Tuesday, April 29, 2014

Adios, California

Yesterday, Toyota Motor Company announced that it is moving its North American headquarters from Torrance, California to Plano, Texas.

That’s 4,000 jobs, five percent of the city’s workforce and a loss of $1,200,000 in tax revenue. The city’s annual budget is $271,000,000.

No one is really surprised. One businessman offered the epitaph:

Frank Portillo, a co-owner of Los Chilaquiles Mexican Grill next to the Toyota headquarters said he did not blame Toyota, although he might lose business himself. "The taxes are lower in Texas. There are fewer regulations. It's cheaper for a company there. Why wouldn't they leave California?"


10 comments:

Dennis said...

Well California can do like New York and offer a tax free ten years for moving there as a business. I am not sure that I would trust either state because once one gets used to living well on other people's money it becomes an addiction and there are so many fine justifications
What's to keep a Diblasio wanna- be from becoming governor and doing an Obama like "reset?" If NYC can vote for Diblasio, et al, then what is to keep them from the same stupidity at the state level? One only needs to take a good look at the people selected to represent them at the federal level to get a good idea of what could happen.
It would seem that there are states that get it. Indiana with Mike Pense as governor has done well along with others who are actually balancing their budgets.

Anonymous said...

"Balancing their budgets" Dennis? What an archaic, reactionary, possibly racist and sexist idea...The solution to the debt problem is just more government spending which will somehow, like, you know, do something and solve it...oh yeah, and we should cut defense some more...there are no threats abroad, Obama told me so...

Anonymous said...

Yeah, but the Japanese chose wisely. They're moving to Texas, another state that allows illegal immigrants to pay in-state tuition at state universities. Isn't that great? So if an American citizen from next door in Oklahoma wanted to go to the University of Texas Austin for a liberal arts degree, she'd pay $16,211 per term, instead of someone who's living in Texas illegally, who pays $4,673. Explain that one to me.

Tip

Sam L. said...

Anon, you been reading Paullie "The Beard" Krugman again!

Anonymous said...

Tip, I'm sure racism, xenophobia, white privilege, welcoming the "other", classism, or oppressive structures of power would do the trick, Just mix-'n-match them either separately, collectively, or in some permutation and presto you have a ready-made leftist argument. The LoFos will be suckered just the same...

Lastango said...

I'm torn. On the one hand, Toyota (a long-term-thinking organization) is voting with its feet and leaving the People's Republic of California -- a place with a clouded future as a third-world trashheap dotted with enclaves of Coastal Elite:

http://www.nationalreview.com/articles/255320/two-californias-victor-davis-hanson

When Toyota closed the NUMMI plant in Fremont, CA it was browbeaten into forking out $250 million to "assist displaced workers".

I'm all for consequences; California voters and politicians should repose in the bed they've made for themselves.

On the other hand, I'm wondering if Toyota will perhaps accelerate the Californiacation of Texas.

Toyota has shown a disturbing spinelessness in its willingness to bow to government interference. At NUMMI, it had crawled into bed with the UAW and ward-of-the-state GM. That appeasement bought it a passel of trouble, including massive operating losses and a huge penalty for exiting.

Anonymous said...

Anonymous, I admire your "fight the power" ism chic. California has a dream to sell you! And thanks for standing up to Dennis... his ideas are dangerous for all the reasons you stated.

Tip

Jocker said...

"Why wouldn't they leave California?" The question is, why people dont leave California. Why they don't go to Mexico, as did Toyota? The taxes are lower in Texas. There are fewer regulations.. And even work is cheaper there.
So why people don't want to do this same, as companies? Stupid, stupid people..

Dennis said...

And I thought Anon was being facetious. Otherwise when someone defaults to racism, sexism, et al I know I have hit a sore spot and am correct. I am in very good company. It is the weak mind that depends on the use of these kinds of pejoratives.
Wow, I am thrilled that I am considered to hold dangerous ideas like balancing budgets, providing a business environment that is conducive to creating jobs for every one, ensuring that all children no matter their situation gets a good education because their parents have the choice of where to send them, and generally getting the government out of things they only serve to exacerbate.
By the way words like racism, sexism, homophobe, et al have little or no meaning to me. The STFU thing does not work on me and demonstrates a lack of intellectual capacity by the user.

Anonymous said...

No worries, Dennis - I was being facetious. I was just writing a parody of what we have to contend with. I think one of the best weapons we have against this leftist agitprop is constant mockery and derision.