The Northeast: where economic growth sputters

Jon Keller has the goods on a report from ALEC, a non-partisan forum highlighting where the economic pulse is good and bad.

According to the report, Massachusetts ranks 26th in economic outlook, which is one rung below the 50th percentile. Our saving graces: low sales taxes (5%), low income taxes (5.3%-5.95%) and "solid tort liability" (not sure what that means). Yet, we lose 330K residents thanks to a "high minimum wage" (national minimum is $5.85; ours is $7.50), high property taxes, high corporate taxes, and "forced unionism" (meaning that great "living wage" they tell you about also includes 20% or so in union dues, which promptly get spent on campaigns, strike funds, protests, and goodies for the union bosses).

A great example between Massachusetts and New Hampshire, for example? New Hampshire has an outrageously high property tax, about $50 per $1,000 per home value, meaning your $250,000 home in Nashua yields $12,500 in property taxes. They also have a meals tax of 8%. On the other hand, New Hampshire has 0% income tax and 0% sales tax. Massachusetts also has the largest concentration of colleges (including 10+ Ivy League schools), universities, and hospitals, and many are world class (is there a New York Latin School? A Kentucky General Hospital? What if Harvard were in Chicago?), whereas New Hampshire has one Ivy League school (Dartmouth), one quasi-ivy league school (University of New Hampshire) and many smaller state schools. In New Hampshire, apartment rents are at least 50% lower than those of Boston, if you can find an apartment not occupied by medical students and college students AND pay the $1000+/month rent.

It all balances out in the end - the strengths of one state may outnumber the weaknesses of the other, but it's how we pay the bills that makes all the difference. If you live in Utah, no worries - except in Salt Lake City, where word has it that the mayor is a little bit weird.

In case you're wondering who ranks dead last...when the report mentioned one Bernie Sanders as an "avowed socialist...enough said," I never thought Vermont would come in dead last. No wonder some Vermonters want to secede from America - they want to make it a new Cuba!