An article from The Examiner on Friday reveals that newly elected Republican governors have rapidly brought down unemployment in their states compared to states that elected Democratic governors in 2010.
In every single one of the 17 states that elected conservative governors in 2010; unemployment has dropped by an average of 1.35%. Yet in the United States as a whole, unemployment in January 2011 was 9.1% and is now 8.2%, meaning that the rate has only declined 0.9%, which is 50% less growth than in the states with newly elected Republican governors.
In the eight states that elected Democratic governors in 2010, the unemployment rate has actually increased in one state (New York) and only declined by an average of 0.95%, which is approximately the same rate as the national average.
This data suggests that it is the policies of the Republican governors that are working to restore job creation, and not the policies being implemented by President Obama at the national level and Democrats at the state level.
However, Obama continued to ignore this evidence and made a speech today pushing for the repeal of the Bush tax cuts on those making more than $250,000 a year, which would hurt small businesses and halt job creation.
Perhaps he should learn from the bad example of Maryland. A new study released today finds that a net 31,000 residents have fled the state between 2007 and 2010 due to a "millionaire's tax" passed by their Democratic Governor Martin O'Malley. Ultimately, the tax cost Maryland $1.7 billion in lost tax revenue, with the states wealthiest counties having the largest population outflow to places like Florida, which has no income tax.
This trend has been seen nationwide as well, with a record-number 1,800 people renouncing their U.S. citizenship last year to escape oppressive taxes. Clearly, raising taxes in the middle of a recession is not the answer to our problems.
If President Obama wants the economy to improve, he should follow the example of Republican Governor Chris Christie in New Jersey. In May, statistics from Obama's own labor department revealed that New Jersey experienced its largest monthly job gain in seven years, adding 17,600 jobs, making the state responsible for 25%, or 1 out of every 4 jobs added in the entire country that month. Furthermore, the labor force participation rate in New Jersey is 66.1% while nationally the rate was only 63.8%.
The contrast between Christie's Republican administration and the previous Democratic administration of John Corzine is telling. Under Christie's term so far, 1 out of every 3 jobs lost under Corzine are being added back. During Corzine's 8 years as governor, tax and fees increased 115 times, or once every 25 days, which clearly led to wealth, jobs, and people leaving the state. Christie's policies, which have balanced the budget without increasing taxes and provided $2.3 billion in tax relief for job creators, are obviously responsible for the remarkable growth the state has experienced.