A columnist for whom I have great respect, Megan McArdle, offers a preliminary assessment of the role that Governor Rick Perry has played in the "Texas Miracle" story (in "What's the Truth About Rick Perry's Texas Miracle?"):
[T]hough I think the state has a pretty good policy environment, that's the beginning of the story, not the end of it. There are a lot of reasons for Texan growth, and very few of them can be laid at the feet of the governor. For which we should really thank God. If states really could be boosted into the stratosphere, or driven into the ground, merely by changing the occupant of the governor's office, we'd have to live with the constant risk that our fellow voters would elect an idiot, and destroy our lives. Thankfully, the government isn't quite that powerful.In fewer words: Texas thrives because the state government is weak and doesn't interfere with business in a major way. And the governor is accepting of that relationship.
Which is exactly what the Tea Party (or parties, to be accurate) is calling for - a weaker government that strives to free capitalism from the chains of regulation and crushing taxation.
Or, as Investor's Business Daily puts it (in "Get Out Of The Way Of The Jobs"):
What should President Obama do to get America working again when he returns from his Martha's Vineyard vacation? The real question is: What should he stop doing?As long as government feels obligated to push "job creation" down the throat of business, real job creation won't happen. Obama would do well by taking a moment and getting his brain wrapped around the Texas Miracle. That government that governs best governs least.
Sen. John Barrasso, R-Wyo., earlier this month echoed the concerns of the U.S. Chamber of Commerce and other business groups in detailing how much in new regulation in July alone the administration imposed. The toll came to $9.5 billion in new regulatory costs with 229 proposed rules, plus the finalizing of 379 other regs, some from the Environmental Protection Agency, others from financial changes.
In June, the oil industry issued a real job-creating plan that Obama refuses to consider, and documented the cost in jobs of Obama's Gulf of Mexico drilling moratorium.
"We estimate that tens of thousands of jobs have been lost in response to the decline in capital expenditures and operational spending" from 2008 to 2010, concluded the analysis by the Texas-based Quest Offshore Resources for the American Petroleum Institute and the National Ocean Industries Association.
The White House next month will simply repackage what they've already done, like telling businesses that if you hire X number of employees, you'll pay less in taxes.
Instead of just cutting tax rates, government planner types insist on this kind of micromanaged, jump-through-the-hoops-and-we'll-reward-you approach. They just don't believe big, bad business wants to give people jobs.
An old adage. A tried - and successful - formula for us to live by. As Texas is showing us each and every day.