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Comment by swe_ops | Hacker News Reader

Except that didn't happen in California and both wealthy and corporations are leaving in droves along with creating a budget deficit for CA. You can't tax your way out of issues and not expect people to leave. We have a real example of this.

Keep in mind the wealthy pay overwhelmingly more in taxes than everyone else

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California was gentrified, ask any economist and they'll tell you collapse was inevitable. The soil there isn't filled with gold, your property prices aren't going to magically sustain ZIRP-rate office space prices. Contrary to popular belief, McDonalds workers do not live at the restaurant and need a place to live alongside $450,000/yr OpenAI prompt engineers.

So you have to ask your self, as a high-density city; do you want your bubble to pop, or are you willing to back off to prevent catastrophe? The difference in opinion between residents and real estate investors may shock you.

I don't think the difference in opinion will shock me -- I am both.

California's collapse was not inevitable. It was completely avoidable by being competitive with other states where people fled to.

On the other hand, a Socialism mindset will be the inevitable collapse on NY if given enough rope.

Again, you cannot tax your way out of fiscal issues and not expect people to take advantage of other options available.

California became the 4th largest GDP in the world, among countries, in April. It has not "collapsed".

Also, $1000 on you not living in either California or New York.

California's budget says otherwise. Same with the CA's census data about people fleeing -- the reduced congressional seats don't lie.

And you'd lose that bet.

Luckily for us, we now get to see who is right! :)

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