benwolf said:
This is the kind of argument that can go in circles. Generally, low tax states don't offer the services or public infrastructure like parks that higher tax states do. Some people are ok with that. But the average wage in New York is higher than Arizona, and housing prices are low in Rochester, negating any tax advantages for the average person.
That is not true. There is little correlation between tax rates and services any more. Many of the high tax states are in such fiscal trouble that they've cut back on services left and right. Yet the fiscally healthiest states are (ironically) low-tax states. And they still have some money to spend on services. If you're talking about state park systems, New Hampshire and Oklahoma have nice park systems just as New York and California do. The latter 2 states had more resources earlier in life and were able to establish these systems. And, the park systems in the latter two states are struggling right now. Illinois is a high tax state and its state park system is not as good as low-tax Indiana's is. And Indiana isn't headed for bankruptcy. I could go on all day about this......
Also, your argument about per capita income is a misunderstanding. The income levels in New York and Arizona have nothing to do with the tax rate. Arizona has always been a lower cost place: housing is (much) cheaper as is labor. In the end, the average middle-class person can afford more of a house for far less money in Phoenix than in New York City. Economically, they are almost like 2 different countries. Also, there are vast differences in income within each state. Westchester and Suffolk Counties in New York bear no resemblance to most of upstate. I'd bet that you weren't thinking of Utica, Schenectady or Jamestown when you were citing how prosperous New York is. That prosperity mainly originates from Manhattan. Rochester is upstate's most prosperous area and even it is struggling. Kodak has seen better days, for example. High taxes haven't helped.
Fact is, most of the economic growth right now is in lower tax states.
Didn't want to veer so far OT, but I had to say something because this post includes so many false assumptions.