If Immigration Creates Wealth, Why Is California America’s Poverty Capital? – IOTW Report

If Immigration Creates Wealth, Why Is California America’s Poverty Capital?

AMERICAN THINKER: California used to be home to America’s largest and most affluent middle class.  Today, it is America’s poverty capital.  What went wrong?  In a word: immigration.

According to the U.S. Census Bureau’s Official Poverty Measure, California’s poverty rate hovers around 15 percent.  But this figure is misleading: the Census Bureau measures poverty relative to a uniform national standard, which doesn’t account for differences in living costs between states – the cost of taxes, housing, and health care are higher in California than in Oklahoma, for example.  Accounting for these differences reveals that California’s real poverty rate is 20.6 percent – the highest in America, and nearly twice the national average of 12.7 percent.

Likewise, income inequality in California is the second-highest in America, behind only New York.  In fact, if California were an independent country, it would be the 17th most unequal country on Earth, nestled comfortably between Honduras and Guatemala.  Mexico is slightly more egalitarian.  California is far more unequal than the “social democracies” it emulates: Canada is the 111th most unequal nation, while Norway is far down the list at number 153 (out of 176 countries).  In terms of income inequality, California has more in common with banana republics than other “social democracies.”

More Government, More Poverty

High taxes, excessive regulations, and a lavish welfare state – these are the standard explanations for California’s poverty epidemic.  They have some merit.  For example, California has both the highest personal income tax rate and the highest sales tax in America, according to Politifact.

Not only are California’s taxes high, but successive “progressive” governments have swamped the state in a sea of red tape.  Onerous regulations cripple small businesses and retard economic growth.  Kerry Jackson, a fellow with the Pacific Research Institute, gives a few specific examples of how excessive government regulation hurts California’s poor.   MORE HERE

16 Comments on If Immigration Creates Wealth, Why Is California America’s Poverty Capital?

  1. “…the cost of taxes, housing, and health care are higher in California than in Oklahoma, for example.”

    So after sanctuary California welcomes the third-world welfare recipients, and they can’t afford to live there, they then move to other states, like Oklahoma, for example.

  2. The real problem is illegal immigration- aggravated by free stuff for parasites and abetted by the commie, gun-grabbing kleptocrats running this state.
    Note also they are driving businesses out, raising taxes and ruining education, while infrastructure crumbles.

    Grand slam, assholes.

  3. PHenry, Obviously you didn’t read the article. The illegal alien population has overwhelmed California. Illegal aliens vote Liberal for the promised freebies! Those of us who have lived here for years and vote Conservative are outvoted. Why is this so hard for people like you to understand?
    1. The illegals are invaders, not citizens. 2. Illegals are encouraged to to come to America and protected by Liberals. 3. Border States are the first place of entry.
    4. Liberals want them here because they vote illegally for Democrats.
    I guarantee you won’t be baffled when your state has the same problem. If we don’t stop illegal immigration the whole country will become California.

  4. Uncle Al: That’s what Herbert Hoover thought when the Great Depression overwhelmed his administration. FDR promised social welfare and started this country on the path to the socialism that California has finally adopted. Politicians buy votes with other people’s money. Democrats buy more votes than Rhinocrats. That’s why they can’t compete with Democrats. Real Republicans haven’t got a chance of turning the state around, until it collapses financially.

  5. @ Tony- I never use I 5 anymore. 99 offers a better drive and more services. Improved over the last few years, it is now nonstop. Drive time between LA and Sacto about the same.
    And if there is a lane closed on I 5 you might be stuck for many hours between offramps.
    Trust me on this.

  6. Its so simple.
    Its only poverty if the group living that way have a Return on Investment potential for political gain.
    Otherwise they are ‘Artisans’ (if left leaning) or Gutter Trash (if Trump Voters)

  7. Have some CA resident friends who tell me that a large percentage of ppl there work under the table and suck up the gov’t freebies for
    “the poor” at the same time. Now THAT’S a recipe for economic disaster and demsocialists running the place know it well.

  8. Politicians use these handouts as a means to ensure reelection.
    I have always proposed a SINGLE term for any politician except the president.
    Additionally, any politician’s salary should be the average of the people he/she represents (mayor, city council, governor, etc).
    So easy to fix these problems, yet the solution will never come from within. It must come from outside sources, like Mark Levin’s Liberty Amendments.

  9. @Anonymous February 24, 2018 at 12:19 pm

    > 1. The illegals are invaders, not citizens.
    > 2. Illegals are encouraged to to come to America and protected by Liberals.
    > 3. Border States are the first place of entry.
    > 4. Liberals want them here because they vote illegally for Democrats.

    Where to start? Well, let’s just go in order:

    1. LEGALS are not citizens. Not when they arrive. Not for years after they arrive. (And, of course, every new amnesty, née “path to citizenship”, makes “illegals” “legal”.)

    2. LEGALS are encouraged to to come to America and protected by Liberals.

    3. Of course, border states (and counties, and cities) are the point of entry. And some of them retain those influxes. But arrivals just keep moving. Onto a destination where many of their own people are, already.

    4. Liberals want them here because they are good for kleptocrats. Democrats are loud and proud about the government spending they want to do with other people’s money. Democrats and Republicans are proud (but quiet) about the personal profit they receive. It’s a carrot and a carrot for big(ger) government.

    None of which falsify your claims about ILLEGALS. Just that being “illegal” has anything to do with it. If you think the above are bad for Americans (Germans, Swedes), then distracting with the term “illegal” is just that, distracting. Ooh look! A flock of turtles!

  10. @F16 Guy February 24, 2018 at 1:55 pm

    > I have always proposed a SINGLE term for any politician except the president.

    A practical question: If it is to be a single term, why would there be “politicians”? Wouldn’t a “civic duty” pool (exactly like “jury duty”) have the same result, and waste fewer resources getting there?

    And why exempt the President?

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