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No, Growing Red State Economies Don't Depend On A "Gravy Train" From Blue States: Unfortunately for these critics, the data doesn't really back them up...
Mises Institute ^ | 02/26/2023 | Ryan McMaken

Posted on 02/26/2023 3:57:05 PM PST by SeekAndFind

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1 posted on 02/26/2023 3:57:05 PM PST by SeekAndFind
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To: SeekAndFind

bkmk


2 posted on 02/26/2023 3:58:13 PM PST by Mark (DONATE ONCE every 3 months-is that a big deal?)
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To: SeekAndFind

Once the dollars spent on national defense for EVERYBODY are weeded out, the picture changes again, dramatically.


3 posted on 02/26/2023 4:01:34 PM PST by Vigilanteman (The politicized state destroys aspects of civil society, human kindness and private charity.)
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To: SeekAndFind

Ah, reddit will never believe this. They’re all convinced that all blue states are carrying all red states.


4 posted on 02/26/2023 4:11:36 PM PST by A_perfect_lady (The greatest wealth is to live content with little. -Plato)
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To: SeekAndFind
An argument either way doesn’t matter. If there was a separation then I would hope that government spending would completely different in red states, as in much lower. I haven’t listened to MTG explain how a separation would be done, but I don’t see how it would be possible to keep the borders of red states in tact and achieve any desirable result. Would GA have a big hole around Atlanta? Pennsylvania would be a red state if you dumped SE PA, but your still stuck with Allegheny and Dauphin counties. The problem is getting rid of blue cities.

A much quicker solution is to stop supplying cities with food and other necessities. By the way, if there was a CWII it wouldn’t be between red and blue states, north and south, or east and west. Most of the nation is red. The small blue parts don’t make a damn thing worth any value, at least to me. Just cut them off.

5 posted on 02/26/2023 4:16:04 PM PST by ConservativeInPA (Stupidly is a moral problem, not an intellectual problem. )
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To: Mark

Additional point not mentioned - most national corporations are headquartered in blue states, so their federal taxes are recorded as coming from there, in spite of the fact that their profits come from national operations.

Ditto for the “owner class” of these corporations, as the wealthy also disproportionately reside in blue states. Their incomes also derive from the national scope of their assets, such as their holdings in equity and debt, directly or via mutual funds, hedge funds, etc. But their income taxes are registered in their residential addresses.

A national split would require split tax filings for all these corporations, requiring reporting of income derived in each new country. And ditto for holders of these assets, directly or indirectly.


6 posted on 02/26/2023 4:18:22 PM PST by buwaya (Strategic imperatives )
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To: SeekAndFind

bkmk


7 posted on 02/26/2023 4:27:45 PM PST by sauropod (“If they don’t believe our lies, well, that’s just conspiracy theorist stuff, there.”)
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To: SeekAndFind

The Tax Foundation used to compile these reports. Many high-income earners live in blue states, yet blue staters keep voting to send more money to Washington, so then Washington can redistribute it around the country. I never understood these voters.

So... how would a national divorce work?


8 posted on 02/26/2023 4:33:53 PM PST by Tired of Taxes
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To: SeekAndFind

I did not see it specifically in the article, but does the federal spending in each state include military bases, shipyards, etc. or is it just federal funding to states and entitlements?


9 posted on 02/26/2023 4:35:08 PM PST by seowulf (Civilization begins with order, grows with liberty, and dies with chaos...Will Durant)
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To: SeekAndFind
One of the obvious things that happens is people in blue states put up with the B.S. to earn high dollars at corporations or government jobs.

Then they retire to Red States and take their Social Security dollars with them. They pay less taxes too.

10 posted on 02/26/2023 4:50:33 PM PST by marktwain
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To: SeekAndFind

Let me count the savings.

By breaking with socialist politics, red states will save with a massive reduction in DEI, BLM, Public college and k-12 reorganization to stop the BS.

Cutting red tape.

Pumping oil and increased used of NG, clean coal and nuclear power will destroy the Blue states as they strangletheir middleclass with GREEN....

Just the tip of the waste.


11 posted on 02/26/2023 5:56:28 PM PST by Jumper ( )
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To: seowulf

I think it does. There are a lot of military bases in southern states.


12 posted on 02/26/2023 6:03:41 PM PST by smokingfrog ( sleep with one eye open (<o> --- )
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To: SeekAndFind

Two words fossil fuels and foods.


13 posted on 02/26/2023 7:29:23 PM PST by redangus
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To: SeekAndFind

Blue states, and more accurately blue CITIES in all states, are net users of energy, food, water, waste disposal, and virtually all other resources.

Contrary to what Citifried economists like Ed Glaeser say, cities are net importers of virtually everything they rely upon for survival. In exchange, they export sewage, nuclear waste, air and water pollution, etc. to the countryside. This Keynesian calculus treats all economic activity as equally valuable, whether it is saving lives or rebuilding a hopelessly floodprone New Orleans after Katrina (courtesy of Bush the Idiot).

The “monetary” flows merely disguise the true story by considering goods and bads as fungible substitutes.

How long would any city survive if it had to grow all of its own food, provide all of its own water and electricity and absorb all of its own waste?

The “country” could last indefinitely without the contributions of the “city,” but not vice-versa. Our much-vaunted urbanization is a one-way arrow to a very unpleasant destination.


14 posted on 02/26/2023 7:31:47 PM PST by mywholebodyisaweapon ("Carthago Delenda Est")
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To: mywholebodyisaweapon
Blue states, and more accurately blue CITIES in all states, are net users of energy, food, water, waste disposal, and virtually all other resources.

It's true that the divide isn't by state - it's urban vs. rural.

But in terms of economic production urban wins.

"The Brookings Institution’s Mark Muro finds that “Biden’s winning base in 477 counties encompasses fully 70% of America’s economic activity.” In contrast, “Trump’s losing base of 2,497 counties represents just 29% of the economy.” (The gap in numbers of counties just underscores how many American counties have very small populations.)"

15 posted on 02/26/2023 7:48:05 PM PST by semimojo
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To: SeekAndFind
Figures lie and liars figure.

I'm from Mississippi originally, the top of the often cited red state list that receives more federal dollars than it sends in. Correlation doesn't equal causation however. Mississippi may be red but 40% of the population is african american and vote almost exclusively democrat. They're also mostly on some form of welfare. That's where all that federal money is going when it pours into Mississippi. So yes, Mississippi is a red state because the other 60% votes mostly republican, but the vast majority of the federal money goes to people who vote democrat. It's not correct to say a red state gets the money because ultimately the money goes to people, not the state, and the people who are sucking up the money don't vote republican.

16 posted on 02/27/2023 1:00:36 AM PST by GaryCrow
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To: SeekAndFind

“Rep. Greene’s Twitter critics are clearly very enthusiastic about portraying Americans in red states as impoverished unsophisticated welfare queens unable to get by without wealth transfers from the blue states.”

Then these critics should be fully on board with Rep Green’s proposal. Right?

EC


17 posted on 02/27/2023 5:08:28 AM PST by Ex-Con777
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To: SeekAndFind
Were red-state Americans given the option to secede in exchange for per capita GDP levels similar to those of Germany, I suspect that many would take that bargain.

That is the wrong way to look at it. A red state nation devoid of all connections to the USA would flourish ecomically. The red countrty economy would mushroom, lifting all boats. The key to prosperity is freedom and a little protectionism.

18 posted on 02/27/2023 5:15:19 AM PST by central_va (I won't be reconstructed and I do not give a damn...)
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To: ConservativeInPA
Applying a static analysis on the economics after a national divorce is stupid and useless. It woul radically change everthing. The intangibles are numerous.

Funny how all the establismet Democrats and Republicans hate the thought of secession. It is the one thing they all agrree on.

19 posted on 02/27/2023 5:18:59 AM PST by central_va (I won't be reconstructed and I do not give a damn...)
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To: SeekAndFind

Of course the data doesn’t back it up.. and a lot of those blue states get bonus income due to things related to red states.

IE NY financial gets boon from economic activities of all states.

West Coast gets boon from all the imports for ALL states through their ports.

The idea that blue states are wholesale subsidizing red states is nonsense.


20 posted on 02/27/2023 5:23:49 AM PST by HamiltonJay
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