Taxes and Unions Killing New Jersey from Planck's Constant

I reported in a previous article [The Laffer Curve or Who is Laughing Now?] that one-third of the millionaires have disappeared from Maryland tax rolls because that state was stupid enough to overtax the rich.

Now we read what most of us who live in New Jersey have known for quite some time. Taxes have become unbearable and those who can easily go elsewhere do just that.

The Star Ledger, N.J. loses $70B in wealth during five years as residents depart
More than $70 billion in wealth left New Jersey between 2004 and 2008 as affluent residents moved elsewhere, according to a report released Wednesday that marks a swift reversal of fortune for a state once considered the nation’s wealthiest.
...

The exodus of wealth, then, local experts and economists concluded, was a reaction to a series of changes in the state’s tax structure — including increases in the income, sales, property and “millionaire” taxes.

“This study makes it crystal clear that New Jersey’s tax policies are resulting in a significant decline in the state’s wealth,” said Dennis Bone, chairman of the New Jersey Chamber of Commerce and president of Verizon New Jersey.

But it's not just the wealthy that are leaving the sinking ship, it's also disproportionately young employees and entrepreneurs who cannot stand unions:

National Right to Work Newsletter, Launch of Right to Work Repeal Tips Big Labor's Hand For 2009
... from 2000 to 2007, a net total of 4.19 million Americans moved from forced-unionism states to Right to Work states. That's on top of a net population transfer of nearly five million Americans to Right to Work states during the 1990's.

It's not just New Jersey. California for the 2010 Census will have the slowest growth since 1850 [Wiki]. Because of Unions alone, it is very likely that in the coming decade we will see California lose population for the first time in its history.

I expect it to get so bad in New Jersey that the state legislators may have to pass laws requiring people to actually work and pay taxes no matter the income. The requirement to do actual work may force members of unions to leave, and the requirement to pay taxes may force the freeloaders in New Jersey to move to another state.

Unless they make such drastic changes, New Jersey will soon be like Michigan. And who would want to live there? I mean, other than Union leeches and welfare freeloaders?