Inquiring minds this evening have just digested an incredible article on the future of California because of its past and present. An interesting aside is that because this article is a month old, it is actually much more delicious. The 30-some-odd days have allowed for enough distance from the event to gain some real perspective.
Mr. Hedgecock first goes after the trite and obvious election outcomes:
California voters refused to suspend the state’s first in the nation cap-and-trade global warming law, paving the way for skyrocketing utility rates and a lower standard of living. Green groups supporting the state’s cap-and-trade law were funded by crony capitalists “creating jobs” in heavily subsidized “alternative energy” companies. These “entrepreneurs” (L.A. Times) outspent the oil companies whose traditional energy sources are viewed here as evil incarnate, even as Californians continue to outpace the country in miles per person driven every year.
But then, Mr. Hedgecock analyzes the not-so-obvious and this is where he is at his best:
The national press also made much of the defeat of Proposition 19, which would have legalized pot. They missed the real story.
Pot is readily available everywhere in California. With the collapse of the timber and fishing industries (driven out of business by the greens), northern California pot growers are now the backbone of the local north-coast economy. Legalization would have opened up pot growing all over the state, threatening the profits which are protected by Marijuana prohibition. Local city councils and even local sheriffs in northern California opposed Proposition 19 and campaigned against it.
The Mexican drug cartels, growing pot in south and central California state and federal forest lands likewise opposed legalization for the same reasons.
The vote against Proposition 19 was not an anti-drug conservative backlash; it was a business decision by the growers of the state’s most valuable agricultural product to protect their profits.
This is an amazing event. Just think about it for a moment…California is so far gone that we have outdone Al Capone’s Chicago of the Roaring 20’s. Sheriffs are for illegal activity and they aren’t even getting graft!
After this, Mr. Hedgecock then turns his attention to the new economics of the state…and it looks a lot like the end of the first half of “Gone With The Wind”:
For example, California once boasted over a dozen vehicle assembly plants. Chrysler, GM, Ford—and later, Toyota—built cars and trucks here. The last one closed last year. The auto parts suppliers—the rubber, glass, plastic, etc.—plants have all left too, taking their high-paying jobs with them.
The aerospace industry once employed tens of thousands of highly paid workers. My father and my wife’s father both worked at aerospace companies. Douglas, Lockheed, and Convair—they’re all gone now. The giant machines used in the airframe and rocket assembly line at General Dynamics, in San Diego, were auctioned off when the plant was closed—bought by the Chinese and shipped to China. And, again, the many smaller firms that once supplied that manufacturing process are gone too.
So far in this year alone, 85 Californian companies have closed plants, relocated part or all their business to another state, or designated another state for the future growth of their business. Fifty-one California companies did the same things in 2009, and only 43 did in the years 2006-2008. The exodus of jobs is increasing.
Here at SurvivingCalifornia, this was reported in “Companies Fleeing California“.
And, of course, the high-tech companies were going to save us. But many have left or are leaving. And what about the new super-duper hi-tech ‘green’ companies?
They’ve left too:
Solexant, a startup solar manufacturing firm that announced its relocation to Oregon, where it will build a manufacturing plant employing 170 people to start. Even “green” companies are fleeing California.
A “Tip of the hat” to Dan for this article.
Filed under: Uncategorized |