There's a great editorial over at the Wall Street Journal (click image for link) about this guy named Kurt Hauser from San Francisco, who's demonstrated empirically that government receipts as a proportion of GDP are literally unaffected by income tax rates. One could only hope that the California electorate would start to pay attention and work on pro-business legislation instead of driving more of our companies over to Texas instead.
Sadly, it's not likely with the 'but it sounds good so it must be true' knee-jerk socialists that run the state. Can you believe these idiots want to add a VAT? It's no accident that the places in Europe that are kicking butt are the places growing their GDP (Ireland, Germany), not the ones that are confiscating as much as they possibly can (Spain, France, England). What I don't have a graph to show, though, is GDP-growth rate, which is affected by taxation -- ask Ireland how to benefit from a low flat tax.
But no, the local idiots are going to try to soak the rich to cover the costs of CA's incessant borrowing. Oh, and they're also going to get out of debt by borrowing more!
