California Economy

[sangha]

The high tech businesses started in an era when CA had a favorable business climate. Now, the largest ones are moving operations out of the state.

I wouldn't expect a lover of Swedish Socialism such as sanghaha to grok this.

If wingnuts didn't lie, they'd have nothing to say

Umm, the tech boom happened less than 20 years ago when CA's tax rates were HIGHER than TX's

Why didn't the tech boom occur in TX with it's low taxes, low govt spending, limited business regulations, and freindly to business environment?

 

[Trajan]

a cautionary ( well not so much anymore) tale was Cypress Semi Conductor for example...reading Rodgers ( the ceo's) musings on the 'benefits' of doing bus. in California.

He moved the guts of co. to Minnesota etc..

 

[boedicca]

Intel, Apple, Cisco, HP and on and on.

Every large CA tech company has moved operations out of CA.

 

[sangha]

My Thanksgiving Present to Myself:

This message is hidden because sangha is on your ignore list.

 

[Revere]

The high tech businesses started in an era when CA had a favorable business climate. Now, the largest ones are moving operations out of the state.

I wouldn't expect a lover of Swedish Socialism such as sanghaha to grok this.

If wingnuts didn't lie, they'd have nothing to say

Umm, the tech boom happened less than 20 years ago when CA's tax rates were HIGHER than TX's

Why didn't the tech boom occur in TX with it's low taxes, low govt spending, limited business regulations, and freindly to business environment?

The weather!

a cautionary ( well not so much anymore) tale was Cypress Semi Conductor for example...reading Rodgers ( the ceo's) musings on the 'benefits' of doing bus. in California.

He moved the guts of co. to Minnesota etc..

Well, maybe not the weather.

 

[Samson]

You wouldn't be happy in LarryLand, Sammy.

Trust moi.

No doubt, Boester.

But, I'm certain I could easily be happy in at least one Borgacle's company.

 

[sangha]

a cautionary ( well not so much anymore) tale was Cypress Semi Conductor for example...reading Rodgers ( the ceo's) musings on the 'benefits' of doing bus. in California.

He moved the guts of co. to Minnesota etc..

Minnesota has a higher corporate tax rate. Once again, the wingnut myth about high taxes discouraging business is proven to be a lie

http://www.taxadmin.org/fta/rate/corp_inc.pdf

 

[sangha]

Intel, Apple, Cisco, HP and on and on.

Every large CA tech company has moved operations out of CA.

Where are their corporate HQ located?

 

[Samson]

My Thanksgiving Present to Myself:

This message is hidden because sangha is on your ignore list.

One Is Most Wise.

 

[boedicca]

You wouldn't be happy in LarryLand, Sammy.

Trust moi.

No doubt, Boester.

But, I'm certain I could easily be happy in at least one Borgacle's company.

You hussy.

I quit being a Larry Serf ages ago.

 

[Trajan]

Intel, Apple, Cisco, HP and on and on.

Every large CA tech company has moved operations out of CA.

Where are their corporate HQ located?

last I checked corp hq don't manufacture .

 

[Samson]

You wouldn't be happy in LarryLand, Sammy.

Trust moi.

No doubt, Boester.

But, I'm certain I could easily be happy in at least one Borgacle's company.

You hussy.

I quit being a Larry Serf ages ago.

As you know, my brazeness shames me terribly.

 

[sangha]

Intel, Apple, Cisco, HP and on and on.

Every large CA tech company has moved operations out of CA.

Where are their corporate HQ located?

last I checked corp hq don't manufacture .

Last time I looked, manufacturers don't write computer programs

 

[Trajan]

a cautionary ( well not so much anymore) tale was Cypress Semi Conductor for example...reading Rodgers ( the ceo's) musings on the 'benefits' of doing bus. in California.

He moved the guts of co. to Minnesota etc..

Minnesota has a higher corporate tax rate. Once again, the wingnut myth about high taxes discouraging business is proven to be a lie

http://www.taxadmin.org/fta/rate/corp_inc.pdf

thank you for the usual sideswipe 30 second goggle ranger tidbit, if that were all there was to it, maybe, maybe you'd have a point.

I thinks its time.......for you to be banished to ignore. bye bye .........

 

[sangha]

a cautionary ( well not so much anymore) tale was Cypress Semi Conductor for example...reading Rodgers ( the ceo's) musings on the 'benefits' of doing bus. in California.

He moved the guts of co. to Minnesota etc..

Minnesota has a higher corporate tax rate. Once again, the wingnut myth about high taxes discouraging business is proven to be a lie

http://www.taxadmin.org/fta/rate/corp_inc.pdf

thank you for the usual sideswipe 30 second goggle ranger tidbit, if that were all there was to it, maybe, maybe you'd have a point.

I thinks its time.......for you to be banished to ignore. bye bye .........

CA's economy grows faster than the low tax, low regulation, no union, low spending economy og TX, and the wingnut thinks the tax rate of MN is a "sideswipe"

Wingnuts just hate that their economic incompetence can be demonstrated by the superior economic performance of states with high taxes, strong unions, high govt spending and strong business regulations. Once again, the wingnuts run from a challenge

 

[Toro]

Here are other interesting statistics.

Total per capita government spending appears to have risen faster Texas from 2000 to 2009 than in California. Government spending rose 45% during that time in California and 65% in Texas. However, Texas's population grew faster. If you look at per capita spending, government spending in Texas rose 39% versus 33% in California.

Texas state budget - Sunshine Review
Historical Budget Documents, 2009-10 - California Department of Finance

It also appears to me that Texas spends slightly less as a percentage of its economy. Texas's total budget is $167.8 billion, but that is over two years. So the average for one year is $83.9 billion. The GDP of Texas in 2009 was $1.144 trillion. Thus, government spending to GDP in Texas is 7.3%. In California, total government spending in 2009 was $134.76 billion. I used the 2008 budget, which was higher at $141.04 billion. The GDP of California in 2009 was $1.891 billion. Dividing $141.04 billion into $1.891 billion is 7.6%. So there is not a huge difference in government spending.

EDIT - I did get this wrong. I mixed the two up.

 

[boedicca]

Those stats don't tell the full picture. CA has enormous unfunded pension liabilities which have been written into the state constitution. The pension plans assumed 8% ongoing investment returns to support the excessive pension increases approved by Gray Davis. In reality, investment returns are much lower, and the pension time bomb has been set up to explode. CA doesn't accrue for this expense, so the figures you cite are woefully incomplete.

 

[Toro]

Intel, Apple, Cisco, HP and on and on.

Every large CA tech company has moved operations out of CA.

Where are their corporate HQ located?

last I checked corp hq don't manufacture .

Most semiconductor manufacturing isn't done in this country. Most fabs are now located in Asia. But the design is done in America, primarily in California.

 

[Toro]

Those stats don't tell the full picture. CA has enormous unfunded pension liabilities which have been written into the state constitution. The pension plans assumed 8% ongoing investment returns to support the excessive pension increases approved by Gray Davis. In reality, investment returns are much lower, and the pension time bomb has been set up to explode. CA doesn't accrue for this expense, so the figures you cite are woefully incomplete.

We discussed this earlier. Returns will be closer to 8% over the long-run than the 4% of the past decade.

No state accrues their pension expenses.

Texas, however, does offer less generous pension compensation than California.

 

[boedicca]

Returns are not going to return to high enough levels to cover the $500B gap.

The state of California's real unfunded pension debt clocks in at more than $500 billion, nearly eight times greater than officially reported.

That's the finding from a study released Monday by Stanford University's public policy program, confirming a recent report with similar, stunning findings from Northwestern University and the University of Chicago....

How did we get here? The answer is simple: For decades -- and without voter consent -- state leaders have been issuing billions of dollars of debt in the form of unfunded pension and healthcare promises, then gaming accounting rules in order to understate the size of those promises. ...

California's $500-billion pension time bomb - Los Angeles Times