Must be something about warm climates and beautiful scenery that alienates businessfolk. How else does one explain the way they seem to shun locales like Greece, Spain and California?
Professor Mark Perry explores the phenomenon:
“Today, California is experiencing the fastest rate of disinvestment events based on public domain information, closure notices to the state, and information from affected employees in the three years since a specialized tracking system was put into place.
Our losses are occurring at an accelerated rate. Also, no one knows the real level of activity because smaller companies are not required to file layoff notices with the state. A conservative estimate is that only 1 out of 5 company departures becomes public knowledge, which means California may suffer more than 1,000 disinvestment events this year.
Layoff notices? The Golden State must have a lot of ATMs.
Based on the legislature’s recent rejection of business-friendly legislation and Sacramento’s implementation of additional regulations, signs are that California’s hostility towards business will only worsen. California is such fertile ground that representatives for economic development agencies are visiting companies to dissect our high taxes, extreme regulatory environment and other expenses to show annual savings of between 20 and 40 percent after an out-of-state move.”
California’s problem must be a lack of high-speed rail. Business dissatisfaction couldn’t be the fault of the state’s politicians, the same ones have been in office for eons.
We’re mystified, but luckily California has zillions of bright, highly compensated employees on the state payroll. They’ll surely figure this thing out sooner or later.
– Written by Bonfire of the Absurdities
Source: Professor Mark Perry
