Leftist states and cities have been bleeding residents since the mostly peaceful protests of 2020. With crime exploding, taxes and regulations high, and the cost of living in Joe Biden’s America going through the roof, it is small wonder people are fleeing New York and California in droves.
However, it isn’t only concerned citizens who don’t want their kids growing up in woke America. Increasingly, corporations are skipping town as well. Why wouldn’t they? With many red states giving tax breaks to corporations and lower taxes with increased quality of life overall, it is an easy decision.
Many companies are absorbing tremendous losses from theft in California, Illinois, and New York. Lawlessness and smash-and-grab theft have forced many companies to either lock up merchandise or just leave. The only other option is to lose money and endanger employees, so both workers and residents wind up suffering as a result.
It isn’t just Walmart either; big tech and Wall Street firms are headed out of town as well. Companies like Elliott Management, Charles Schwab, and AllianceBernstein have left New York and California, taking high-paying jobs and tax revenue with them.
The trickle-down effect has also impacted commercial property. With companies leaving and no new ones clamoring to come in, many commercial spaces sit empty, waiting for another tenant. Who is going to fill the empty spaces? They are empty for a reason.
Bloomberg did some research, and their findings weren’t surprising. From the beginning of 2020 through March 2023, more than 370 investment companies moved to more hospitable climes. It isn’t always to flee crime, however, as lower taxes and warmer weather are also huge factors.
The companies that moved accounted for about $2.7 trillion dollars in assets, while states like Florida and Texas, both of which have no state income tax, were the biggest benefactors. Geographically, companies fleeing California landed mostly in Texas, while New York companies headed to the Sunshine State.
In terms of people migration, Bloomberg noted what most Americans already realized: life is better in red states. The study noted: “We constructed near real-time estimates of domestic migration flows and found that pandemic migration trends are not reversing. Since the first quarter of 2023, the data “suggests that cities that saw a large influx of people during the pandemic have still been growing faster than other cities in recent quarters.”
Both San Francisco and New York City saw more than a 3% drop in population since 2020, and the reasons why are clear. Lower crime and lower taxes, along with better weather, have finally lured folks out of liberal bastions.
The study also concluded: “This population shift paints a clear picture. People left high-tax, high-cost states for lower-tax, lower-cost alternatives.” It is clear that people are being lured away for financial as well as family reasons.
So, why is this? It should be laid at the feet of Joe Biden. Since he has taken office, crime has run roughshod over liberal America, and with the increased cost of living caused by his failed economic policies, many Americans are seeking a safe haven where they can raise a family without fear, and their dollar will go further.
Will the trend reverse? Not likely anytime soon. Florida is amazing, and Texas is low-cost for corporations, and until liberal states get tougher on crime, people and corporations will continue to leave in droves.
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