Taxing the rich is supposed to be bad for business.
The theory is that a wealthy James William Bottomtooth III will tire of having to pay his fair share and thus pull up stakes for some so-called business-friendly place like Texas.
But that hasn't happened in California. Trickle-down economics is a farce. And, frankly, rich people are willing to pay the asking price to live in this great state.
The latest evidence of that comes from the state Department of Finance, which announced that the Golden State has the sixth largest economy in the world.
“California became the sixth largest economy in the world in 2015, with $2.46 trillion in gross state product,” the department said in a finance bulletin. “In real terms, state growth was 4.1 percent for the year.”
We surpassed France, which is now No. 7 — that is if you even count California as a nation.
The top five countries for gross domestic product are the United States, China, Japan, Germany and the United Kingdom, respectively.
The Washington Post notes that our economic success, including 2.8 percent job growth in spring, comes after you, the voter, raised taxes on the rich.
“In 2012, voters in California approved a measure to raise taxes on millionaires, bringing their top state income tax rate to 13.3 percent, the highest in the nation,” the publication says. “Conservative economists predicted calamity, or at least a big slowdown in growth.”