elsewhere.

  20. 20 annmarie minite May 16, 2009 at 4:18 PM

    I think higher taxes and unemployment levels soaring has lead to many families relocating. People are losing their jobs and if not, the state taxes have left families with no other choice but to move. Same goes for businesses. The living expenses in ca are so much higher than other states, there few incentivies to live here currently.

  21. 21 Michelle V May 16, 2009 at 7:39 PM

    All of the taxes and regulations Californians have seen has led to a lot of people leaving the state. So many people have left California to look for jobs outside of the state where they can find more economic stability. In reality to fix this problem California needs to fix its own budget problems before we can see our economy thrive and rebuild. People will continue to leave as long as we have economic turmoil in our state.

  22. 22 Cole Scharton May 17, 2009 at 11:40 AM

    California is at a disadvantage due to higher tax rates than other neighboring states, however California has some very high draws that maybe are underrated. We have an extremely high draw through tourism, weather, and other famous locations such as LA and San Francisco. California’s population is much higher than other states with lower taxes, and you would think the same tax rates would work regardless of population. They don’t, the more people you have the higher the rates need to be, because many people with lower incomes have more children that their percentage of income will not cover the cost of the education, while wealthier people with many children’s percentage of income can cover the cost of just their children. To make up the difference, tax rates must increase. This certainly will drive out people, and with such high rates, it is difficult to start up any business and maintain it. So, in a way we are “driving people out” while simply trying to maintain what we have.

  23. 23 mike furlong May 17, 2009 at 3:18 PM

    Walter’s is correct in his argument that an increase in taxes especially with income in California, discourages new businesses and jobs to open up with in the state. While there may not be a huge business migration out of the state of California, a continual recession will eventually encourage jobs to move elsewhere out of state. Walter’s may exaggerate the effect of a “job migration” out of California, but he is right in the fact that the increase of unemployment and taxes is making many reconsider.

  24. 24 Simon Kudus May 17, 2009 at 8:08 PM

    Yes, California is driving away job creation. The whole nation in survival mode right now. We can’t afford to worry about job creation first we have to deal with the problems at hand. People are starting to leave California not only to find jobs but because it’s also more affordable to live some where else.

  25. 25 Robert LaVoy May 17, 2009 at 11:22 PM

    I live in Nevada and it is evident that there are masses of people moving there with their business because there is no state income tax. California has the potential for business to thrive, but it depends on the industry, your product or service and the amount of capital that you have to invest into it.

  26. 26 Leticia Martinez May 18, 2009 at 7:57 PM

    California might have more business regulations however, it has the labor force a company needs to keep it going. No one wants to leave California. Costs maybe lower in different states, however, they’re suffering just as bad from the recession if not more than California. Right now, job creation is difficult especially when all we really want is to stabilize the job market but creating jobs anywhere in difficult economic times is hard anywhere.

  27. 27 Santi Orona May 18, 2009 at 10:23 PM

    It is discouraging to know California’s taxes and market are driving away jobs. California has such a high unemployment rate, that jobs should be kept here. There is no reason jobs should be going to other states. At least jobs are going to other states, rather than other countries.

  28. 28 Carl Hernandez May 20, 2009 at 8:37 PM

    Yes i think Job in california are driving away job creations because their taxes are too high and have strict regulations. This is causing businesses to go elsewhere with there business because they can make a better profit with lower taxes n less regulations somewhere else.

  29. 29 Craig K May 20, 2009 at 10:06 PM

    California is really blowing things for itself. I have repeatedly heard that our high taxes and regulations are a main cause for our bad economy, but we continue to do that same things that dug us in a hole in the first place. It’s frustrating to read, and I wish policy makers would swallow their pride and see the wrong in their ways. We have done such a poor job that people are taking flight to better economies. It seems that all Californa has to attract job seekers nowadays in the nice weather..

  30. 30 Andrew Curry May 25, 2009 at 6:40 PM

    I do think that California is driving away jobs. Taxes are too high for large corparations to station their business here, and California in general, doest want this to be a a state full for lage factories. i know that the economy is hard right now and many people all over the country are losing their jobs but i do believe that it would be easier to find jobs in other places besides California, and even the US

  31. 31 Claudio Ramirez May 26, 2009 at 3:10 PM

    It obvious that the state needs to spend more on education and infrastructure to secure its economic future. High taxes and regulations are just a strangle hold that is effecting California and reform is needed.
    These are causes and effects that are driving jobs out of California but people also overreact then they say that its alot better in other state because in reality its not, its just as bad. Cutting back on spending and useless state programs should be on the economic agenda but California wont fail.

  32. 32 quique May 26, 2009 at 10:32 PM

    i believe that california are driving people out of the state because my stepdad and my mom were forced to move out of the state because of work and now it is cheaper for them living wise. but they have made a sacrifice because knowone wants to make a living where they live. but i guess everything comes at a price. right?

  33. 33 Jessica Schimke August 6, 2009 at 3:14 AM

    The article didn’t really convince me whether California is, or isn’t chasing away job creation. I would imagine that during a recession higher than normal taxes could chase away some businesses though. California definitely should take a close look at it’s policies and make sure that they are doing more good than harm.

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