Tiny State, Huge Pain
21st December 2008
Rhode Island is in dire straits.
“Rhode Island and some of the other Northeastern states were really the cradle of the Industrial Revolution,” said Edward M. Mazze, a professor of business administration at the University of Rhode Island. “This is where manufacturing began. . . . That worked well up until the 1960s.”
For a long time, those factories provided good jobs for the state’s blue-collar population. But today, many of those factories are no longer here, having either relocated south or gone overseas.
Gee, I wonder why they would do that?
A big issue here is the state’s tax rates. Many Rhode Islanders said the high tax burden has discouraged businesses from locating here and pushed others to leave. The most recent state-by-state comparison of business tax climate by the Tax Foundation put Rhode Island at 46 out of 50th, with only four states — Ohio, California, New York and New Jersey — having a less favorable business tax environment.
Take whatever action you think is appropriate. Or starve. Your choice.