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Alan Reynolds: High state and local taxes influenced state moves
Alan Reynolds shared that he and his wife have relocated several times since 1971, moving from California to New Jersey, then Illinois, Virginia, Florida, and currently North Carolina.
Reynolds stated that state and local taxes, including but not limited to individual income tax rates, played a role in these decisions. He emphasized that high-tax states incur higher costs across various categories, prompting moves to states with more favorable tax environments.
Reynolds’s experience underscores how fiscal considerations can drive both individual and broader migratory patterns—an issue that resonates amid fluctuating economic indicators. His observations on state and local tax policy parallel his earlier examination of how the U.S. gasoline price tracks global crude oil moves, highlighting the interconnectedness of regional and international economic forces. Similarly, his scrutiny of localized tax impacts recalls his analysis challenging the use of a 0.5 percent January PPI spike as an inflation indicator, further illustrating the complexity of assessing economic health across different contexts.
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