TX Gov. Caught Telling Half Truth Regarding CA to TX Business Relocations (Sunnyvale: unemployment rate, buy)
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TX Gov. Caught Telling Half Truth Regarding CA to TX Business Relocations
Its all very amusing...I sorta like that he and his ilk are openly chomping at the bits over their envy of California's position as the state with the largest population and economy.
"Since the first of the year, 153 businesses at last count had moved out of California to Texas," he[Gov. Perry] said on "Fox & Friends" Nov. 4. Then on Nov. 8, he said it to host Greta Van Susteren on Fox News's "On the Record." Later that day he told the host of Comedy Central's "Daily Show," Jon Stewart, that "153 businesses have moved out of California to Texas since the first of the year through August"
Well, okay...but
Quote:
Originally Posted by Austin American Statesman
However, Muckerman said, the D&B count does not mean that 153 individual companies pulled up stakes in California to settle in Texas. Muckerman offered this example: If one company with five offices in California keeps its headquarters in state and moves its branches out of state, including one to Texas, that would figure into the D&B count that Perry cites.
Ah! Perspective...
Quote:
Originally Posted by Austin American Statesman
We wondered how many business sites moved from Texas to California. Muckerman told us there were 92 such moves, leaving Texas with a net gain of 61 business sites from the Golden State.
Wow, more perspective...
And is there ANY doubt that the TX to CA relocations were most likely higher paying, higher skilled jobs than the ones we shipped to TX?
But wait, there's more...
Quote:
Originally Posted by Austin American Statesman
Putting Texas' numbers in perspective, he said, 19,585 business sites in the D&B database showed a change of address from one state to another between January and August. Of those, 1,280 relocated from other states to Texas, which ran second to Florida in relocations. Florida's haul was 2,032, Muckerman said.
Sunshine over Lone Stars.
This article from the Austin American Statesman confirms what the California Public Policy Institute has been saying all along:
"[T]he small number of California jobs moving to other states due to business relocation is relatively inconsequential—about 11,000 jobs per year out of more than 18 million (.06 percent).Business births, deaths, contractions, and expansions have a much greater effect on employment."
It also exposes the notion that there is a mass exodus of companies and jobs from California for the MYTH that it is, which is corroborated by this:
It's not true that businesses are fleeing the state, Henton said. Adding up the numbers of businesses that started up compared with those that closed or moved elsewhere showed that the state gained a net average of 58,500 new businesses each year from 1995 to 2008, the report said.
I dont dislike Texas in the least, I just think the issue of jobs and companies moving from California to Texas needs to be clarified as much as possible because the media fawns over 'rankings' of business friendliness put out by special interests controlled by businesses in the first place.
Once we peel away at the layers of rhetoric, we see that California is NOT really hemorraging a significant amount of jobs or corporate relocations to TX and the stats prove that.
For the first 8 months of 2010, they had a net gain of a measly 61 businesses from CA. Many of those were only CA companies building a office or facility there-NOT totally moving their entire operations there.
Its a huge smoke and mirrors campaign that MUST be squashed.
Now, does that excuse California for NOT making itself more enticing for businesses to remain here? NO.
Its all very amusing...I sorta like that he and his ilk are openly chomping at the bits over their envy of California's position as the state with the largest population and economy.
And is there ANY doubt that the TX to CA relocations were most likely higher paying, higher skilled jobs than the ones we shipped to TX?
But wait, there's more...
Sunshine over Lone Stars.
This article from the Austin American Statesman confirms what the California Public Policy Institute has been saying all along:
"[T]he small number of California jobs moving to other states due to business relocation is relatively inconsequential—about 11,000 jobs per year out of more than 18 million (.06 percent).Business births, deaths, contractions, and expansions have a much greater effect on employment."
It also exposes the notion that there is a mass exodus of companies and jobs from California for the MYTH that it is, which is corroborated by this:
It's not true that businesses are fleeing the state, Henton said. Adding up the numbers of businesses that started up compared with those that closed or moved elsewhere showed that the state gained a net average of 58,500 new businesses each year from 1995 to 2008, the report said.
Must everything be spun? Just look at unemployment rates...it is obvious which states are witnessing the biggest economic downturn/business flight in America.
Texas has very little regulations, so there is no need to try and claim businesses are not moving to Texas. California is desirable because, well its California, but the regulations and taxation are an issue for business. It's just a matter of whether or not businesses are willing to deal with that for the benefit of being in sunny Cali.
Some will, but I think most will not...at least not while the economy is sick.
Can anyone imagine having to move to Texas because of a job? How many people say, "hell no" to the idea of moving to redneck Bibleland. I'm sure most would rather be unemployed than move to a state like Texass!
California Sur - your hyperbole is silly. I have no problem with someone saying they like California more than they like Texas (or any other place). But your exaggerations about "redneck Bibleland" are just as wrong as those who say California is the land of pot smoking hippies.
I always prefer facts to what comes out of politician's mouths. That includes our governor.
When ANY politician speaks, regardless of party, we should be skeptical. When Jerry Brown says he isn't beholden to unions, everyone should be skeptical.
As for companies moving to Texas - of course it will be exaggerated by Rick Perry. I have said for a long time that it isn't easy for companies to just move. But over time - companies may expand in a location different from HQ. I have no data to speak of, but I believe large companies all the time look for ways to save costs in a way that doesn't hurt their business. If they need to expand - they will consider alternative sites.
Why else would Advanced Micro Devices increase their presence in Austin instead of Sunnyvale? There is no distribution advantage. You can't buy silicon cheaper in Austin. Why wouldn't Dell expand in California instead of Tennessee? Because Tennessee is even cheaper than Texas, which is in turn cheaper than California.
What is really annoying me is that Texans think every single business is just going to shut down and run over to their state. Um hello....There are still 40 million people here who need to make a living, need food, groceries etc. It's not just going to be some abandoned ghost state or something....
Yeah, its a shame Bill White wasn't elected governor. Probably the best mayor Houston ever had and very savvy.
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