Skip to comments.Jobs Bowl: Illinois vs. Texas and Indiana
Posted on 02/12/2014 10:07:04 AM PST by Kaslin
In the all important "Jobs Bowl", far more important than the "Super Bowl" Illinois is losing out to Texas and Indiana.
Via email from the Illinois Policy Institute
The common refrain made against Texas by those who defend the status quo in Illinois is that the jobs being created in the Lone Star State are lower-paying and less-rewarding opportunities.
But not anymore. Texas is now unquestionably besting Illinois in providing for the middle class.
According to the Bureau of Labor Statistics, in 2012 the inflation-adjusted median household income for Texas surpassed that of Illinois for the first time since 1984, when the statistic first started being recorded.
That means the household making the median income in Texas is taking home a bigger paycheck than the household making the median income in Illinois.
Not only is the pay higher, but Texans also get to keep more of it. After taking the standard deduction for three household members, the median Illinois household pays $2,287 in state income taxes. The median Texas family pays no income tax, as work is not taxed in Texas.
And not only is work not taxed in Texas, but there is also a lot more work to be had. Since 1984, Texas has created nearly 5 million new employment opportunities. Illinois created less than 1 million.
This story isnt a simple comparison; its also a transfer. From 1995-2010, Illinois had a net loss of nearly 33,000 households representing just less than 80,000 people to net out-migration to Texas alone. In terms of dollars, Illinois lost $1.98 billion in taxable income to Texas, or $60,500 per household lost.
Ironically, Illinois anti-business, anti-success policies can take partial credit for Texas success.
Director of Jobs and Growth
Illinois vs. Indiana
Let's also compare Illinois to Indiana.
The story of Illinois steady out-migration problem is well known, but just where are Illinoisans moving to? Is the outflow driven entirely by retirees and beach-goers moving to Florida? Not according to the U.S. Census Bureau, which just released its 2012 American Community Survey of state-to-state migration flow data. These data use census surveys to make estimates of migration flow between the states.
The No. 1 destination for Illinois out-migrants: Indiana.
The data show that in 2012, Illinois had a net loss of residents to each of its neighboring states, and that Illinois had a greater net loss to Indiana than to any other state in the union.
Indiana doesnt offer the warm climate of destinations such as Florida and Texas. Illinoisans cross the border because of policy failures.
Wisconsin Gov. Scott Walker and former Indiana Gov. Mitch Daniels, along with former Chicago Mayor Richard M. Daley correctly predicted that raising the corporate tax rate to the fourth-highest in the nation would drive residents and business across the border.
Workers compensation costs in Illinois are also the fourth-highest nationally, while Indiana has the second-lowest rates. Indiana, Wisconsin and Iowa are Right-to-Work states, and ending forced-unionism is becoming a hot issue in Missouri.
Illinois overall regulatory burden ranks it 42nd-best nationally, and residents pay the ninth-highest tax burden of any state.
In short, Illinois stands out from its neighbors as the state doing the least to create opportunity for its
citizens through common-sense economic reform.
The census data align with the United Van Lines moving data to show that the pace of outflow is high. On net, Illinois lost 69,198 residents to other states, with 33,099 of those net losses flowing to neighboring states. The most significant neighborhood losses were to Indiana (11,529, first overall), Missouri (8,737, third overall) and Wisconsin (7,871, fourth overall).
Neighboring states have made changes to better accommodate business growth and personal opportunities. Massive out-migration from Illinois shows that an increasing number of residents have become exhausted with business as usual in Illinois, and have cast their final vote with their feet.
Director of Jobs and Growth
It was reported here this week by a FReeper from Monahans Texas that Domino’s was advertising for drivers at a wage of $16 per hour
Midland/Odessa is booming right now. Restaurants are jam packed every day. The bars of course are serving up high dollar drinks.
The tips are flowing in but they still can’t find enough help.
This is all due to the oil business.
Monahans is just south of the Midland-Odessa oil patch. I doubt anyone’s being paid the minimum wage there.
I’m willing to bet the farm that the data from Illinois is greatly exaggerated and the situation there is dire and not being reported honestly. My reasoning is because how much information coming from the Democrats there in Chicago is tainted, forged, and fabricated? I rest my case.
It’s even worse than what the stats above indicate. Illinois is a massive welfare state. The people arriving are arriving because welfare reform in other states makes it unprofitable to stay there.
Here in Illinois she’ll get as much aid for the 1st out of wedlock birth as for the 15th.
We tax work and subsidize welfare. How will that work out?
Who wants to move to ILL-n-annoy anyway. Too cold, too flat, too many a DemoRat. Plus Chitcago Crook County owns the place and they punished the nation with their Bammy boy to DC. Sorry for conservatives who live there.
Evidently you hate those who don’t look like you think they should.
They have the tax “triple play”
high prop tax
5% income tax
up to 9% sales tax
somehow they still were able to run up a huge pension deficit...
But, but, I don’t understand. How can that be? There are no living wage laws in Texas. Domino’s drivers are not unionized. How can they possibly be making that much money?
</ I really hope I don’t have to include the “sarcasm” tag>
So very sad. Some of my best childhood memories are of my grandparents farm in Southern Illinois. Of course that was far from the cities and at a time when people worked hard for their living.
They pay minimum wage (or less). They are saying you will make $16/hr after you add in tips and commission. This is about what you would make delivering pizzas almost anywhere in the country.
No, no, I don’t hate anybody and people look like I think they should.
Southern IL is beautiful, rural, and God-fearing. It's fricking Chicago that's tearing down the rest of the state.
OK, I should have used the sarcasm tag. I figured I wouldn’t need it.
If Southern Illinois secedes, it gets stuck with Cairo and Mounds.
Well, I should have used the Just Kidding tag. ;-]