Tag: State income tax

How did rich & prosperous CT fail so badly?

My progressive state compatriots have been trying for a very long time now to pretend that things in Connecticut are no worse than elsewhere, but the facts are facts, and as others without the liberal blinker have pointed out, the state is in deep shit.

Connecticut has so many advantages that it might be hard to understand how it became one of America’s worst-performing state economies.

As we know, Connecticut is located along an important commercial corridor between New York and Boston. It’s well-served by railroads and highways. Major airports are accessible. Connecticut has many charming towns, historic sights, stylish shops and nice beaches. CNN determined that of America’s 25 towns with the highest median family incomes, four are in Connecticut – New Canaan (#1), Darien (#2), Westport (#5) and Greenwich (#14). The most expensive American home ever offered for sale is Copper Beech Farm which, with an asking price of $190 million, has 50 acres of waterfront property in Greenwich.

Although Connecticut lacks a major high tech region, there’s a concentration of executive talent capable of managing large organizations. Many are in financial services.

Despite these attractions, during the past two decades some 300,000 more Connecticut residents have moved out of the state than have moved in. This compares with the current population of about 3.5 million.

Why the exodus?

I will tell you why, without dancing around to be PC, what the real problems are: progressive policies. From the idiotic wealth redistribution vote buying schemes to the anti-business rhetoric and tactics that have forced so many companies and their jobs to flee this idiotic liberal disaster zone, we have had decision after decision made by feel good vote buying politicians that do not care how bad the working people of the state get socked by their stupidity.

During the last century, Connecticut’s state government became bigger, raising taxes and in other ways making it more costly to do business. Connecticut certainly wasn’t the only state to have adopted such policies, but many states avoided them and prospered.

Connecticut economic regulations multiplied, further increasing the cost of doing business. Steven P. Lanza, reporting in The Connecticut Economy, published quarterly by the University of Connecticut, found that “excessive regulation plays a role in hamstringing business owners and entrepreneurs who simply don’t have the resources of larger firms to cope with these constraints.”

This state is probably more business unfriendly than even California. I personally know at least 5 small business owners that sold their business and left the state, and a dozen others that have literally hunkered down and decided to keep their business on life support until the climate changes. The anti-profit crowd has made it nigh impossible for anyone to do business in this state unless they are sucking at either the federal or state government’s teat. That’s not an accident: that’s by design. Consequently, the state has become a veritable shithole for people that want to earn an honest living, because the job makers, under constant attack, have chosen to go elsewhere. And it is not just the businesses that get bled: the people get raped by onerous tax burdens as well. I won’t even bother going onto the fucking state income tax debacle that literally opened the gates of hell for us in CT, but lets look at one of our other very unpopular taxes: the gas tax, which the progressives tell us is high so they can get money for road maintenance and to help the environment.

Nor has there been gasoline tax relief. Connecticut has the highest gasoline taxes in New England (45 cents per gallon), compared with Rhode Island’s 33 cents per gallon, Maine’s 31.5 cents, Vermont’s 26.7 cents, Massachusetts’ 23.5 cents and New Hampshire’s 19.6 cents.

I was up in Maine this past weekend. I paid 25 cents less per gallon for gas there. And I have to point out that I limit my gas purchases in CT to the stations with the lowest prices – usually anywhere from 5-15 cents lower than the average – while I filled up in Maine right off the highway, where the price is likely to be much higher than the average, making that differential even higher. The roads in Maine were better kept than the roads in CT, and that’s because they spend their road related taxes on keeping their roads fixed, while in CT that money goes to the general fund and thus, to liberal wealth redistribution, vote buying, schemes and scams. Then they tell us they need more taxes to fix the roads, because the hundreds of millions or so they rake in, are not enough. This state has an enormous tax burden, and all the money goes to paying for votes from the moocher population, which now outnumbers those of us still producing. The politicians respond by adding even more onerous and stupid regulations, while pretending to do so to help the little guy, and doing even more harm.

People are bailing. And the people leaving are the productive. I have myself been looking at my options. Now that I am no longer tied to living here, I have wondered if I should just sell my place, pick up my stuff, and go work elsewhere. Because of my skill set I am in high demand and get offers constantly. Of course, I wouldn’t move to NJ, NY, MA, or CA, where a lot of these offers come from, because I am not stupid enough to abandon one “People’s Republic of whatever“ for another. Let me finish with a line from the article that I think expands beyond the investment class to all of us productive people:

The most fundamental lesson here is simply that investors, entrepreneurs and other productive people want to go where they’re welcome. They start to think about leaving when they feel exploited.

Progressives seem immune to this simple logic. And sometimes I wonder if they get it fine, but just don’t care, or worse, know exactly what they are doing. After all, marxism is a 2 classed system, and the middle class or people not beholden to the state are not part of that system. Of course, if you talk to the progressives, the problem is the evil businesses and people that do not want to pay their fair share. See the businesses won’t just roll over and let the state rip them off, they actually have the gall to work around the regulations, or worse, pick up and leave the state. And so many people have more than others. Who cares if they do because they work hard and think sucking on the government teat is something to be ashamed off! Besides, we should all work to benefit others, that whole community thing, not ourselves and our families. That’s selfish! It’s just more of the evil profit making thing. Of course, if you are progressive, then its not a profit to rob tax payers while doing squat of value: no that’s being a good citizen.