Economy




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Pennsylvanians Flee from High Taxes

MAY 4, 2016 | Policy Memo by ELIZABETH STELLE

New census figures paint a sobering picture. In 2015 alone, Pennsylvania lost 41,600 residents to other states in net migration. This amounts to one person every 12.5 minutes, nearly the entire population of York. Residents in states with higher state and local tax burdens are more likely to want to move than those in lower-tax states. Below are real-life stories of Pennsylvanians on the move.

We're #1! Pa. Leads Nation in Corporate Welfare

MARCH 2, 2016 | News Release by COMMONWEALTH FOUNDATION

The Wolf administration claims important state spending has been “cut to the bone” and says only tax hikes will prevent more cuts to education and human services. But can a government topping the nation in corporate welfare at $700 million truly be funding the bare minimum?

Wolf's Policies Send Pennsylvanians Packing

FEBRUARY 19, 2016 | Commentary by NATHAN BENEFIELD

Last year, we lost one person to another state every 12.5 minutes—a net migration of 41,600 residents, gone. That’s nearly the entire population of York, Gov. Wolf’s hometown. Ironically, Wolf used his second budget address to double down on the policies that are driving people away.





Recent Blog Posts

PA Business Climate isn't Winning any "Miss Congeniality" Contests

MAY 23, 2016

Why would one of Pennsylvania’s largest natural gas producers suddenly switch from selling all non-Pennsylvania assets to purchasing a $3.3 billion Houston company that operates exclusively in Louisiana?

A Dallas Morning News article suggests Pennsylvania’s less than “congenial” business conditions.

Range Resources, which in 2004 drilled the first commercial horizontal well in Pennsylvania’s Marcellus Shale, plans to purchase Memorial Resource Development partly because of regulatory hurdles in Pennsylvania and other Northeastern states.

Energy companies are trying to cope with constant calls for higher taxes, new methane emissions standards, a dramatic overhaul of drilling regulations, and pipeline delays. At the same time, the region is experiencing a severe and prolonged drop in natural gas prices.

The Dallas Morning News reports:

The U.S. gas market is Balkanized," said Subash Chandra, an analyst with Guggenheim Securities. "And the Appalachian Basin is becoming increasingly isolated."

Pipeline projects in Pennsylvania and New England running into regulatory issues over the past year include Northeast Energy Direct, Constitution, Rover and PennEast. In some cases, the delay could be a matter of months; for others, longer.

Keeping the natural gas from getting to market in the Northeast makes retail prices bounce around more and can contribute to shortages in an unusually cold winter. And it pushes some producers to the sidelines for a while.

A couple of the producers with the best cost of production in North America are sitting on their hands for a couple of years," Miller said.

In Pennsylvania, the industry has shed thousands of jobs, and the number of drilling rigs operating in the state is at 2007 (pre-boom) levels. The paper continues:

But in the meantime, the Range purchase of Memorial means Range will have options. It can push development in Louisiana while waiting for more congenial conditions in Pennsylvania.

Reporting on the transaction, Forbes says, “[P]ipeline bottlenecks in the northeast have gotten so bad that Range has been realizing sale prices 66% below market.”

Before punishing the natural gas industry with a severance tax or regulations of questionable value, Pennsylvania politicians should consider congeniality—or common sense.

Unfortunately, a lack of it seems already to have driven one company to invest $3 billion in Louisiana instead of in Pennsylvania.

posted by GORDON TOMB | 01:14 PM | Comments

See Yinz Later

MARCH 11, 2016

The commonwealth, on net, loses one person every 12.5 minutes. Some say it's all about the weather, but a recent Gallup poll found another reason. Across the country, residents in high-tax states are more likely to want to leave than those in lower-tax states.

Decades of high taxes, growing red tape and rising debt are driving Pennsylvanians away. Can you relate? Have you left the keystone state for brighter opportunities? Share your story below and help us show Harrisburg that higher taxes are the wrong way to go.

Click here to take our poll

 

posted by ELIZABETH STELLE | 03:27 PM | Comments

Poll: How Can Pennsylvania Beat Florida?

MARCH 8, 2016

Moving out of Pennsylvania

In the Wall Street Journal, Florida Governor Rick Scott makes a mockery of Pennsylvania Governor Tom Wolf and his quest to raise taxes, calling Wolf one of his "favorite governors."

"Every time they raise taxes,” Mr. Scott says, “it’s basically a gift to Florida."

...

Florida’s population increased by 350,000 last year, and IRS data confirm that many were exiles from high-tax California, Connecticut and Pennsylvania.

As we've pointed out recently here, Pennsylvania has long been losing residents to other states—more than 40,000 lost in net state to state migration last year alone, or one resident every 12.5 minutes.

Pennsylvania and other high tax states are losing to states with lower overall tax burdens.

Not to worry though. Gov. Wolf has a solution! He's going to change the slogan for tourism!

Of course we all know slogans are the key to economic growth and job creation. Take this quick poll and tell us what you think Pennsylvania's new Tourism Slogan should be.

What should Pennsylvania's new Tourism Slogan Be?
Come visit the state you probably moved out of
Beware of Wolf
At least it's not Jersey
Come for the high taxes, stay for the corruption
Pennsylvania: Where Do I Buy a 6-Pack?
trivia quizzes
 
 
 
 
 
 

posted by NATHAN BENEFIELD | 05:37 PM | Comments