California Is Considered By CEO’s To Be The Least Business-Friendly State

Chief Executive magazine has done a survey of more than 600 CEO’s to find which states they regarded as the most business friendly. California came in dead last; 51st. They included the District of Columbia.

The list included many criteria for judging. They are:
!. Tax and regulation
2. Workforce quality
3. Living environment

Each of those categories is divided into five subcategories. Tax and regulation, for instance, includes Perceived attitude of government to business, Tax rates, employment regulations, environmental regulations, and tax incentives.

The best rated state was Texas. The three worst were California, New York, and Michigan as #’s 51, 50,and 49. Here you go:


John Fund wrote about this in the Wall Street Journal. As a result of the rating of California at dead last a few CA politicians decided to visit Texas to see why they are losing businesses to them. California Lt. Gov. Gavin Newsom was one of them.

I don’t see this as a partisan issue,” Mr. Newsom told reporters before the group met with Texas Republican Gov. Rick Perry. The former San Francisco mayor has many philosophical disagreements with Mr. Perry, but he admitted he was “sick and tired” of hearing about the governor’s success luring businesses to Texas.”

Sick and Tired? Who does he think he is? That really is how they think in California, isn’t it.

“Hours after the legislators met with Mr. Perry, another business, Fujitsu Frontech, announced that it is abandoning California. “It’s the 70th business to leave this year,” says California business relocation expert Joe Vranich. “That’s an average of 4.7 per week, up from 3.9 a week last year.” The Lone Star State was the top destination, with 14 of the 70 moving there.”

One of the CEO’s who contributes to the poll said:

The leadership of California has done everything in its power to kill manufacturing jobs in this state,” observed another CEO. “As I stated at our annual meeting, if we could grow our crops in Reno, we’d move our plants tomorrow.”

“Texas’ economy is far less volatile due to its having neither a progressive income tax system nor a large tax burden,” concludes “Rich States, Poor States,” a study by the American Legislative Exchange Council. Less volatility also allows Texas to keep expenditures in check. While it shares with California the challenge of a huge budget deficit this year, it’s expected to close it without raising taxes. Texas’s overall spending burden remains below what it was in 1987—a remarkable feat.”

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5 Responses to California Is Considered By CEO’s To Be The Least Business-Friendly State

  1. R.D. Walker says:

    There is an interesting interactive map in the link.

    If I weight all equally and click everything in the Living Environment section, everything in the Workforce Quality section and in the Taxation section I check only Debt Per Resident Ranking and Regulatory Environment Ranking, Iowa is the #1 state.

    If I reverse those selections, Iowa is #47. That tells me that Iowa is a nice place to live with a crappy tax situation and slow growth.

    Sounds about right.

  2. Locke n Load says:

    “Mr. Newsom told me that what impressed him most about Mr. Perry and the Texas legislators was their singular focus on job creation.”

    Newsome is a blind partisan, completely unable to see what makes Texas desirable. A ‘singular focus’ is all it is?
    Ahem…BULLSHIT.

    Mr Newsome, you might want to clean out your ears when you talk to the folks in Tx. We’re not dumb, lucky, hick savants with ONE appeal. We respect personal rights, have courts that don’t curry environmentalist favor, a wide open insurance market, a hardworking population that still values individual achievement, castle laws, abudant energy that we ACCESS, cheaper utility costs, and cheaper housing costs. We’re right-to-work, anti-union, free market capitalists. Our land isn’t government owned, it’s 99% in private hands and guess what. We don’t CUT OFF WATER TO OUR MOST PRODUCTIVE FARMLANDS BECAUSE OF A STUPID LITTLE SMELT! We don’t have a state income tax, our roads are better maintained than yours, and our infrastructure isn’t only NOT crumbling, its growing constantly.

    See Mr Newsome, it isn’t just ONE thing, its EVERYTHING. You’ve created an open borders socialist paradise that’s run out of other peoples money to spend. We run a capital PRODUCING economy and our people have strong opinions about keeping it that way.

    Fact is, you will continue to lose jobs for as long as your elitist socialist model is the paradigm and thats pretty fucking sad. California is beautiful, bountiful, and full of resources to be tapped if only you’d let them. But you can’t. Nope, you’ve trapped yourself by brainwashing an entire generation into believing Gaia must not be offended. Good luck with that.

    PS. Hope you liked the BBQ.

  3. jct says:

    In the book “Decision Points” President George W. Bush asks the Chinese Premier about “what keeps him up at night”…the reply is “how to create 25 million jobs a year”.

    Remarkable.

  4. Ryan Mullins says:

    Little ms. “Locke ‘n Load”,

    How dare you overgeneralize us Californians by saying wer’e all hippie,tree-huggin “Gaia worshippers”
    Many people I know, myself included are appalled at what we see happening to our beloved state at the hands of partisans in San Fransisco and LA. With the one exception of protecting our Nat. Parks like Yosemite, we think we’d be alot better off if we allowed more free usage of our natural resources which as you say, are abundant.

    On the topic of PERSONAL LIBERTY, I agree that we could be much more freedom oriented in the arenas of big business and education, but wasn’t it Texas who just 10 or so years ago got berated by the Sup. Court on your policies concerning homosexuals? By the way, how does a libertarian stance on personal choices stifle the success of business.

    I personally think Texas is much more “elitist” in it’s mentality than California, one example being it’s very own “cowboy church”. (You show me one place in the Bible where it says the word cowboy).

    And in Jesus Name,
    YEEEEEHHAAAAAWWWW!!

  5. notamobster says:

    California doesn’t have a libertarian stance on a damned-thing!

    The default position is liberal, not libertarian. Though they may look alike to the casual observer, I can assure you that the motivations grow from completely different roots.

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