Does California’s ranking on national business climate surveys matter?
If you’re like me, your instinctive reaction to a
business climate (or quality of life or innovation) state-by-state ranking will
be to laud the ones with which you agree, and find fault with the ones that
don’t match your preconceptions. Sort of like your first-blush response to the
latest survey research.
But just like solid methodology can overcome your
skepticism about a poll, a better understanding of state-by-state business
climate rankings can shed light on what is useful for public policy and what is
merely entertaining. The Public Policy Institute of California (PPIC) has
recently released a study that provides a useful template
for applying state rankings to policy problems.
The PPIC authors, Jed Kolko, David Neumark and
Marisol Cuellar Mejia, posed a puzzle: why does California rank so poorly on
many business climate indexes even though our economy over time tends to equal
or occasionally outperform the national economy?
Texas Trip Confirms: California Needs a Plan to Create Jobs
California has an unemployment rate of 12 percent, lost 11,600 jobs
last month and has no plan for creating jobs for the more than two
million California workers who are looking for work. Texas has an
unemployment rate of 8.1 percent, created 37,200 jobs last month and
has an aggressive plan for investment and job creation.
Last week provided an eye-opening look at some of the important
differences between California and Texas for a delegation of
California legislators, Lt. Governor Gavin Newsom and business
association leaders who traveled to Austin, Texas on an economic
development fact finding mission.
The mission was conceived by Assemblyman Dan Logue who arranged for
ten legislators to spend two days in Austin talking to California
companies who had recently moved or expanded operations in Texas.
The group also met with Governor Rick Perry, officials from his
administration and members of the Texas Legislature.
Caesar’s Wife and the Redistricting Commission
In 62 B.C., Julius Caesar divorced his wife, Pompeia, after rumors circulated that she was romantically linked with Publius Clodius, a notorious philanderer. Caesar himself reportedly did not believe the rumors, but made it clear when demanding the divorce that “Caesar’s wife must be above suspicion.”
Caesar took dramatic steps to ensure the integrity of his office. California’s Redistricting Commission does not appear to hold the same high standards.
The controversy stems from their hiring of Q2 Data and Research, a Berkeley firm chosen to draw “fair and impartial” district lines through a series of thinly veiled steps.
Keep in mind that the Commission nearly hired Q2 on a “no-bid’ contract until they were embarrassed by public criticism for that patently unfair practice. Forced to issue a public bid notice, the notice contained three key components: bidders should (1) disclose prior redistricting experience at the Metropolitan Statistical Area level – with minimum populations of about 1.5 million and up; (2) disclose potential “conflicts” relating to the partisan backgrounds of persons involved with the bidders’ proposals; and (3) disclose financial supporters with partisan backgrounds that might cause disqualification.
Teachers’ Union Strong Arm Tactics
California’s most powerful public employee union, the California Teachers Association (CTA), has budgeted $1 million for a May campaign to browbeat and coerce lawmakers and taxpayers into providing more money, through higher taxes, for teachers.
The action items proposed by the CTA range from the silly — convincing the Ben and Jerry’s ice cream company to add a labor-union flavor to their line — to the outright threatening — demonstrations that could create major traffic jams in towns and cities.
Apparently, the union representing the second highest paid teachers in the nation – New York pays several hundred dollars a year more – thinks nothing of creating potentially dangerous traffic hazards and making thousands of those who still have jobs in California, late for work.