Ever since Donald Trump won the 2016 presidential election, California has been threatening a “Calexit.” It would appear that there has actually been a proposal submitted to the Secretary of State’s Office for California to Secede from the United States.
The proposed “Calexit” initiative – its name borrowed from the UK’s “Brexit” departure from the EU – would ask voters to repeal part of the state constitution that declares California an inseparable part of the U.S. If the proposal qualifies for the ballot and is approved by voters, it could be a step to a future vote on whether the state would break away from the rest of the nation.
Secretary of State Alex Padilla said the group behind the proposal, Yes California Independence Campaign, was cleared to begin attempting to collect nearly 600,000 voter signatures needed to place the plan on the ballot.
There have been attempts in the past to have California break into smaller individual states, but those attempts have failed. However, a recent poll shows that one-third of Californians support the Calexit plan.
While I am sure the people who have proposed this has done it with the best intentions, it would appear that they have not put a lot of thought into it, especially when it come to economics.
Californian’s boast that they are the “sixth largest economy in the world.” While some experts claim this is only somewhat true, for the sake of this article, let’s assume that it is true.
Californian’s need to remember that they’re only the “sixth largest economy” because of exports. Exports that are not exclusive to that state and can be purchased elsewhere. One has to remember, once Califonia becomes their own country, export tariffs and taxed will be tacked on to everything leaving that state/country. There will also be the waiting period in customs for everything coming into the U.S. How many things do you think Americans will buy from California when it becomes delayed in customs and so much more expensive due to import taxes?
One also has to wonder where Califonia will get its water supply from? Right now, the state is dependent on other states for its water. This will result in California paying more for the water, in a state that is already one of the most expensive states to live in, or relying on the very expensive desalination process. Again, resulting in a much higher water bill.
Someone may say, “well what about their tourism? That will certainly help their income.” Sure, to a point. Millions of Americans flock to the California beaches every year for vacations, this is true enough. However, now that they would have to have an expensive passport and go through international travel hassles, do you think they will choose Califonia or Florida? While some will still choose Califonia, Calexit will certainly put a dent in their tourism industry.
More expenses that California and its taxpayers would have to incur is their own military and border protection. These are things that are currently afforded to them by the American taxpayers and the United States federal government. While I do not have a number as to what this would cost, you can be certain that it’s not cheap.
California is also the residence of 30% of the nation’s welfare recipients. While some of that money going out is on a state level, much of it is on a national level and supplied by, you guessed it, the American taxpayer. According to the Tax Foundation, a non-partisan, non-profit research group in Washington D.C. The state has the highest state-level sales tax and income tax rates in the nation. How much higher do you think it is going to have to get in order to pay welfare and its own military alone?
Silicon Valley and Hollywood isn’t going to stick around California very long either. Once they are on their own, they don’t get any government subsidies, which are in the millions, and are saddled with import taxes, it doesn’t matter how liberal Hollywood is, their money is more important to them than their political ideals.
Lastly, California already has the highest poverty rate in the U.S. According to the Census Bureau, nearly one-fourth (23.8 percent, up from a 20-year low of 12 percent in 2006,) of California’s 38-million people live below the poverty line.
I can certainly see California becoming the next third world country in near record time if this Calext proposal goes through.
Here is a list of federally funded programs that California would lose if the successfully seceded from the U.S.
-California CalWORKs (TANF)
-California Head Start
-California Low Income Home Energy Assistance Program
-California National School Breakfast and Lunch Program
-California Special Milk Program
-California Special Supplemental Nutrition Program for Women, Infants, and Children (WIC)
-California Summer Food Service
-California Unemployment Insurance
-California Weatherization Assistance Program
-Alcohol, Drug Abuse, and Mental Health Services Block Grant
-Other Child and Adult Care Food Program
-Community Development Block Grant
-Conservation Reserve Program
-Federal Pell Grant
-Local Law Enforcement Block Grant
-Private landowner assistance program (PLAP)
-Section 8 Housing Choice Voucher
-Temporary Assistance for Needy Families
-Funding for Schools Kindergarten through College
Not to mention earthquake disaster relief.