California Defies Doom With No. 1 U.S. Economy

[moxy 1,051]

Looks like y'all are doing something right out west, @laylalex

 

https://www.bloomberg.com/opinion/articles/2021-06-14/california-defies-doom-with-no-1-u-s-economy?fbclid=IwAR39rfJ_WWEjEqPRfRNzOQvlZQmbGA-__IOvQu_rdx4MVdqJOi1vm30yz1Y

[laylalex 7,284]

Yeah, it really does suck here!  With these kinds of numbers, and our state fully reopening today, it's hard to see Newsom getting kicked out in the recall. 

[moxy 1,051]

1 minute ago, laylalex said:

Yeah, it really does suck here!  With these kinds of numbers, and our state fully reopening today, it's hard to see Newsom getting kicked out in the recall. 

Other states (including mine) would do well to at least look at what CA is doing and see if they can replicate some of that magic.

[Cyberfx1024 7,980]

6 hours ago, moxy said:

Other states (including mine) would do well to at least look at what CA is doing and see if they can replicate some of that magic.

You mean like high taxes and relying completely on a small number of silicon valley people to pay the lion's share of taxes?

[moxy 1,051]

31 minutes ago, Cyberfx1024 said:

You mean like high taxes and relying completely on a small number of silicon valley people to pay the lion's share of taxes?

So you believe taxing a small group of inordinately wealthy people enables California to have a higher GDP and increase total household incomes by $164 billion?

 

Maybe there really is something to this taxing the rich thing. Glad to have you on board.

Edited June 15, 2021 by moxy

[Cyberfx1024 7,980]

3 hours ago, moxy said:

So you believe taxing a small group of inordinately wealthy people enables California to have a higher GDP and increase total household incomes by $164 billion?

 

Maybe there really is something to this taxing the rich thing. Glad to have you on board.

Well of course it does. But just wait until the economy goes then so goes the tax revenue as well. 

[moxy 1,051]

17 minutes ago, Cyberfx1024 said:

Well of course it does. But just wait until the economy goes then so goes the tax revenue as well. 

I mean... yeah. That's how economies work.

[laylalex 7,284]

It's not just taxes though.

 

Corporate revenue is up. Jobs in manufacturing are up. R&D investment is up. Renewable energy is making a ton of money. (Yeah, really.) It's in big companies and small ones too. But this isn't a time to rest on our laurels -- unemployment is still up, but economists say that is likely to drop in the third quarter as people feel more comfortable returning to work, and they get childcare situations sorted out. 

[moxy 1,051]

10 hours ago, laylalex said:

It's not just taxes though.

 

Corporate revenue is up. Jobs in manufacturing are up. R&D investment is up. Renewable energy is making a ton of money. (Yeah, really.) It's in big companies and small ones too. But this isn't a time to rest on our laurels -- unemployment is still up, but economists say that is likely to drop in the third quarter as people feel more comfortable returning to work, and they get childcare situations sorted out. 

Yeah. No state, county, city, town, whatever is doing everything 100% perfect. But there are some states that could take some lessons on what California is doing right (and maybe look at what California's doing wrong too, to make sure they don't do that). The California bad narrative that's so strong here is unfortunate, but it's also simplistic and wrong.

[Mike E 11,739]

Perhaps the reason California is allegedly doing well is because some businesses refused to stay closed during the pandemic in direct conflict with county health officers.  
 

More seriously there are other states that have high taxes that lag California.  
 

California’s unique combination of non compete and IPR laws largely account for why tech and entertainment produce lots of tax revenue.  With more employers permanently embracing remote work in areas with employer friendly non compete and IPR laws the California advantage shall erode.  

Edited June 20, 2021 by Mike E

[Trompe le Monde 1,107]

On 6/15/2021 at 3:02 PM, Cyberfx1024 said:

You mean like high taxes and relying completely on a small number of silicon valley people to pay the lion's share of taxes?

there's also aerospace, media & entertainment, agriculture, manufacturing.....I could go on. World's 7th largest economy

[Cyberfx1024 7,980]

22 minutes ago, Trompe le Monde said:

there's also aerospace, media & entertainment, agriculture, manufacturing.....I could go on. World's 7th largest economy

Agriculture? You know that they are suffering from a drought right now while sending millions of gallons of water out to sea right?

Edited June 20, 2021 by Cyberfx1024

[moxy 1,051]

19 minutes ago, Cyberfx1024 said:

Agriculture? You know that they are suffering from a drought right now while sending millions of gallons of water out to sea right?

Even if true (it's not) how would it invalidate Trompe's argument? California is factually the world's 7th largest economy. You can google this in seconds.

 

CA experiences drought conditions on a cyclical basis, but the big drought was over in (if memory serves) 2018. Might come back, weather is hard to predict long term, and no place is immune to the effects of climate change. In any case, California is the nation's "salad bowl" and drought or not, will continue to be for the foreseeable future.

 

The "millions of gallons of water out to sea" is a Trump talking point, and (surprise) taken completely out of context. Turns out, rivers naturally lead to the ocean. That's how gravity works. A lot of that water is captured for drinking, agriculture, etc. But it's impossible to capture it all, because it would take trillions in the infrastructure required to dam up the thousands and thousands of little creeks and rivers that take their natural courses to the sea, which would probably have the side-effects of destroying entire ecosystems, not to mention just straight up diminishing returns.

Edited June 20, 2021 by moxy

[Cyberfx1024 7,980]

6 minutes ago, moxy said:

Even if true (it's not) how would it invalidate Trompe's argument? California is factually the world's 7th largest economy. You can google this in seconds.

 

CA experiences drought conditions on a cyclical basis, but the big drought was over in (if memory serves) 2018. Might come back, weather is hard to predict long term, and no place is immune to the effects of climate change. In any case, California is the nation's "salad bowl" and drought or not, will continue to be for the foreseeable future.

 

The "millions of gallons of water out to sea" is a Trump talking point, and (surprise) taken completely out of context. Turns out, rivers naturally lead to the ocean. That's how gravity works. A lot of that water is captured for drinking, agriculture, etc. But it's impossible to capture it all, because it would take trillions in the infrastructure required to dam up the thousands and thousands of little creeks and rivers that take their natural courses to the sea, which would probably have the side-effects of destroying entire ecosystems, not to mention just straight up diminishing returns.

Its not Trump talking point when its true. They haven't built a new reservoir since the 70's while the population has almost doubled. They have approved measures for water infrastructure but nothing has been done about it

[moxy 1,051]

1 minute ago, Cyberfx1024 said:

Its not Trump talking point when its true. They haven't built a new reservoir since the 70's while the population has almost doubled. They have approved measures for water infrastructure but nothing has been done about it

And yet this still does not invalidate Trompe's point. So if you're saying California has problems managing its natural resources, then yeah, sure. There's a lot of things California needs to be better at. (as well as every state in the union). But that's not what Trompe was responding to.