Posted on 11/26/2012 6:19:48 PM PST by Hojczyk
Don’t buy a house in a state where private sector workers are outnumbered by folks dependent on government.
Thinking about buying a house? Or a municipal bond? Be careful where you put your capital. Don’t put it in a state at high risk of a fiscal tailspin.
Eleven states make our list of danger spots for investors. They can look forward to a rising tax burden, deteriorating state finances and an exodus of employers. The list includes California, New York, Illinois and Ohio, along with some smaller states like New Mexico and Hawaii.
Let’s say you are a software entrepreneur with 100 on your payroll. If you stay in San Francisco, your crew will support 139 takers. In Texas, they would support only 82. Austin looks very attractive.
Ranked on the taker/maker ratio, our 11 death spiral states range from New Mexico, with 1.53 takers for every maker, down to Ohio, with a 1-to-1 ratio.
Conning rates North Dakota the safest state to lend money to, Connecticut the most hazardous. A state qualifies for the Forbes death spiral list if its taker/maker ratio exceeds 1.0 and it resides in the bottom half of Conning’s ranking.
(Excerpt) Read more at forbes.com ...
New Mexico
Mississippi
California
Alabama
Maine, New York, South Carolina,Kentucky, Illinois,Hawaii,Ohio
Yes
“Austin looks very attractive”
???
Has this person ever lived or drove through there??
The worst city in Texas
Not so much a death spiral. CA is more like a head long plunge into the abyss.
Austin = Velvet Ditch
Its too bad too. We need all the states producing.
Seems an arbitrary formula -- and 4 of the 10 are red states. It also seems pretty obvious that you wouldn't move a factory to California -- but Alabama would be less obvious. Haven't Mercedes and Honda built factories in Alabama?
I used to talk to an Austin girl online (an artist). She claimed she was a conservative but When I told her I lived not far from Ann Arbor she said she had always wanted to go there.
Illinois has already started lobbying for the fedgov to fund their stunningly underfunded state pension system. Given their close personal relationship with Baraq, that probably makes it likely, and then the floodgates are open.
Since the fedgov itself is only a short distance from insolvency, I’m not sure it really makes much difference.
What about Michigan?
hhmmmmmm
questionable right?
hhmmmmmm
questionable right?
Michigan is actually improving. The first thing we did after the GOP took control in 2010 was to cut some 30,000+ college students off food stamps. There have been other welfare limits imposed as well as the elimination of the personal business property tax. Lots of other regulations are being rolled back every week.
She told me that her father was a rancher and I was thinking longhorns or something but she was talking about pigmy goats. LOL
LOL If she did she'd go back to Austin with a girlfriend.
lol!!
*gasp*
lol!!
...
Sam Donaldson??
South Dakota is begging for people to move there and build new businesses. Unfortunately, SD is situated in an ice cave.
Investors will begin purchasing blocks of those vacancies in Detroit, building nice hotels, Luxury Condos. Just have to wait to see what will happen to all the welfare crowd, maybe they can be driven out.
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