[Townhall] When President Biden tries to brag about the economy, he’s attempting to steal credit for the economic success of red states. Republican-controlled states are continuing to achieve exciting policy wins, including more than two-dozen state income tax cuts since 2020.
Bloomberg reported the Southeast now accounts for over two-thirds of U.S. job growth since 2020. Wages grew at a higher rate in red states than blue states from 2022-23. Companies earned more in these states.
"For the first time in our nation’s history, just six states in the Southeast, including Tennessee, are contributing more to America’s GDP than the entire Northeast — that includes New York, New Jersey, Massachusetts and Pennsylvania," Tennessee Gov. Bill Lee said during his State of the State Address.
Texas, Florida, Tennessee, Georgia, South Carolina, and North Carolina have led the way. Three of those states have no income tax, Georgia and South Carolina recently cut their income taxes, and North Carolina has led the long-term move to flatten and reduce income taxes, now ratcheting down to a 2.49% rate.
This is part of the larger success of low tax states: No-income-tax states grew at double the rate of the national average and their state GDP grew by 56% more (Tax Foundation). Eight of the top 10 in-migration states have no income tax, a flat tax, or are moving toward a flat tax.
Americans are moving, growing families, and working in states that are cutting taxes or already have no income tax. Meanwhile blue states, controlled by Democrats, are hemorrhaging people and businesses. California, New York, and Illinois led the way in population loss since 2020.