Best of the Week
Most Popular
1. Next Financial Crisis Is Already Here! John Lewis 99% Profits CRASH - Retail Sector Collapse - Nadeem_Walayat
2.Why Is Apple Giving This Tiny Stock A $900 Million Opportunity? - James Burgess
3.Gold Price Trend Analysis - - Nadeem_Walayatt
4.The Beginning of the End of the Dollar - Richard_Mills
5.Stock Market Trend Forecast Update - - Nadeem_Walayat
6.Hindenburg Omen & Consumer Confidence: More Signs of Stock Market Trouble in 2019 - Troy_Bombardia
7.Precious Metals Sector: It’s 2013 All Over Again - P_Radomski_CFA
8.Central Banks Have Gone Rogue, Putting Us All at Risk - Ellen_Brown
9.Gold Stocks Forced Capitulation - Zeal_LLC
10.The Post Bubble Market Contraction Thesis Receives Validation - Plunger
Last 7 days
Next Tory Leader, Prime Minister Forecast and Betting Market Odds - 18th Nov 18
The Fed's Misleading Money Supply Measures - 17th Nov 18
Stock Market Outlook: Why the Economy is Bullish for Stocks Going into 2019 - 17th Nov 18
NO DEAL HARD BrExit Tory Chaos, Theresa May Leadership Challenge - 17th Nov 18
Gold vs Several Key Investments - 17th Nov 18
GDX Gold Mining Stocks Q3 18 Fundamentals - 17th Nov 18
Is Gold Under or Overpriced? - 17th Nov 18
Active Managers are Bearish on Stocks. A Bullish Contrarian Sign - 16th Nov 18
Will The Fed Sacrifice Retirement Portfolio Values For The "Common Good"? - 16th Nov 18
BrExit War - Tory Party About to Replace Theresa May for NO DEAL BrExit - 16th Nov 18
Aspire Global Makes Significant Financial Strides - 16th Nov 18
Gold Oil and Commodities …Back to the Future ? - 16th Nov 18
Will Oil Price Crash Lead to “Contagion” for the U.S. Stock Market? - 15th Nov 18
How NOT to Be Among the MANY Stock Investors Fooled by This Market Myth - 15th Nov 18
Tory BrExit Chaos Cripples UK Economy, Wrecks Housing Market Confidence - 15th Nov 18
Stocks Could End 2018 With A Dramatic Rally - 15th Nov 18
What Could Be the Last Nail in This Stock Bull Markets Coffin - 15th Nov 18
Defensive Stock Sectors Outperforming, Just Like During the Dot-com Bubble - 15th Nov 18
Buying Your First Home? Here’s How to Save Money - 15th Nov 18
US Economy Ten Points or Ten Miles to ‘Bridge Out’? - 14th Nov 18
US Stocks: Whither from Here? - 14th Nov 18
Know exactly when to Enter&Exit trades using this... - 14th Nov 18
Understanding the Benefits of Keeping a Trading Journal - 14th Nov 18
S&P 500 Below 2,800 Again, New Downtrend or Just Correction? - 13th Nov 18
Warning: Precious Metals’ Gold and Silver Prices are about to Collapse! - 13th Nov 18
Why the End of the Longest Crude Oil Bull Market Since 2008? - 13th Nov 18
Stock Market Counter-trend Rally Reaches .618 Retracement - 13th Nov 18
How to Create the Best Website Content and Generate Organic Traffic - 13th Nov 18
Why the Stock Market Will Pullback, Rally, and Roll Into a Bear Market - 13th Nov 18
Stock Markets Around the World are Crashing. What Not to Worry About? - 12th Nov 18
Cyclical Commodities Continue to Weaken, Gold Moves in Relation - 12th Nov 18
Olympus Tough TG-5 Camera Stuck or Dead Pixels, Rubbish Video Auto Focus - 12th Nov 18
5 Things That Precede Gold Price Major Bottoms - 12th Nov 18
Big US Stocks Q3 Fundamentals - 12th Nov 18
How "Free Money" Helped Create Sizzling Housing Market & REIT Gains - 12th Nov 18
One Direction More Likely for Bitcoin Price - 12th Nov 18
The Place of HSE Software in Today's Business - 12th Nov 18
Gold Asks: Are US Bonds Overvalued? - 11th Nov 18
Why the Stock Market Will Pullback Before Heading Higher - 11th Nov 18
GDX - Will you Buy This Hated Stock with Me? - 11th Nov 18
Christmas and Halloween LED Dynamic Projector Light Review - 11th Nov 18
Wall Street Veteran: Why I Don’t Lend to Family and Friends - 10th Nov 18
Stocks Breaking Higher, but Resistance Ahead - 10th Nov 18
Stock Market Was Supposed to “Crash Like 1987” - 10th Nov 18
SPX : The Incredibull Stock Market Plays On - 9th Nov 18
USD/CAD – The Moment of Truth Is Coming - 9th Nov 18
Is the Stock Market’s Rally “All Good To Go”? - 8th Nov 18
End in Sight for 'Unloved' Silver - 8th Nov 18
Outlook for Gold & Silver Precious Metals Sector is 'Positive' - 8th Nov 18
A Great Day for Metals as Platinum Price Breaks Out - 8th Nov 18
Future US Interest Rates, Financial Markets, and the FED - 8th Nov 18
Buying an Approved Used Land Rover From a Dealer - What You Need to Know! - 8th Nov 18

Market Oracle FREE Newsletter

Free Online Trading Session

Kalifornia Open Warfare on Business

Politics / US Politics Jan 31, 2018 - 02:20 PM GMT

By: BATR

Politics

The People's Republic of Kalifornia is a prime example of centralized technocratic planning under the protection of a monolithic legislature that is entirely rooted in a Marxist "global warming" climate of totalitarian collectivism. Business in this cage of redistribution exists to support the extortion demands of the Sacramento commissars. Decades of reporting definitively conclude that the Golden State has depleted their wealth creation resources because of persistent disincentives and outright penalties for conducting legitimate business. The citadel of punitive regulations has been claimed by California, the undisputed champion of anti-capitalism.  


Roger Niello reports in The Sacramento Bee, Need to improve California’s business climate? Good luck with this Legislature. "Ask any business to rank the challenges of doing business in California and most will tell you that high taxes are a problem but our regulatory burden is the worst. You will not hear that we should have no regulations, but in California we carry the excessive burden on business to an art form."

The inevitable consequences from this unfriendly business posture is outlined in the article, Misguided State Policies Lead To More Companies Leaving California. "From 2007 through 2015, as many as 9,000 companies have left California, according to Joe Vranich, president of Spectrum Location Solutions in Irvine. And no one should wonder why. Just by simply putting California behind them, these companies are saving 20 percent to 35 percent a year in operating costs, Vranich says."

Next hear the struggle from the agricultural perspective, Kawamura, Cameron: Regulations threaten California agriculture's sustainability.

A.G. Kawamura shares his experience:

"While California has a “California Agricultural Vision” document to set a purpose, vision and goals for the state's multi-billion farming industry it might be a moot point, according to Kawamura.

“It’s as if agriculture is unwanted in this state by the current administration and even more by this legislature,” the former Ag Secretary says."

Don Cameron chimes in:

"Restrictive regulations and dozens of different agencies affecting his cropping decisions continue to make him less of a farmer and more of a water manager, human resources expert, and record keeper - a few of his daily tasks.

“We know we’re going to have more regulations as we go forward; that’s a given,” Cameron says. “We know that the California Legislature will pretty much tell us what to farm and how to farm it.”

NFIB/CA opposes doubling down on bad environmental policies with AB 398 and AB 617, Cap and Trade Lite, NFIB California State Executive Director Tom Scott issued the following statement on behalf of our 22,000 dues-paying small business members:

“If enacted, AB 398 and AB 617 would put us on track for one of the most regressive and expensive legislative sessions for small businesses and all taxpayers. California has been experimenting with Cap and Trade policies for a decade, and now we have the opportunity to step back and ask if we should be standing alone in the nation on aggressive environmental policy when jobs are moving to neighboring states with much more relaxed laws. We cannot attack our business climate in exchange for little to zero net benefit to our environmental climate."

“Some believe Cap and Trade only impacts big businesses that buy and sell carbon credits, but the truth is that small businesses and consumers all pay the ultimate price of higher energy costs to produce and deliver goods. We should be doing everything in our power to lower the cost of doing business and the cost of living in this state, but AB 398 and AB 617 double down on bad environmental policy and make us even less competitive for good-paying jobs."

This political hostility, especially towards small businesses has a long history of destructive government policies and is presented in a study issued by the Public Policy Institute of California (PPIC);  California's Anti-Business Policies Impoverishes The 75%

"The resolve to turn California against business started with Governor Jerry Brown in 1974. Brown saw government’s job as restraining growth, limiting development, and expanding environmental regulations. In 1977, Time Magazine declared “the California of the 60s, a mystical land of abundance and affluence, vanished sometime in the 70s.” Fifteen years later Gray Davis, Brown’s chief of staff during the 1970s, became Governor in 1999. Davis signed 33 bills that the state’s Chamber of Commerce called “job killers.” Perhaps the most devastating was a restructure of worker’s compensation, which drove an increase in payments per worker from $2.30 per $100 of payroll to $6.44; tripling the annual employment costs to business from $9 billion to $25 billion. Three years later, voters recalled Davis and elected Arnold Schwarzenegger. Unfortunately, in 2006 the “Governator” signed the Global Warming Solutions Act that critics mourn will raise electricity rates in California by another 20%."

CalChamber Releases List of New Employment Laws Affecting Businesses in 2018 illustrates some of the new mandates that will take an ever greater toll on businesses. Add to this list, 2018’s new laws: California businesses brace for changes that expand a slew of new laws that address unpaid parental leave, new hiring restrictions and other workplace issues that will have an impact on California businesses in the coming year.

The pattern of placing roadblocks in the way of entrepreneurship is the legacy of the California bureaucratic culture. Each year it just gets worse. California's budget deficit is back, Gov. Jerry Brown says, "the state is projected to run a $1.6-billion deficit by next summer." In a desperate attempt to sidestep a key provision of GOP tax overhaul, "California state Senate leader Kevin de Leon (D-Los Angeles) has introduced a bill that would give residents a dollar-for-dollar charitable tax credit for state income tax payments into a new California Excellence Fund."

Such gimmicks are not a sound foundation for a fiscally responsible administration. Business confidence will continue to erode further when big government spenders refuse to reduce state budgets. California is in a death spiral of their own making. Only a business friendly government can change this tragedy.   

James Hall

Source: http://batr.org/merchantry/013118.html

Discuss or comment about this essay on the BATR Forum

http://www.batr.org

"Many seek to become a Syndicated Columnist, while the few strive to be a Vindicated Publisher"

© 2018 Copyright BATR - All Rights Reserved

Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors

BATR Archive

© 2005-2018 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in

6 Critical Money Making Rules