Which problem facing California do you feel is the most serious? Why? What do you think the state government should do about the problem? Which problem facing California do you feel is the most...

Which problem facing California do you feel is the most serious? Why? What do you think the state government should do about the problem?

Which problem facing California do you feel is the most serious? Why? What do you think the state government should do about the problem?

Asked on by hell0kitty

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e-martin's profile pic

e-martin | College Teacher | (Level 1) Educator Emeritus

Posted on

Running a small business in California (in Los Angeles County), I can speak to the rather extreme degree of regulation placed on businesses. I've heard people argue that it's the regulations and red-tape that drive businesses out of California. I have also heard that the relatively high tax rate on business does it. 

I'm not sure what the real explanation is and I am not actually sure if businesses are migrating out of the state. 

I can say this for certain though - property values and property taxes are quite high in California. This is not an easy thing to change in a downward direction without damaging the economy. However, if some cap were placed on upward estimates, on increases in related taxes, etc., maybe this out of control trend can be corrected.

The housing bubble burst in a major way in California for reasons that are certainly related to housing prices being so out of control. In the last two years, prices have steadily risen, climbing back toward where they were in 2007. That seems potentially problematic. 

pohnpei397's profile pic

pohnpei397 | College Teacher | (Level 3) Distinguished Educator

Posted on

I would have to say that the biggest problem for California is the high rate of unemployment.  California's unemployment rate is about two percentage points higher than that of the nation as a whole.  If I knew what to do about that, I'd be a lot smarter than all of the people in government.  Conservatives would say that there need to be fewer regulations so that more businesses can operate more easily. 

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