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Why do many people prefer Florida to California? The vital economic freedom

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Why do many people prefer Florida to California? The vital economic freedom


For hundreds of years students have studied financial progress and growth with a watch towards explaining what makes some locations rich and others much less so. We not too long ago added to the big quantity of research by inspecting the connection between financial freedom and labor market outcomes within the 383 native economies, or metropolitan statistical areas (MSAs), in the USA.

We discovered that areas with extra financial liberty sometimes do higher than these with much less freedom on important measures such because the unemployment price, employment progress, and inhabitants progress. Policymakers could be sensible to observe restraint. State and native governments ought to scale back or eradicate limitations to peaceable and voluntary affiliation between workers and employers, in addition to between patrons and sellers generally.

Some background is so as. For a few years, the Fraser Institute in Canada has produced quantitative measures of the extent of financial freedom in international locations and states (or provinces in Canada). The state-level index is constructed round three main areas: authorities spending, taxes, and labor market restrictions. We observe the same methodology however drill all the way down to the native stage. In our examine, every space has three variables equivalent to spending as a proportion of non-public earnings and union density. They’re scored objectively based mostly on the information, after which every space is ranked accordingly.

We discovered that eight of the highest 10 freedom scores in our index have been for metropolitan areas in Florida. The opposite two have been from Texas. The truth is, the highest 16 scores went to MSAs situated in these two states.

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On the different finish of the spectrum was California. Six of the ten worst performing metropolitan areas in our examine have been within the Golden State. One other two have been in New York and one every in Hawaii and New Jersey.

We divided the 383 MSAs into 4 teams (quartiles), from the most-free 25 % to the least-free, after which we examined how they carried out economically. Metropolitan areas with the very best financial freedom noticed employment develop 2.5 occasions quicker and inhabitants develop 10 occasions quicker than these with the bottom freedom. These lowest-freedom areas additionally had a one-third greater unemployment price than the most-free areas.

Metropolitan areas with the very best minimal wage burdens had unemployment charges practically 50 % greater than these with the bottom burdens. Metro areas with the most important state and native authorities employment shares had unemployment charges 40 % greater than these with the smallest.

It might be tempting for the earnest skeptic to dismiss such analysis on the grounds that these are simplistic correlations. In any case, Naples, Fla. and Dallas, Texas even have extra days of sunshine than, say, Grand Rapids, Mich.

However students all over the world have had entry to knowledge like ours on the native, state, and nation ranges for years. They’re delicate to spurious conclusions that could possibly be drawn from the information and take nice pains to regulate for key variables that will affect their findings.

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As a rule, these researchers exhibit constructive hyperlinks between financial liberty and financial outcomes folks, policymakers and politicians declare they need, equivalent to quicker financial and inhabitants progress and extra entrepreneurship.

A type of papers, titled “Financial Freedom and Revenue Ranges in the USA,” discovered {that a} 10 % improve in financial liberty is related to a 5 % improve in inflation-adjusted per capita gross state product, or the worth of all the products and companies produced inside a state’s geographical borders. When the quantity of output per individual will increase, the general way of life and earnings stage tends to extend as effectively, which might deliver advantages to everybody. There are a whole bunch of different papers with related findings.

The conclusion to all of that is that policymakers who want to present extra alternatives for folks to benefit from the blessings of financial well-being must make financial freedom a prime precedence. Which means policymakers ought to chorus from crowding out personal employment with authorities employment, scale back the burden of the minimal wage and taxes, and rein in pointless authorities spending.

An enormous quantity of analysis reveals that areas that maintain authorities intervention to a minimal (i.e., these with greater financial freedom) are inclined to have higher outcomes on all kinds of measures, together with decrease unemployment charges, greater employment progress, greater inhabitants progress, and lots of, many others.

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Michael LaFaive is the senior director of fiscal coverage on the Mackinac Heart for Public Coverage, a free-market analysis and academic institute in Michigan. Comply with him on Twitter @lafaive.

Dean Stansel, Ph.D., is an economist on the Bridwell Institute for Financial Freedom in SMU’s Cox Faculty of Enterprise in Dallas, Texas. Comply with him on Twitter @deanstansel.





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California

Northern California 6-year-old, parents hailed as heroes for saving woman who crashed into canal

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Northern California 6-year-old, parents hailed as heroes for saving woman who crashed into canal


LIVE OAK — A six-year-old and her parents are being called heroes by a Northern California community for jumping into a canal to save a 75-year-old woman who drove off the road. 

It happened on Larkin Road near Paseo Avenue in the Sutter County community of Live Oak on Monday. 

“I just about lost her, but I didn’t,” said Terry Carpenter, husband of the woman who was rescued. “We got more chances.” 

Terry said his wife of 33 years, Robin Carpenter, is the love of his life and soulmate. He is grateful he has been granted more time to spend with her after she survived her car crashing off a two-lane road and overturning into a canal. 

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“She’s doing really well,” Terry said. “No broken bones, praise the Lord.” 

It is what some call a miracle that could have had a much different outcome without a family of good Samaritans. 

“Her lips were purple,” said Ashley Martin, who helped rescue the woman. “There wasn’t a breath at all. I was scared.” 

Martin and her husband, Cyle Johnson, are being hailed heroes by the Live Oak community for jumping into the canal, cutting Robin out of her seat belt and pulling her head above water until first responders arrived. 

“She was literally submerged underwater,” Martin said. “She had a back brace on. Apparently, she just had back surgery. So, I grabbed her brace from down below and I flipped her upward just in a quick motion to get her out of that water.” 

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The couple said the real hero was their six-year-old daughter, Cayleigh Johnson. 

“It was scary,” Cayleigh said. “So the car was going like this, and it just went boom, right into the ditch.” 

Cayleigh was playing outside and screamed for her parents who were inside the house near the canal.

I spoke with Robin from her hospital bed over the phone who told us she is in a lot of pain but grateful.

“The thing I can remember is I started falling asleep and then I was going over the bump and I went into the ditch and that’s all I remember,” Robin said. 

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It was a split-second decision for a family who firefighters said helped save a stranger’s life. 

“It’s pretty unique that someone would jump in and help somebody that they don’t even know,” said Battalion Chief for Sutter County Fire Richard Epperson. 

Robin is hopeful that she will be released from the hospital on Wednesday in time to be home for Thanksgiving. 

“She gets Thanksgiving and Christmas now with her family and grandkids,” Martin said. 

Terry and Robin are looking forward to eventually meeting the family who helped save Robin’s life. The family expressed the same feelings about meeting the woman they helped when she is out of the hospital. 

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“I can’t wait for my baby to get home,” Terry said. 



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California may exclude Tesla from EV rebate program

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California may exclude Tesla from EV rebate program


California Gov. Gavin Newsom may exclude Tesla and other automakers from an electric vehicle (EV) rebate program if the incoming Trump administration scraps a federal tax credit for electric car purchases.

Newsom proposed creating a new version of the state’s Clean Vehicle Rebate Program, which was phased out in 2023 after funding more than 594,000 vehicles and saving more than 456 million gallons of fuel, the governor’s office said in a news release on Monday.

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“Consumers continue to prove the skeptics wrong – zero-emission vehicles are here to stay,” Newsom said in a statement. “We’re not turning back on a clean transportation future – we’re going to make it more affordable for people to drive vehicles that don’t pollute.”

The proposed rebates would be funded with money from the state’s Greenhouse Gas Reduction Fund, which is funded by polluters under the state’s cap-and-trade program, the governor’s office said. Officials did not say how much the program would cost or save consumers.

NEBRASKA AG LAUNCHES ASSAULT AGAINST CALIFORNIA’S ELECTRIC VEHICLE PUSH

California Gov. Gavin Newsom on Monday proposed creating a new version of the state’s Clean Vehicle Rebate Program if the incoming Trump administration scraps a federal tax credit for electric car purchases. (Photo by Justin Sullivan/Getty Images, File / Getty Images)

They would also include changes to promote innovation and competition in the zero-emission vehicles market – changes that could prevent automakers like Tesla from qualifying for the rebates.

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Tesla CEO Elon Musk, who relocated Tesla’s corporate headquarters from California to Texas in 2021, responded to the possibility of having Tesla EVs left out of the program.

Tesla automobile plugged in and charging a Supercharger rapid battery charging station for the electric vehicle company Tesla Motors, in the Silicon Valley town of Mountain View, California, August 24, 2016.

Tesla and other automakers may not qualify for the proposed tax credits, according to the governor’s office. (Getty Images, File / Getty Images)

“Even though Tesla is the only company who manufactures their EVs in California! This is insane,” Musk wrote on X, which he also owns.

BENTLEY PUSHES BACK ALL-EV LINEUP TIMELINE TO 2035

Those buying or leasing Tesla vehicles accounted for about 42% of the state’s rebates, The Associated Press reported, citing data from the California Air Resources Board.

Newsom’s office told Fox Business Digital that the proposal is intended to foster market competition, and any potential market cap is subject to negotiation with the state Legislature. 

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“Under a potential market cap, and depending on what the cap is, there’s a possibility that Tesla and other automakers could be excluded,” the governor’s office said. “But that’s again subject to negotiations with the legislature.”

Newsom’s office noted that such market caps have been part of rebate programs since George W. Bush’s administration in 2005.

Democrat California Gov. Gavin Newsom

Newsom has pushed Californians to replace gas-powered vehicles with zero-emission vehicles. (Chip Somodevilla/Getty Images / Getty Images)

Federal tax credits for EVs are currently worth up to $7,500 for new zero-emission vehicles. President-elect Trump has previously vowed to end the credit.

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California has surpassed 2 million zero-emission vehicles sold, according to the governor’s office. The state, however, could face a $2 billion budget deficit next year, Reuters reported, citing a non-partisan legislative estimate released last week.

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STEVE HILTON: Five things California Democrats still don't get

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STEVE HILTON: Five things California Democrats still don't get


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Along with most other Democratic politicians in California, Gov. Gavin Newsom still doesn’t seem to understand what happened in the 2024 election.

For years, Newsom, along with California cronies like former House Speaker Nancy Pelosi and, of course, Vice President Kamala Harris, bragged about their state being a “model for the nation.”

In one sense–not the one they intended, of course–that’s true. California became a model of what not to do.

CALIFORNIA VOTERS NARROWLY REJECT $18 MINIMUM WAGE; FIRST SUCH NO-VOTE NATIONWIDE SINCE 1996

The terrible combination of elitism and extremism that has defined Democratic policymaking in my home state for at least the last decade has delivered failure on every front.

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Despite having the highest taxes in the nation, despite the state’s budget nearly doubling in the last ten years (even as our population has been falling, in the exodus from blue state misrule), California has the highest rate of poverty in America. We have the highest housing costs, the lowest homeownership, highest gas and utility bills, and the worst business climate–ten years in a row.

This record of failure is exactly why Democrats lost so badly on November 5th. Voters had a clear choice: between more of the same Democrat policies that raised the cost of living and lowered their quality of life, or a return to the peace and prosperity of the Trump years.

GAVIN NEWSOM TO MEET WITH BIDEN AFTER VOWING TO PROTECT STATE’S PROGRESSIVE POLICIES AGAINST TRUMP ADMIN

In many ways, the contest between Donald Trump and Kamala Harris represented a battle between the ‘blue state model’ championed by Gavin Newsom in California, and the ‘red state model’ that has driven people and businesses out of California and into the arms of more welcoming states like Texas, Tennessee and Florida.

Of course, the red state model won and the blue state model was roundly rejected. 

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You would think that would make blue state leaders like Newsom pause and reflect. But the exact opposite has happened. Gavin Newsom immediately called a “special session” of the California legislature to “Trump-proof” his state.

What California really needs is “Newsom-proofing.” 

Instead, California Democrats are doubling down on the exact same agenda that was defeated across the country – including in California, which saw the biggest shift from Democrats to the GOP in decades.

Here are the five things California Democrats still don’t get:

1. People want results, not lectures

Democrats and their media sycophants can do all the self-righteous, sanctimonious bloviating they like about “our democracy” and “equity”, but in the end people want the basics of the American Dream: a good job that pays enough to raise your family in a home of your own in a safe neighborhood with a good school so your kids can have a better life than you. No amount of moral superiority from the people in charge will make up for that if they fail to provide it.

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2. Enough with the ‘climate’ extremism

“Climate” has become a religion for Democrats, and you see that especially clearly in California. But when you look at the main reason life is so unaffordable for working people, whether that’s gas prices, utility bills or housing costs, extreme climate policies are to blame. Working-class Americans can’t afford these ‘luxury beliefs.’

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3. Who cares about Hollywood? 

This election destroyed forever the myth that fancy celebrities can sway votes. Oprah, Beyonce, George Clooney, Taylor Swift…nobody cares! The new cultural powerhouses are the podcast hosts, comedians…the raw power of UFC is where it’s at, not the decadent Hollywood elite who won’t even turn up to support “their” candidate without a multimillion dollar paycheck.

Producer and actress Oprah Winfrey holds up Vice President and Democratic presidential candidate Kamala Harris’ hand as she arrives onstage during a campaign rally on the Benjamin Franklin Parkway in Philadelphia, Pennsylvania, on November 4, 2024.  (Getty Images)

4. ‘Little tech’ beats Big Tech

Democrats may console themselves with the knowledge that California’s Big Tech monopolies are on their side. But in this election we saw the rise of what famed Silicon Valley investor Marc Andressen calls “little tech”, the upstarts and rebels who reject leftist groupthink. They got engaged in this election in a way we’ve never seen before. It’s a massive shift and will be a huge force for the future.

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5. Working class beats the elite 

Back in 2016, after the Brexit vote, and then Donald Trump’s victory here, shocked the world, I predicted that the Republican Party had the opportunity to become a “multiracial working class coalition.” Trump’s 2024 victory has delivered that — a revolutionary shift in our political landscape. The other part of my prediction? Democrats will be left as the party of the “rich, white and woke.”

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Unless Democrats come to terms with these realities and change course, they can expect to lose elections for years to come. The reaction in California – epicenter of today’s Democrat elite — shows that there is zero sign of this happening. 

They just don’t get it.

CLICK HERE TO READ MORE FROM STEVE HILTON

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