As first noted on Thurbers Thoughts, you can read the full letter at
http://online.wsj.com/public/page/letters.html
and you can read the original post at:
http://swampbubbles.com/a-bit-late-interesting-texas-v-ohio-texas-outdoi...
Your editorial "Texas v. Ohio" ran the same day Ohio earned the 2007 Governor's Cup Award from Site Selection magazine (March 3). The Governor's Cup is awarded annually to the state that has the highest number of new facilities and expansions that meet certain criteria.
Ohio has won the cup two years in a row, not by opinion polls or historical databases, but rather by objective, tough to convince, hard-nosed business executives who don't like to make mistakes when it comes to large capital investments.
These executives are seeing a fundamentally improved Ohio business climate. In 2005, Ohio enacted the most sweeping tax reform in 75 years that made Ohio's new capital investment tax rates the lowest in the Midwest. These reforms are designed to make Ohio companies even more competitive in the global economy.
In the editorial, Ohio's corporate tax rate was cited as being 10.5%, based on a two-year-old set of numbers. Today, the actual effective corporate tax rate is only 3.6%. In two years, that tax rate will be zero, as Ohio will become one of only four states without a corporate-profits tax. Ohio is also one year away from becoming one of only 10 states without a tax on business tangible property (machinery, equipment, fixtures, and inventory). New machinery and equipment is already tax-exempt. Finally, Ohio's personal income tax is in the fourth year of a five-year series of rate cuts that will reduce all tax rates by 21% from their pre-reform levels. In sum, Ohio's tax structure is much more business friendly than the editorial asserts.
Ohio also received a significant vote of confidence in the state's fiscal management: Recently Moody's continued to rate Ohio bonds "Aa1," and Fitch and Standard & Poor's gave Ohio's bonds a rating of "AA-plus."
Texas earned the Governor's Cup six times, certainly an impressive achievement, and they laid the foundation for their state's remarkable economic growth. Ohio has now earned the Governor's Cup in back-to-back years. We are confident that our recent tax reform and our aggressive economic development efforts are moving Ohio to the head of the class.
Gov. Ted Strickland
Lt. Gov. Lee Fisher
Director
Ohio Department of Development
Columbus, Ohio
Why, why, and why do these politicians continue to cite awards as the basis of their progress? That's all while population continues to decline, and manufacturing jobs continue to decline. Interestingly enough, that award is an award for investments within the state. Business investments doesn't necessarily mean jobs, which really was the overarching story behind the WSJ article. Ohio continues to decline in population and jobs. They can't ALL be leaving just because of Ohio's gloomy, crappy winters.
I think he also cited the shinking corporate tax rate
... then shouldn't your expenses?
Has Ohio shrunk its budget in response to all the loss (and projected loss, through the 0% tax on corporate profits)?
We've made no preparation whatsoever for the coming Depression. Ohio is going to be in a severe social condition for the period through 2020 AD. Moving to just over the Michigan line won't help those who want to avoid it, since MI will be in a similar shape. It might well be time to consider escaping the Midwest, folks. Save your money. If your mortgage is a beast, just walk away from it. Cut up those credit cards (i.e. "badges of being poor"). Live like a monk. Eventually you'll have the funds to put a limited amount of personal possessions in a trunk, and you can hop on a train and get the F*CK out of here.
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Smoker Ban
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Among Highest Utilities In Nation
Recent EPA tightening
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"Oh, Bother!" Said Pooh, as he chambered his last round.