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  • Everything’s Bigger in Texas – Including Job Growth

    The private sector is where its at; less bureaucracy, more opportunity to advance and the ability to create and maintain jobs even in the midst of a recession. It certainly kept Texas on its feet and winning the jobs race by a landslide in the past decade. According to a new study from the U.S. Bureau of Labor Statistics, the Lonestar state added 732,000 private sector jobs in the past 10 years, while no other state added more than 100,000. In fact, only 19 states plus the District of Columbia added any jobs at all!

    What does Texas know that California and Michigan don’t? Each of those states lost 623,700 and 619,200 jobs respectively.

    According to an article in the Business Journals:

    Texas avoided the real-estate bust that decimated the economies of several large Sunbelt states, including California and Florida, during the 2008-2010 recession. It consequently was positioned for a faster takeoff once the national economy began improving, allowing it to create 251,700 new jobs in the past year alone.

    Even though Texas is thriving, the latest national jobs report put unemployment back up to 9%. While private sector jobs increased by 268,000 last month nationwide, government jobs decreased by 24,000. It’s clear which side is doing something right. Unfortunately, President Obama’s tax policy, over-regulation and the nation’s economic troubles overall are making things more difficult. If the President and Congress are looking for an example to model job creation after, Texas would be a good place to start.

    Posted in Economics [slideshow_deploy]

    11 Responses to Everything’s Bigger in Texas – Including Job Growth

    1. AX says:

      So the Biz Journal attributes Texas's success to dodging the real estate bubble, but "President Obama’s tax policy, over-regulation" are the problem? If you live in Texas, you know that one of the reasons Texas avoided the bubble is due to stringent regulations on lending practices that most states threw out. In other words, Texas is doing well in part because of "over-regulation". If the regulators in Texas had let bankers run wild like everywhere else in the country, they'd be in the same boat as California.

      Also, talking about job creation in Texas without mentioning the boom in energy prices is sort of like talking about pricey real estate in Manhattan while avoiding the topic of Wall Street.

    2. Jordan says:

      So you're arguing that private sector job gains are because of Texas' policies, but 9% unemployment is because of the Obama administration? That is far more convenient than accurate.

    3. Christine Paul, Dall says:

      …and we MUST remain a right-to-work state. With Federal taxes increasing annually, the Dems have plans to raise estate taxes, capital gains and the "millionaire" tax rates. AND Medicare is NOT the problem, Medicade and entitlements are!

    4. West Texan says:

      What my home state needs now is its own currency. As promising as Texas' job growth may be right now, it's still dependent on a compromised U.S. dollar. Akin to what Germany faces with the Euro. Texas having its own dollar, peso, or whatever it might be called is of course wishful thinking. But the additional employment is a welcomed relief, increasing state revenue through added consumers. Texas works hard to balance its operating budget every year. By far the greatest outlay is on education (thank goodness we're a right to work state), followed closely by health and human services. All other necessary expenditures pale heavily by comparison.

    5. Greg Houston, Texas says:

      One thing about Texans, we don't believe that government is the answer for everything in life. We want a chance to succeed, start a business, raise a family and have an opportunity to succeed. Big state, county and city governments don't work. Its a mindset that you generally dont see in certain other states.. Workers here dont have a sense of entitlement, they want opportunity, jobs, and fair pay.

    6. Pete, Texas says:

      What they dont tell you is that while we do have job growth the wages are poor. I was contacted by a large company looking for a Tier II support technician. This is the person that supports the Tier I technician that is the first point of contact for an employee in this company. So skill levels are higher and can usually make decisions to escalate to a manger or even a vendor in some cases, the starting pay…10.00 to 14.00 per hour, lets get real! The skill sets put this type of position at about 17.00 to 20.00 per hour! And this is not uncommon in Texas! Its just like recent growth in jobs, look under the covers and you see McDonalds hired 54,000 at very low wages that a family could not live on…so this is Obama's jobs solution…yup he promised change, just not in the direction we were hoping for!!!!

    7. William says:

      Pete in Texas mentions Mr Obama as if he had something to do with the wage scales in Texas. Pete would be better advised to begin a push for worker organizations that can develop living wage propositions. And 4 billion in school cuts is not a good beginning.

    8. william says:

      Among items that need constant attention: the idea that cancelling a tax exemption/preference "raises" taxes for that corporation or class of corporations. Cancelling an exemption shifts the tax expense back to the class or corporate interest without changing the revenue in any way. If the rate of tax is .00035 per thousand when the exemption is granted, it will be .00035 per thousand in 2012 when it is cancelled.

    9. Tim, Georgia says:

      Looking at the past ten years is an interesting lens, and I understand that any look at statistics is by its nature selecting one set of numbers to highlight over another. The growth that the article points to has, not surprisingly, evaporated over the past three years, with the unemployment rate doubling in Texas. In addition, the state has lost 180,000 private sector jobs. The only way that Texas has even been able to tamp down unemployment to 9% is because the state has added 125,000 public sector jobs.

      In Texas, complaining about government exceeds the love of football and Jesus, but the 'evil' government has kept Texas afloat through this fiscal crisis. An earlier poster pointed out that Texas abides by stricter regulations for lending than most other states and this has translated to fewer foreclosures and defaults per capita than most states. Government regulations have buoyed Texas through this crisis, but I doubt you'll hear any leader in the state point this out.

    10. Cassie says:

      texas has always been a thriving state, I used to live there 20yrs ago, in my 20's making over 50,000 thousand a year, and now living in California struggling to pay bills, I think pride has created a wall, and people don't want to utilize strategies from other successful states, California doesn't give a crap about their employees, and businesses don't appreciate their employees, to California, everyone is replaceable with an immigrant that doesn't mind working for pennies, as long as they don't get imported!!!!!!

    11. Ronald B. White says:

      Job creation, of course, is essential but is under attack. In Dallas, our city should have led job growth every year since 1975, when D/FW International Airport opened. An average on 10 headquarters relocated to Dallas in the Carter Recession, but since the Carter Recession Dallas has struggled to land 3 headquarters per year. The economic strategy in place in today's Dallas is "controlled growth because the overwhelming number of headquarters relocations were followed by scores of the subsidiaries and suppliers which caused chaos in Dallas public sector.

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