U.S. Economy Shrinks in 4th Qtr

[Ben Kenobi]

So when Texas has its own currency, its own military, its own monetary policy, and is no longer a recipient of federal money, please feel free to let me know. California is big enough economically and geographically to be its own country too. So is New York, at least economically. States don't have the functions of national governments, nor do they have trade or monetary policies, so comparing state economies to national economies doesn't really provide much other than idle entertainment.

Texas has had all of those things.

Texas' per capita income is below national average.

US per capita income 2011 - 41,560
Texas per capita income 2011 - 40,147
California per capita income 2011 - 43,647

Texas lags by just 1.4k a year.

US per capita income 2006 - 37,725
Texas per capita income 2006 - 35,287.
California per capita income 2011 - 41,518

In just 5 years, Texas has cut the gap from 2,500 dollars to 1,400 dollars vs the US average, and from 6,300k vs California to 3,500k.

So, say 2016, Texas will be about 300 dollars below the US average (about 45k) for both, and Cali will be at 45.6k. It's possible given all three trajectories that the following will happen by 2015.

One, Texas will surpass the national average, two, California will drop below the national average and three, Texas will surpass California.

[Ben Kenobi]

Looking at the top 10 states in 2006, and 2011.

Connecticut, Massachusetts, Maryland, New Jersey, New York, Wyoming, Virginia, and New Hampshire have all stayed in the top 10.

Colorado, has fallen from 9 to 13. Alaska has gone from 14, to 10. California has gone from 7 to 17.

North Dakota has gone from 38th to 7th.

Going back to 2004, Texas was 33rd in the nation.

So yeah, Texas policies are working.

California is the poorest it's been since at least 1990, and Texas is as relative wealthy as it's ever been (at 25th) also since 1990. Texas will also become the second southern state to jump into the top half (after Virginia).

[MichaeltheGreat]

Texas has had all of those things.

170 years ago.

US per capita income 2011 - 41,560
Texas per capita income 2011 - 40,147
California per capita income 2011 - 43,647

Texas lags by just 1.4k a year.

US per capita income 2006 - 37,725
Texas per capita income 2006 - 35,287.
California per capita income 2011 - 41,518

In just 5 years, Texas has cut the gap from 2,500 dollars to 1,400 dollars vs the US average, and from 6,300k vs California to 3,500k.

I hate to burst your bubble, but CA had this little real estate bubble, due in part to all the damned Texans coming here (you won't believe how many "Texas Ex" bumper stickers I see here) as well as people from other lesser states. The shakeout of that bubble caused California to tank harder than most other states, but the bubble has pretty much finished popping here. The major urban housing market is back to life in the sub $1 million price range. Greater than $1 million home sales (and especially construction, as there's a glut) are lagging. Some grossly overbuilt areas (who the **** would ever have thought of Stockton as a bedroom community for the east bay area ) won't recover, but you have that same phenomena in places like Phoenix as well. So 2006 -> 2011 isn't really a good predictor.

[MichaeltheGreat]

So yeah, Texas policies are working.

Texas will also become the second southern state to jump into the top half (after Virginia).

Set your sights high there.

[Kidlicious]

Texas has oil and low rent.

[MichaeltheGreat]

Don't forget their favorite free food. Armadillo road kill.

[ColdWizard]

Armadillo is for rich people. Normal Texans eat possum like the rest of the south.

[MichaeltheGreat]

Thank you, sir, I stand corrected. Oh, and don't fergit squirrel.

[Ben Kenobi]

I hate to burst your bubble, but CA had this little real estate bubble, due in part to all the damned Texans coming here (you won't believe how many "Texas Ex" bumper stickers I see here)

I should know. I've had a ex-Californian as a landlord. He was a dick and a Raiders' fan but I guess that's redundant.

The shakeout of that bubble caused California to tank harder than most other states, but the bubble has pretty much finished popping here.

And the result is a California that is relatively poorer than it has been - probably back after the second world war.

So 2006 -> 2011 isn't really a good predictor.

Yet, over that same Period, Texas has risen. Ergo, actual facts show that whatever Texas is doing, it's a damn sight better than Cali. What are you going to say when Cali falls out of the top half? Cali had the largest drop of any state.

[Ben Kenobi]

170 years ago.

Hawaii's the only one more recent.

[Kidlicious]

And the result is a California that is relatively poorer than it has been - probably back after the second world war.

Duh. California had a real estate bubble in part because it's so awesome. Texas really isn't that awesome. People will only move there for cheap rent and oil industry jobs. You will never have a real estate bubble of that magnitude.

[MichaeltheGreat]

There was a skinny scrawny mountain lion, near starving, in Texas. He went up to a big, strong, strapping mountain lion and asked him for advice.
"How do you do it? No matter how much I eat, I'm wasting away and getting weaker by the day."

The big strong mountain lion said: "It must be your diet. Every day, first thing in the morning, I go eat a Texan."
Scrawny mountain lion said: "I do the exact same thing. I have a Texan for breakfast every mornning, but you're all big and strong and I'm just skin and bones."
Big strong mountain lion said: "Well then, if we eat the same thing, it must be in how you're preparing it. Tell you what, I'll go out with you in the morning and see if I can figure what you're doing wrong."
So they go out early the next morning and perch on a ledge. Pretty soon, a big ol' Texan comes riding up the trail on his horse, and the big mountain lion says to the scrawny one: Ok, here's your chance. I'll just sit here and watch, and let's see how what you do."
As the Texan rides up underneath the ledge, the scrawny mountain lion lets out as big a roar as he can, and the terrified Texan looks up just in time to see the scrawny mountain lion pounce on him and knock him off the horse to the ground. As the horse runs off, the scrawny mountain lion devours the Texan.
The big mountain lion says: "No no no, you're doing it all wrong - that's your problem. First, you roar and scare the **** out of him, then you pounce and knock the wind out of him, and then there's nothin' left."

[MichaeltheGreat]

And the result is a California that is relatively poorer than it has been - probably back after the second world war.

Yeah, we're all livin in shotgun shacks.

California trailer park:

Yet, over that same Period, Texas has risen. Ergo, actual facts show that whatever Texas is doing, it's a damn sight better than Cali. What are you going to say when Cali falls out of the top half? Cali had the largest drop of any state.

Ergo, you demonstrate your inability to grasp logic and your lack of intellectual rigor. You can't meaningfully compare changes in two dissimilar systems over time without comparing their base states.

We do agree about Raiders fans, however.

[MichaeltheGreat]

Hawaii's the only one more recent.

Which is irrelevant to the fact that Texas' "national" economy days were back in the early industrial revolution, and thus totally irrelevant to a moden economy.

[Ben Kenobi]

Duh. California had a real estate bubble in part because it's so awesome. Texas really isn't that awesome. People will only move there for cheap rent and oil industry jobs. You will never have a real estate bubble of that magnitude.

So what's awesome about overpriced living conditions?