Idaho, tired of waiting for the failed economic policies of liberalism, has hung a new set of signs on their state borders — Make Your Guns Here. Long a gun-friendly state, Idaho is using that advantage to entice gun manufacturers from across the country to set up shop and most importantly, get Idaho’s citizens working again. Some 58 companies currently make arms or ammunition in Idaho and the push is on for more. And it’s working. In January, Easyeconomics.com reported Idaho as the number one state economy and predicted a strong 6-month period of growth.
Industrial recruitment is not new. Almost any simpleton knows that businesses desire a “non-hostile” environment, one that’s hard to come by under the capitalist hating, liberal-socialists currently in power. Offer a business that opportunity and a throw in a few perks and you’ll get their attention. If they establish operations in your state, you’ve helped put your citizens to work. Idaho and other states are doing just that.
Indiana recently passed “right-to-work” legislation, that has enticed new businesses.
Wisconsin was able to reduce the property tax burden on residents and businesses. Citizens and businesses like that. As a result, some 28,000 new jobs have been created and more businesses are looking into Wisconsin.
But Illinois, controlled by unions and liberals, didn’t balance its budget and then raised its state income taxes. Businesses and the citizens don’t like that. The Chicago Tribune reported that Sears, the Chicago Board Options Exchange, Mitsubishi and U.S. Cellular among others have raised hell over the tax situation and/or have threatened to leave. In April, the Tribune ran a piece stating, “A new survey of Chicago area mid-size businesses found 30 percent considered moving to another state in the past 12 months.” Other Democrat-controlled states have the blues, too.
In September, the Huffington Post ran a survey that showed “California, New York and Illinois have the “least favorable business climates” to corporate executives in the U.S. Nearly 25 percent of the 322 corporate executives surveyed said Illinois was unfavorable due to high taxes and “anti-business climate/regulation.”
If you hammer businesses or your citizens with taxes, if they can, they’ll leave. It’s not rocket science.
So if you’re a liberal that pushes tax and spend like a drug dealer on the street corner, ultimately, you have a dilemma, don’t you? You certainly can’t allow the majority of American businesses, over time, to relocate to states that are friendly to business. Imagine the headlines if you had “business-friendly” states thriving and “tax and spend” states dying or dead. That would expose the absurdity of the tax and spend philosophy pretty quickly, wouldn’t it? They know this, of course. So, what’s a business-hating, tax-loving liberal to do?
One answer is to take away any advantages between states that you can. Create absurd amounts of national regulations and restrictions. Sell them as good for the environment or good for the people or good for some furry animal, whatever it takes. Install enough of them and you effectively hide unfriendly business environments from friendly ones — or more specifically, you make business-friendly states less attractive. If all states are bound and gagged with federal red-tape, then one state can’t offer a huge advantage over another. They’re all mired in it, so to speak. Ring a bell?
The Heritage Foundation released a study showing “106 new “major” regulations have been enacted, at a total estimated cost of $46 billion, plus almost $11 billion more in implementation costs,” by Obama and his oppressive regime. The report went on, “This is almost four times the number—and more than five times the cost—of the major regulations issued by George W. Bush during his first three years.” Remember, the 106 are classified as “major” legislation that passed. Sadly, Obama and chums have generated 10,215 law-making proceedings. And with Obama-care still being written, there’s more to come.
Another way to get the job done is to target your legislation to hurt, not states, but businesses or industries. Your legislation, if it’s rough enough, can destroy an industry — the EPA’s assault on the fossil fuel industry comes to mind here. Or it can be so complex that an industry is forced into paralysis — Dodd-Frank and the financial industry. Finally, you can just let your bureaucrats loose on a particular business to bite and gnaw at it to the point it has been crippled and relocation becomes unprofitable or impossible. All this is great for perpetuating the flawed liberal-socialist philosophy, but is it really in the best interests of the country?
In January, The Huffington Post ran an article called The 10 Best Countries for Starting a Business. In it, they presented America as rated #4 worldwide. However, because of editorial ineptitude or intentional slight-of-hand (they are a lefty publication), their claim is wrong. The source, the World Bank’s Doing Business Report actually ranks America 4th for “ease of doing business”, a summary category that includes asset protection, administrative burdens, litigation and other business-related concepts. For starting a business (obviously important for national economic growth) America didn’t make the top ten, ranking 13th, behind such business juggernauts as Armenia, Saudi Arabia and Rwanda. Other categories are also telling.
Regarding administrative burdens — obtaining construction permits #17, obtaining electricity #17, cross border trading #20 — America can barely break the top 20. And for taxes (#72) we can’t even break the top 50. Is this just bad luck? Has America lost its business acumen? Or is it the result of government over-regulation? Regardless, the reality is, if Obama truly wanted to foster economic growth, if Democrats really wanted to promote economic recovery, America would be hearing announcements of policies that ease restrictions, yes? Instead, we get a river of regulations and shouts for more taxes aimed at businesses and the rich. Go figure.
Of course, it helps that the left-leaning media is willing to play ball. The Huff-Puff reference above is an example. And check this out. On Monday, obviously providing cover for Obama’s ridiculous “private sector is doing fine” comment last Friday, Dailyfinance.com ran a piece that included this nugget, “In 2011, the U.S. economy grew by 1.5% — slower than 2010′s rate of 3.1% GDP growth, but still enough to show the country is moving in the right direction.” Huh?
How does a 3.1% GDP in 2010 and a 1.5% GDP in 2011 “show the country is moving in the right direction”? Are there actually people that believe this stuff? If so, we need to spend some government money on more strait-jackets.
In these bad times, Idaho, Indiana and other states are doing what they need to do to attract business and get people working. More states will follow if they can successfully unwrap the red-tape. But for the nation’s overall health, relocation of businesses is not the long-term answer. Shifting 1,000 jobs from one state into another, while helping the poacher, doesn’t push the country forward. But creating 1,000 new jobs does.
It is the founding of new companies, as any reasonable individual can conclude, combined with the expansion of existing companies, that will produce improvements to the country’s overall economic situation. Contrary to the liberal-socialist lies and the constant media propaganda, government is not the answer. It is the problem.
Hopefully, America will remember this in November.