Like many families, we sock away some money when we can for our son’s college education. This year, we supplemented the small but growing stash with — imagine that — a bond in California.
Before you laugh, consider another holding: Apple Computer, bought at one third of what it is now.
The right-wing extremist blogs and even the local media editorials here — trying to build political capital rather than real capital — are bashing my home-state with cries that “the sky is falling.” Let them.
Here’s a bullish article from MarketWatch about California’s so-called “Lindsey Lohan”-like spending addiction:
“California bashing is everywhere these days —especially since Californians had the temerity not to vote Republican a few weeks ago.”
“California’s a basket case? The state has one of the highest living standards in the country, yet over the past 10 years the economy has still grown much faster, per person, than the national average. According to the U.S. Bureau of Economic Analysis, it’s up 15% — compared to 8.9% for the U.S. overall.
“It’s grown faster than low tax neighbors like Arizona, Utah or New Mexico. It’s grown three times faster than Texas.
“And this was from 1999 through 2009: In other words from the peak of the dot-com years through the depths of the recession. It managed this growth despite the double blows of the tech and housing busts.”
In addition, venture capitalists are putting a bigger share of their money into California today than they were in 1999.
Oh, and here’s more: “As of 2008 (the most recent year analyzed) state and local taxes in the average state came to about 9.7% of the annual state economy.
“What was it in crazy, liberal, communistical, socialistical, un-American, soviet-style California? Er, 10.5%. That’s right. The burden was all of 0.8 percentage points higher than the average.”
The full article is here.
And here’s the Lindsay Lohan perspective:
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