This is a rather strange article: It begins by saying that high income Californians have “voted with their feet” and moved out of state, causing an increased revenue shortfall. But then it goes on for 5 paragraphs, citing studies and articles to “prove” that the “super rich” are not leaving.
My own anecdotal evidence suggests that the “super rich” may indeed not flee in large numbers: Generally they either “don’t feel it” personally, don’t mind, or can manipulate their finances such that the high taxes have little effect on them. Of course those same manipulations tend to damage economic growth...
I suspect that more important, what instead happens is that businesses gradually “bleed out” even if the top end CEO’s and such stay — after all, California is overall a beautiful / nice climate place to live. (If I didn’t need to worry about money, I’d consider it myself.) More important, new entrepreneurs and businesses look at the costs of a place like CA and tend to not move into it, depriving the state of vital “new blood”. Then add large numbers of people who are middle and upper middle class, including many retirees, who move to states with lower costs of living.
All said, reckless fiscal policies and a poor business climate probably harm CA more than taxpayers leaving to avoid the high taxes. But then again, all those factors and more are inextricably intertwined.
It’s an income tax not a wealth tax. The super rich probably don’t need much income. What they own is bought and payed for.
It is the middle class that is leaving, the productive work force. This is far more serious than the rich leaving. You can live without the rich, but no car gets anywhere without a motor.
California is in a far more serious condition than they suspect if you are right. They no longer have the workforce to recover or build anything, just the welfare people to support.
I know from my days there long ago when I lived in the High Serra's that the welfare types moved up there into vacation land in droves. The check was the same size from welfare, but the cost of living was far less than the city. Soon we had drug ghetto’s springing up where once was lumber workers and other responsible types.
Then California killed the lumber industry, followed by the mining industry and I left California for other work. The county I was in now has 40% unemployment according to my friends that hung one, but there are more people than ever.
Just now they are all on welfare, up from the cities.
From a net producer to a massive net loss of revenue to the state, it was the workers that left. The rich stayed and the dependent class grew like weeds.