California’s leaders have failed this state.
The evidence is all around us.
From rampant homelessness to the ever-increasing cost of living and the fact that we have a net out-migration rate to other states.
California has so much going for it and is filled with so many hardworking and determined people, yet we see a declining standard of living and shrinking economic growth relative to other states.
This is because of incessant tax increases and a regulatory body expanding with no end in sight.
It isn’t the fault of the common person, the blame rests squarely on our leaders.
And make no mistake, we need new ones.
Every year far more people move out of California for other states, particularly Texas and Arizona and Nevada.
It’s getting to the point where there is a noticeable difference in moving prices from in and out of the state.
In fact, “The San Diego Union-Tribune” reported “The cost to rent a 26-foot U-Haul truck — big enough to move a three- to four-bedroom home — out of San Francisco headed to Las Vegas reached as high as $2,085 for four days. To rent the same truck going in the opposite direction is only a fraction of that cost — $132.”
This would surprise many since California still is considered a destination of cultural significance.
Despite years and years of California being considered the ideal state, this is no longer the case. People leaving the state almost universally cite an extremely high cost of living, driving even those with modest incomes into poverty.
Many of California’s issues stem from the common source of over-taxation.
California has the highest state income tax in the nation, the highest sales tax and is now the state with the highest gas taxes.
Additionally, we have costly individual fees, permits for building or various business operations are costly and slow to process and storm drain fees are among the highest in the nation, despite many streets not even having them.
The list goes on.
Democrats are now even considering a vacancy tax for malls and apartments.
At every turn, particularly in business, there is another tax or fee top of the already extremely high base taxes.
This makes everything more expensive and less competitive.
People are moving out of the state because of the lack of affordable housing, driven by the cumbersome process of getting permits to build such housing.
Taxation puts a deadweight loss on the economy, meaning that taxes reduce the overall productivity and prosperity of a society, it’s basic economics.
Obviously taxation is necessary to run government services but the goal should be to provide those services so vital to society spending the least amount of tax money.
Another factor that raises costs and stifles progress in this state is the gigantic burden of over regulation.
It has a similar effect on the prosperity of a society as too much taxation does.
Each regulation requires attention to be paid to it, ensuring it’s followed.
Many require extra expenses on the part of businesses to adhere to them, thus increasing their operating costs leading them to, in turn, raise prices on goods and services.
Regulation is necessary, to a point, we need to make sure that oil refineries, for example, are taking the right environmental precautions.
But when, in 2016, 1800 businesses had to relocate to other states, things have gone way too far.
There needs to be a balance, and our leaders have either ignored or completely missed it.
Needless to say, Gavin Newsom and the Democrats weren’t paying attention in Econ.
The Democratic party, holds the governorship and has a supermajority in both the state senate and the assembly, meaning that they can pass any bill they want without a single vote from anyone else.
So the bills that pass are solely a product of those Democrat politicians.
Every year they pass more tax increases and regulations, and like suckers, the people of California elect them over and over again, even in areas so devastated by their policies.
San Francisco sends Democrats to Sacramento every year, including Governor Newson who used to be their mayor, while the city is plagued with an insane cost of living which has spurred the homeless crisis.
It’s time for people to wise up and vote for people who actually understand government and economics.
I’m not telling you to become a Republican, but I am asking you to at least consider them, and independents, for our state leadership.
Their goals, reflected in their voting records, are to lower taxes and reduce our regulatory body. Or in other words, enact policies opposite of the ones that are sending our great state down the toilet.
Next time don’t vote for our local Democrats who vote for every tax increase or regulation proposed, such as Toni Atkins, Ben Hueso or Shirley Weber.
Try something new in 2020, and if you don’t like the results, you can go right back to voting for the people who are bleeding you and our entire state dry if you want.
After all, the definition of insanity is doing the same thing over and over again and expecting different results.
Miles Streicek is a sophomore studying economics.