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With The Stroke Of A Pen, Gov. Jerry Brown Will Suffocate California's Economy Even More
Forbes ^ | 09/18/2013 | Travis H. Brown

Posted on 09/18/2013 6:51:22 AM PDT by SeekAndFind

With the stroke of California Governor Jerry Brown’s pen, what once was the Golden State’s brightly shining future will further dim dramatically before the ink even has a chance to dry. That’s how dire are the consequences of a minimum wage bill passed by its legislature, a bill Gov. Brown has pledged to sign into law.

While California has been on a fiscal collision course since Ronald Reagan left it for the Oval Office, the single act of signing a bill that will drive away even more businesses and residents is sure to seal the struggling state’s fate on the country’s list of “has-beens” and “used-to-bes.”

Certainly, at first glance, it sounds like raising the minimum wage to $10 an hour within three years is the right thing to do for those California workers who struggle beneath the poverty line. They’re referred to as the “working poor,” and who doesn’t want to help hard working people advance?

The answer to the above question will surprise some, but could not be clearer: the Democratic Party-controlled California Legislature and its chief executive, as evidenced by the short-sighted and ill-conceived fix that completely ignores wealth migration trends that prove people are more mobile than ever, and not at all averse to abandoning an oppressive business climate for greener pastures.

Between 1992 and 2010, California lost a staggering $45.27 billion in annual adjusted gross income (AGI), and the lion’s share of it went to low- or no-income-tax states that offer more business-friendly economic climates. During that time California residents who represent this mass migration of population and wealth sent their lawmakers a loud message that unfortunately fell on deaf ears.

(Excerpt) Read more at forbes.com ...


TOPICS: Business/Economy; Culture/Society; News/Current Events; US: California
KEYWORDS: california; jerrybrown; minimumwage

1 posted on 09/18/2013 6:51:22 AM PDT by SeekAndFind
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To: SeekAndFind

do it right now! why phase it in?

I want people to see the IMMEDIATE effects of government policies

This 4 year implementation of Obamacare is another example. By the time its effects are fully felt it will be entrenched so far...


2 posted on 09/18/2013 6:59:01 AM PDT by Mr. K (Lies, Damned Lies, Statistics, and then Democrat Talking Points.)
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To: SeekAndFind
The new minimum wage won't change a thing.
Those with an education will make ten times that. Those without the education (Read that as qualification for entry level jobs.) will find that ten dollars an hour STILL won't pay the rent in California. Great big DUH.
3 posted on 09/18/2013 6:59:07 AM PDT by cloudmountain
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To: cloudmountain

Actually, this minimum wage will PREVENT even more hiring of those without education. Joblessness among those without experience will skyrocket even more.

This means that there will be MORE people on welfare. On second thought, this might be their intent.


4 posted on 09/18/2013 7:04:03 AM PDT by SeekAndFind
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To: cloudmountain

> The new minimum wage won’t change a thing.
Those with an education will make ten times that. Those without the education (Read that as qualification for entry level jobs.) will find that ten dollars an hour STILL won’t pay the rent in California. Great big DUH.

Wrong. It will make the price of everything go up. Once the prices are adjusted the minimum wage owners will be right back where they started and the rest of the pooulation will have to suffer because of it. Very stupid move by Brown. Obviously feeling political pressur efrom the leftto act.


5 posted on 09/18/2013 7:05:11 AM PDT by jsanders2001
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To: SeekAndFind
"During that time California residents who represent this mass migration of population and wealth sent their lawmakers a loud message"

If the message was so "loud", how come the a-holes keep sending the democrats to Sacramento?

6 posted on 09/18/2013 7:07:18 AM PDT by anoldafvet
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To: jsanders2001

RE: Once the prices are adjusted the minimum wage owners will be right back where they started and the rest of the population will have to suffer because of it

It would be refreshing if a governor, mayor or president can articulate this in a manner which people can understand and then explain why RAISING the minimum wage is the OPPOSITE of compassion.


7 posted on 09/18/2013 7:09:59 AM PDT by SeekAndFind
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To: SeekAndFind

Unions push min wages because their wages are tied to it.
Min wage goes up, so does theirs.


8 posted on 09/18/2013 7:11:02 AM PDT by svcw (Stand or die)
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To: SeekAndFind

Californians have done it to their selves. I hope he signs it and the state suffers the consequences. Maybe...maybe that will awaken some of the pin-headed morons who voted for all the DIMs and LIBs.


9 posted on 09/18/2013 7:12:14 AM PDT by hal ogen (First Amendment or Reeducation Camp?)
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To: svcw
Unions push min wages because their wages are tied to it. Min wage goes up, so does theirs.

BINGO!

10 posted on 09/18/2013 7:13:43 AM PDT by dfwgator
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To: svcw

They move to Colorado and ruined that STATE


11 posted on 09/18/2013 7:13:49 AM PDT by Hojczyk
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To: SeekAndFind

Make it $100. and clear the state out completely. Just don’t send those leeches to Arizona we have enough of our own already. NM looks ripe as does Or. and Wa.


12 posted on 09/18/2013 7:14:08 AM PDT by Don Corleone ("Oil the gun..eat the cannoli. Take it to the Mattress.")
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To: SeekAndFind
We moved out of California for a number reasons (mostly personal), but have the advantage (to us) and disadvantage (to the state of):

Wife's pension (she retired this year) from CalPers (net loss to Ca)
Wife's Medical (ditto)
My income tax (9% in CA vs. 2.5%) Net Gain for us 6.5%
Lower mortgage.
Lower property tax (half of CA).
Lower cost of living ( about $0.60 per gal on gas alone).

All in all we calculated about a 15% annual gain for us by moving.

Plus now my vote may matter!

13 posted on 09/18/2013 7:15:02 AM PDT by Michael.SF. (0bama lied, Stevens died, now 0bama covers up the lies.)
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To: Michael.SF.

Yes, but don’t you miss the weather?


14 posted on 09/18/2013 7:16:33 AM PDT by SeekAndFind
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To: Hojczyk

Colorado is not ruined....did you hear about the recall?


15 posted on 09/18/2013 7:17:52 AM PDT by svcw (Stand or die)
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To: Hojczyk

And Oregon. Now they are working om WA.


16 posted on 09/18/2013 7:19:11 AM PDT by MPJackal ("From my cold dead hands.")
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To: SeekAndFind
From collective bargaining to this - for 40 years Moonbean has been a one man wrecking machine for CA.

They ought to rename it the Brown State.

17 posted on 09/18/2013 7:21:00 AM PDT by skeeter
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To: jsanders2001

Watch for price controls, that is their stupid answer for everything, more government control.


18 posted on 09/18/2013 7:22:22 AM PDT by Resolute Conservative
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To: SeekAndFind
We have weather here also.

;)

19 posted on 09/18/2013 7:25:49 AM PDT by Michael.SF. (0bama lied, Stevens died, now 0bama covers up the lies.)
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To: SeekAndFind
Sign it, Moonbeam. Apologies to any CA FReepers but until this painful experiment in lunacy plays itself out, it's death by a billion paper cuts.
20 posted on 09/18/2013 7:26:20 AM PDT by liberalh8ter (The only difference between flash mob 'urban yutes' and U.S. politicians is the hoodies.)
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To: Mr. K

Kind of like Germany before they hauled the Jews off to the camps, ya think?


21 posted on 09/18/2013 7:33:54 AM PDT by ExTexasRedhead
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To: SeekAndFind

Dear Jerry:

I know your heart is in the right place. But you should understand that $10/hr is only $400/week and that’s about $20,000 a year. And that’s only true if my employer doesn’t cut my hours to 29.5 per week to make me ineligible for my badly needed Obamacare.

YOU EXPECT ME TO LIVE ON THAT???!!!

I suggest that $50/hr would be much more appropriate. That’s about a $100,000 a year and what I would call “a living wage”. So if you want my vote in the next election you will heed this warning. Either you are on our side or you are a secret Freeper or something like that.


22 posted on 09/18/2013 7:36:33 AM PDT by InterceptPoint
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To: SeekAndFind

Not so much a has-been as a never-was...


23 posted on 09/18/2013 7:48:03 AM PDT by null and void (I'm betting on an Obama Trifecta: A Nobel Peace Prize, an Impeachment, AND a War Crimes Trial...)
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To: SeekAndFind

The best thing Forbes could do would be to set up an economic tracker for California.

Importantly, only a limited number of businesses are required to notify the state before they leave, so are easy to track. Most businesses just shut down, pack up and leave, with little or no notice, as long as they pay their final taxes before going.

But along with business departures, they could track state unemployment, food stamps, declining tax revenue as well as increasing tax rates across the board, durable goods orders, and many other business metrics.

The most important part would be to associate economic decline with particular policies. This would be very instructional to other states as to what *not* to do, and projected impact if they make similar law.


24 posted on 09/18/2013 8:50:59 AM PDT by yefragetuwrabrumuy (The best War on Terror News is at rantburg.com)
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To: yefragetuwrabrumuy
Here's one nice handy chart:


25 posted on 09/18/2013 8:52:32 AM PDT by SeekAndFind
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To: yefragetuwrabrumuy
And here's another that tells the NET MIGRATION INTO AND OUT OF California. New Yorkers and Illinois residents seem to find their states even worse that the Golden State.


26 posted on 09/18/2013 8:55:35 AM PDT by SeekAndFind
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To: SeekAndFind

Dang it, we’re Number Seven. Time to set up some barricades.


27 posted on 09/18/2013 8:58:15 AM PDT by Billthedrill
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To: svcw

The recall just threw a couple of the bums out of office. It didn’t do anything to alter the strict gun control laws that the DemoRATS passed and the governor signed into law. They still stand. So it was more for show than for substance.

Unfortunately, the liberals from out of state have flooded the urban areas, Denver especially, and turned a decidedly red state into an almost blue one. That’s because most of the population resides in the cities.


28 posted on 09/18/2013 9:42:22 AM PDT by HotHunt
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To: svcw

“Unions push min wages because their wages are tied to it.”

Bing, Bing, Bing, we have a winner! Unions have outlived their purpose and should be outlawed.


29 posted on 09/18/2013 11:14:42 AM PDT by READINABLUESTATE ("If guns cause crime, there must be something wrong with mine." -Ted Nugent)
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To: hal ogen
I don't know-leftists are pretty oblivious to consequences and correlations-my worry is that the only thing they'll take from this is that it hurts their bottom line, and they'll move to another state, and do the same thing all over again. Like they've done to Colorado, Washington state, etc.

Getting mugged, polar beared, sucker-punched, knifed, or having any of those things happen to their own children-even having their own children murdered-no longer compels leftists to see the error of their ways. These days, they instead double down on their leftist delusions.
30 posted on 09/18/2013 12:25:28 PM PDT by mrsmel (One Who Can See)
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