https://wallethub.com/edu/best-worst-states-to-be-a-taxpayer...

You also want to consider what your taxes fund – for example, a startup founder probably benefits from proximity to two of the best university systems in the country and the better quality of life means you get more top people in your employee and networking pools. The ultra-rich are going to leave but a founder who isn’t already in the top income bracket is making an economically rational decision.

Say, at-will employment exists in California and that's just one simple example off the top of my head.

In Germany, an employee is near impossible to fire.