Buckeye Business Blues
Posted March 25th, 2008 by Da King
According to an Associated Press story, more Ohioans than ever are on food stamps, nearly one in ten.
Amid a sluggish economy, a record 1.1 million Ohioans are getting food stamps, the state’s welfare agency said. That’s about 10 percent of the state’s population.
Caseloads have almost doubled since 2001, when an estimated 628,000 people were in the program, according to the Ohio Department of Job and Family Services.
Low wages, unemployment and more expensive groceries, gasoline and other necessities have contributed to financial hardships facing many families. Ohio’s jobless rate is 5.3 percent, up from 4.4 percent in 2001.
I would say the lack of good jobs is far and away the number one reason for this situation, with all the other cited reasons running second. This begs the question, why does Ohio lack good jobs ? The entire country was hit with the loss of manufacturing jobs, but other states have recovered much better than Ohio. Why ? One big reason is that Ohio has one of the worst business environments in the entire country. According to The Tax Foundation's rankings, Ohio has the 5th highest state/local tax burdens in the country, and is ranked 46th out of 50 for it's business tax climate. Ohio had one of the lowest tax burdens in the 1970's, and now has one of the highest. Former Secretary of State Ken Blackwell, who is campaigning for John McCain, put it this way:
"John McCain knows as I know…that capital seeks the path of least resistance and greatest opportunity. Ohio's regulatory environment, it's tax climate, and the general cost of doing business is non-competitive, and as a consequence we're losing capital and losing jobs."
Blackwell was also highly critical of his own Republican party under former Republican governor Bob 'good riddance' Taft. Blackwell complained that "Ohio Republicans…campaigned like Ronald Reagan and then governed like Jimmy Carter". Amen to that. The same thing happened at the national level under Dubya. Blackwell, one of the few real conservatives in Ohio, lost his bid for the Ohio governorship to Democrat Ted Strickland by 24 points in 2006.
So, now that the Democrats control the statehouse, what does Strickland plan to do to help Ohio ? Has Strickland seen the light about Ohio's onerous tax burden that inhibits the creation of new jobs ?
No such luck, Ohio. His first budget did nothing to address the situation.
The news gets worse. The USA has nearly the highest corporate tax rates in the world, so the business environment is already unfriendly. When you add Ohio's unfriendly business environment on top of that, we have sort of the perfect storm of business unfriendliness right here in the Buckeye state. We are the worst of the worst. No wonder jobs aren't being created. No wonder the rust belt keeps rusting. On top of that, add high energy costs due to our climate. I mean, what's so hard to figure out here ?
When Hillary Clinton and Barack Obama blew through town talking about renegotiating NAFTA (and forgot all about it as soon as they left), that was the red herring. The problem isn't NAFTA. Globalization isn't going away. Free trade isn't going away. You might as well wish for the return of the horse and carriage (okay, bad example. That one might make a comeback the way things are going.) Instead of fighting globalization, we have to adapt to it. First, we have to stop treating business and free enterprise like it's the enemy (that's you, left wingers). Second, here's my crazy idea, and somebody tell me why it wouldn't work to immediately transform the business climate from unfriendly to super-friendly, and those job losses into job gains:
We stop taxing business. Completely.
For you liberals out there, c'mon, think outside the box. The purpose of our country isn't to accrue money to the government, it's to create conditions for the prosperity of our citizens. Life, liberty, and the pursuit of happiness gets much more difficult without a decent income.
And it beats food stamps.
March 25th, 2008 at 11:02 am
To make Ohio competitive again, here are the necessary steps:
1. Cut government spending.
2. Reduce taxes on household income, property, and companies.
3. Cut red-tape and the excessive regulations.
4. Pass voucher legislation to free the schools from the grip of the greedy education establishment.
4. And last but not least, pass right-to-Work legislation so union bosses can no longer force anyone into a union against their will.
Do these things and jobs & people will come flooding into the Buckeye state.
Don't do them, and watch Ohio to continue its slide, losing out to other states in terms of job creation, population, and percapita income.
March 25th, 2008 at 11:55 am
Supply siders are unflappable.
All those years of GOP rule in Ohio……all those years of GOP supply side philosophy…..has worked how well again? And because all those years of total GOP supply side rule have been so successful…..you want Ohio to do what again?
More supply side measures to further enrich those few who were enriched so much during all those GOP supply side years.
By all means……yes, the public school system, any taxes on the rich, and the huge 7-9% unionized workforce are unquestioningly to blame for our current situation.
The only thing flooding into the state of Ohio is the bullpucky pouring out of the mouths of supply sider voodooists.
Rich, you know, investors have never seen their taxes cut so low…..but it's never enough….is it? If the rich business people don't get everything they want…..they'll just pick up their employment ball and go on home.
And sure……the deep recession we're entering was caused by deregulation……so it goes without saying we need more deregulation.
Morons.
March 25th, 2008 at 1:33 pm
Poor Red, failed to read where King said that Republicans campaigned in Ohio like Republicans and governed like Democrats. He gets so carried away with his supply side crap that it amazes me that he continues like that year after year. I do wonder why left handed people like Red just can't see that it is how they govern that is important, not how they campaigned. I'll bet he doesn't even see Obama promising things he can't, and won't try to deliver, if elected. It is very amusing to read his ranting about how the Republicans governed in Ohio like they were Democrats.
March 25th, 2008 at 2:09 pm
Roy,
You just can't talk to the Rev. He either doesn't read or can't comprehend the words right in front of his face. Instead he's off on some nonsensical rant about supply siders, when I just got done explaining how Ohio has some of the highest taxes and business burdens in the country, and also the world. The situation in Ohio is about as far from supply side economic theory as you can get. The Rev's mental disconnect is nothing short of mind-boggling. He's like a programmed robot. Abandon hope all facts that try to enter.
March 25th, 2008 at 4:24 pm
Liberalism is a mental disease.
March 26th, 2008 at 12:01 am
Ghost,
I think that the kind of liberalism Rev Red has is more than a mental disease. I don't call him Red for nothing. He earned my calling him that.
March 27th, 2008 at 11:08 am
Yea, Roy, he's "red" because he's a socialist and he's also "red" because he's cover with the blood of unborn babies from the abortion mills he and his ilk give political cover for.
March 30th, 2008 at 4:02 pm
What a blog! Two attempts at discussion and then five at name calling. Mr. Ghost, you need to get hold of your anger.
By the way, since you brought up abortion on a posting about the state's economy, here's a question. Why do none of the "babies" that God aborts through miscarriage get buried or have any funeral service?
March 31st, 2008 at 11:58 am
Frank wonders, "Why do none of the "babies" that God aborts through miscarriage get buried or have any funeral service?"
You're wrong, sir. Many such babies do get funeral services. I've been to two such services over the years. They are very sad.
+++
Frank, in case you missed the bit about Ohio's economy, let's go over it again, okay?
To make Ohio competitive again, here are the necessary steps:
1. Cut government spending.
2. Reduce taxes on household income, property, and companies.
3. Cut red-tape and the excessive regulations.
4. Pass voucher legislation to free the schools from the grip of the greedy education establishment.
5. And last but not least, pass right-to-Work legislation so union bosses can no longer force anyone into a union against their will.
Do these things and jobs & people will come flooding into the Buckeye state.
Don't do them, and watch Ohio to continue its slide, losing out to other states in terms of job creation, population, and per capita income.
[Hope you didn't imagine anger in this posting Frank.]