Texas’s spectacular growth is largely a story of its cities—especially of Austin, Dallas–Fort Worth, Houston, and San Antonio. These Big Four metropolitan areas, arranged in a layout known as the “Texas Triangle,” contain two-thirds of the state’s population and an even higher share of its jobs. Nationally, the four metros, which combined make up less than 6 percent of the American population, posted job growth equivalent to 30 percent of the United States’ total since the financial crash in 2007. Within Texas, they’ve accounted for almost 80 percent of the state’s population growth since 2000 and over 75 percent of its job growth. Meantime, a third of Texas counties, mostly rural, have actually been losing population.
Texas is sometimes described as the new California, an apt parallel in terms of the states’ respective urban geographies. Neither state is dominated by a single large city; each has four urban areas of more than 1 million people, with two of these among the largest regions in the United States. In both states, these major regions are demographically and economically distinct.
But unlike California, whose cities have refocused on elite priorities at the expense of middle-class occupations, Texas offers a complete spectrum of economic activities in its metros. Another key difference is that Texas cities have mostly embraced pro-development policies that have kept them affordable by allowing housing supply to expand with population, while California’s housing prices blasted into the stratosphere due to severe development restrictions. Texas cities also benefit from favorable state policies, such as the absence of a state income tax and a reasonable regulatory and litigation environment. These factors make Texas cities today what California’s used to be: places to go in search of the American dream.
Though some east/west coastal cities—notably, San Francisco—have enjoyed vigorous growth of late, none has been nearly as proficient in creating jobs in the new millennium as Texas’s four leading metros. Overall, Dallas–Fort Worth and Houston have emerged as the nation’s fastest-expanding big-city economies. Between 2000 and 2015, Dallas–Fort Worth boosted its net job numbers by 22.7 percent, and Houston expanded them by an even better 31.2 percent. Smaller Austin (38.2 percent job-base increase) and once-sleepy San Antonio (31.4 percent) have done just as well. New York, by way of comparison, increased its number of jobs in those years by just 10 percent, Los Angeles by 6.5 percent, and San Francisco by 5.2 percent, while Chicago actually lost net employment. And the Texas jobs are not just low-wage employment. Middle-class positions—those paying between 80 percent and 200 percent of the national median wage—have expanded 39 percent in Austin, 26 percent in Houston, and 21 percent in Dallas since 2001. These percentages far outpace the rate of middle-class job creation in San Francisco (6 percent), New York and Los Angeles (little progress), and Chicago (down 3 percent) over the same period.
Snip.
Among 52 American metropolitan areas with more than 1 million residents, San Antonio had the largest gain in its share of middle- and upper-income households—that is, the percentage of households in the lower-income category in the city actually dropped—from 2000 to 2014. Houston ranked sixth, Austin 13th, and Dallas–Fort Worth 25th in the Pew survey.
Snip.
In 2015, unemployment among Texas’s Hispanic population reached just 4.9 percent, the lowest for Latinos in the country—California’s rate tops 7 percent—and below the national average of 5.3 percent.
Texas Latinos show an entrepreneurial streak. In a recent survey of the 150 best cities for Latino business owners, Texas accounted for 17 of the top 50 locations; Boston, New York, L.A., and San Francisco were all in the bottom third of the ranking. In a census measurement, San Antonio and Houston boasted far larger shares of Latino-owned firms than did heavily Hispanic L.A.
In Texas, Hispanics are becoming homeowners, a traditional means of entering the middle class. In New York, barely a quarter of Latino households own their own homes, while in Los Angeles, 38 percent do. In Houston, by contrast, 52 percent of Hispanic households own homes, and in San Antonio, it’s 57 percent—matching the Latino homeownership rate for Texas as a whole. That’s well above the 46 percent national rate for Hispanics—and above the rate for all California households. (The same encouraging pattern exists for Texas’s African-Americans.)
California and Texas, the nation’s most populous states, are often compared. Both have large Latino populations, for instance, but make no mistake: Texas’s, especially in large urban areas, is doing much better, and not just economically. Texas public schools could certainly be improved, but according to the 2015 National Assessment of Educational Progress—a high-quality assessment—Texas fourth- and eighth-graders scored equal to or better than California kids, including Hispanics, in math and reading. In Texas, the educational gap between Hispanics and white non-Hispanics was equal to or lower than it was in California in all cases.
Though California, with 12 percent of the American population, has more than 35 percent of the nation’s Temporary Assistance for Needy Families welfare caseload—with Latinos constituting nearly half the adult rolls in the state—Texas, with under 9 percent of the country’s population, has less than 1 percent of the national welfare caseload. Further, according to the 2014 American Community Survey, Texas Hispanics had a significantly lower rate of out-of-wedlock births and a higher marriage rate than California Hispanics.
In California, Latino politics increasingly revolves around ethnic identity and lobbying for government subsidies and benefits. In Texas, the goal is upward mobility through work. “There is more of an accommodationist spirit here,” says Rodrigo Saenz, an expert on Latino demographics and politics at the University of Texas at San Antonio, where the student body is 50 percent Hispanic. It’s obvious which model best encourages economic opportunity.
Chuck DeVore explains how SB1234, a bill that establishes the California Secure Choice Retirement Savings Trust, a state-run retirement fund for 7.5 million Californians, is actually a mechanism for forcing taxpayers to bail out public pensions:
Per section 100004 (c) of the new law: Moneys in the program fund may be invested or reinvested by the treasurer or may be invested in whole or in part under contract with the Board of Administration of the Public Employees’ Retirement System or private money managers, or both, as determined by the board. What is the California Public Employees’ Retirement System or CalPERS for short? It’s America’s largest public pension fund with some 1.8 million current and retired government employees.
But, as with many public retirement systems around the nation, CalPERS is grossly underfunded. Including the California teacher retirement system and smaller local government systems, the unfunded liability for future retirement payouts is about $991 billion, according to the Stanford Institute for Economic Policy Research’s Pension Tracker run by Joe Nation, Ph.D., a former Democratic member of the California State Assembly.
Since cash is amazingly fungible in government hands, dragooning some 7.5 million Californians into a retirement system that supports 1.8 million state government workers by levying what amounts to a 3 percent payroll tax is going to go a long way towards ensuring CalPERS’ short-term solvency while, perhaps more importantly, building public support for bailing out CalPERS’ looming trillion-dollar shortfall.
7.5 million Californians will be made to care about CalPERS fiscal health.
Governor Bush’s education reforms were a lot more successful than President Bush’s. “Educational outcomes overall have continued to improve in Texas.” A long article that points out the need for more reform.
“The Redding Police Department’s net personnel costs in fiscal 2007-08 were $21 million for 173 employees; in fiscal 2015-16 the costs were $22 million for 131 total employees. In fiscal 2015-16, the Redding Police Department is paying $47,500 per employee more than in fiscal 2007-08. The increase is to pay its unfunded pension liability.” (Hat tip: Pension Tsunami.)
“Former [Orange County] Public Works administrator and convicted felon Carlos Bustamante, who served jail time this year for his sex crimes against county workers, lost a chunk of his pension benefits Monday after he was stripped of credit for the years he worked while committing the crimes.” But he’ll still get a pension. Also: “The board’s decision also means Bustamante is owed the nearly $56,000 he paid into the system during the 2 1/2 years he was committing crimes – meaning he’ll be refunded nearly $32,000 but will collect lower pension payments moving forward.” (Hat tip: Pension Tsunami.)
Los Angeles is suffering from a housing shortage. So naturally there’s a ballot initiative to make housing construction more expensive through requiring union kickbacks.
Here’s a long piece in City Journal by Watchdog.org’s Jon Cassidy. It’s a very balanced assessment of both the strengths and weaknesses of Texas’ governmental structure.
The good news is that the benefits of the Texas model, overseen by its part-time legislature, are impossible to ignore. From 2000 to 2014, Texas created some 2.5 million nonfarm jobs, more than a quarter of the U.S. total for the period. In 2015, amid free-falling oil prices, Texas still managed to finish third among states in job growth, thanks to booming health care, education, professional services, manufacturing, hospitality, warehousing, and light industrial sectors. Construction is doing well, too. Wondrously cheap housing and pro-growth land-use policies draw people and business to the state. None of this diversification was centrally planned. It’s the product of an economy that’s wide open to foreign trade and immigration. Immigration has boosted native Texans’ income by an aggregate $3.4 billion to $6.6 billion a year. Income inequality is up, too—but that’s just another way of saying that high-paying jobs are growing fastest.
To a large degree, the Texas model has worked because the Austin governing establishment is penned in, limited in the damage that it can inflict by a state constitution that not only keeps lawmakers from enacting new laws for one out of every two years but also severely restricts taxation and imposes budget caps. Texas has no state income tax, and instituting one would require voter approval. The legislature makes do with a sales tax, a handful of excise taxes, and an onerous gross-receipts tax that penalizes high-volume businesses. The Texas state government simply never has the money for bold new expansions of government. So it stays small, just as the original Texans wanted it. It’s not perfect and never will be, but the state is flourishing.
The rest of the story is the astonishingly widespread political opposition to the train by California voters these days, even though 53 percent of them approved the idea when it was on the state ballot in the November 2008 election. The opposition spans ideological left and right and demographic rich, poor, and middle-class: from wealthy Silicon Valley technocrats horrified that the ultra-fast rail lines, with overpasses only every 10 miles or so, would wreck their leafy, bicycle-friendly upscale-suburban neighborhoods, to Latino-majority working-class towns in Southern California’s San Fernando Valley that would be split in half by the train corridors, to equestrians in the San Gabriel Mountain foothills who would see their horse trails destroyed and environmentalists concerned about wetlands destruction in Northern California and threats to wildlife and endangered plant species in Southern California’s Angeles National Forest, through which several of the proposed train routes would plow.
Hat tip for the above to Amy Alkon, who also notes:
The analyzed per mile rate would make a one-way SF to LA ticket cost about $190.5 Therefore, if the CHSRA’s assumed private operator must charge enough to break even, four tickets for a LA/SF round trip would cost at least $1,520. Conclusions: California’s 2009 median household income was $42,548.6. For a middle class household to ride the train LA-SF once would cost them about 4% of their annual pre-tax income.
CalPERS tries to stick 700 person town of Loyalton with a $1.6 million bill as punishment for dropping out of the system…for four retirees. (Hat tip: Pension Tsunami.)
Want to sell signed books in California? A newly passed law requires you to issue a certificate of authenticity for any item over $5, including your name and address, even if it came from the publisher pre-signed. No COA? “You can be liable for TEN TIMES damages, plus attorneys fees. Call it a cool half mill, because you didn’t know you were supposed to issue a COA.” Word is they’re planning to change this idiocy, but that doesn’t excuse passing it in the first place.
Another California idiot law: A man can’t display historical Civil War paintings at the state fair because they have confederate flags in them. More here.
Voters in Apple Valley, California push for initiative to force voter approval on debt spending. Naturally the City Council puts their own initiative on the ballot to continue “eminent domain acquisition efforts unencumbered by another election.” Plus they illegally spent taxpayer money advertising in favor of their own initiative. (Hat tip: Pension Tsunami.)
Harrison County in east Texas has been enjoying industrial gains.
California passes a hide an actor’s age upon request law. I sincerely doubt this will pass constitutional muster on first amendment and equal protection clause grounds. Plus, IMDB’s servers are in Washington state…
“The San Diego-based Garden Fresh Restaurant Corp., which owns the Souplantation chain, has filed for chapter 11 bankruptcy protection…Court papers show that Garden Fresh pins its troubles on declining sales, higher minimum wages, and higher employee benefit costs.”
Neither Google nor Disney plan to bid on Twitter, despite reports saying both were interested. Recode says that Apple is likely also out of the picture. And Verizon immediately dismissed speculation that it was considering a bid. Facebook is also said to be uninterested, according to CNBC. And while Microsoft’s name has been tossed around, no one seems to think the acquisition would make any sense for an increasingly enterprise-focused company.
It seems that Twitter’s stock price has nosedived precipitously since appointing radical Social Justice Warrior Anita Sarkeesian to their newly formed “Trust and Safety Council.” Since then, Twitter has:
And after having damaged their brand and destroyed billions worth of shareholder value, lo and behold, no one wants to buy them! Gee, turns out that alienating half your user base at the behest of a tiny cadre of radical feminists is a lousy business strategy…
“Liberalism has lost the loyalty of the downtrodden that once, with admittedly mixed motives, it set out to help. That’s a loss it’s unlikely to survive.”
Wikileaks also brought back to light a bit of information that was mostly swept under the rug at the time: Eric McFadden, Hillary’s 2008 Catholic community liaison, was arrested in 2009 for running an underage prostitution ring. Just another member of the Clinton Campaign Moral Freakshow…
The list of MSM reporters who take their marching orders from Hillary. On the list: ABC’s George Stephanopoulos (Duh) and Diane Sawyer, New York Times‘s Gail Collins, etc. The only surprise is no one from the Washington Post on that list. Maybe they just assumed they already had marching orders to support Hillary. (Hat tip: Gateway Pundit.)
Most evident from their downloads is the unremitting, almost incestual, alliance between elites (read: Democratic Party leadership) and the press, those who are informing us of what we are supposed to think. The myriad emails between New York Times reporter and CNBC anchor John Harwood and Clinton campaign manager John Podesta would approach the risible were they not so disturbing by implication. Presidential debate moderator Harwood, putatively a journalist, actually acts as an advisor to Podesta in them, warning the campaign manager of the dangers of a potential Ben Carson candidacy and even bragging to him about having tripped up Donald Trump at a debate.
But the presidential debate moderator is far from alone in his fealty to the ways and means of the nomenklatura. The New York Times and the Boston Globe—the emails show, as if we hadn’t guessed already—colluded with the Clinton campaign.
But the level of collusion goes much deeper than press and politicians. The Department of Justice itself—the emails also reveal—was in private communication with the Clinton people during the investigation of the Hillary Clinton homebrew server, warning her campaign in advance of a State Department release of emails. Everybody was colluding!
Excerpts from Hillary’s Goldman Sachs speech. In which Hillary declares she has nothing in common with those peons in the middle class, admits that jihadists are coming over among Syrian refugees, and proclaims her love of open borders.
More on the subject: “My dream is a hemispheric common market, with open trade and open borders, some time in the future with energy that is as green and sustainable as we can get it, powering growth and opportunity for every person in the hemisphere.” Sounds like the EU written large.
Hard to believe it’s been a mere five days since Trump held a press conference with women Bill Clinton sexually assaulted. So much news has come down the pike since…
The long list of women who have accused Bill Clinton of sexual misconduct. Paula Jones, Juanita Broaddrick, Kathleen Willey, Eileen Wellstone, Carolyn Moffet, Elizabeth Ward Gracen, Becky Brown, Helen Dowdy, Cristy Zercher… (Hat tip: Director Blue.)
Scott Adams: “If the new battleground is spousal fidelity, you have to like Trump’s chances.”
New Trump ad hits Hillary on Pay-to-Play corruption:
Nigel Farage on Brexit and Trump: “I believe we are witnessing a popular uprising against failed politics on a global scale. People want to vote for candidates with personality, faults and all. It is the same in the UK, America and much of the rest of Europe. The little people have had enough. They want change.” (Hat tip: Borepatch.)
That NBC poll showing Hillary up 11 points is pure hogwash with biased samples from a company that’s on the Hillary campaign’s payroll. (Hat tip: Director Blue.)
So much work to be done on big posts that it’s hard to do a small one today, so instead enjoy some selections from the #ClintonAFilm hashtag off Twitter instead:
The discovery of a headless body floating near the spring break haven of South Padre Island touched off an investigation that prosecutors say revealed a U.S. Border Patrol agent had helped a Mexican cartel move illegal weapons and ammunition south of the border and illicit drugs to the north.
The prosecutors allege that agent Joel Luna got pulled into the business to help his brothers, including one linked to a cartel, and that their operation unraveled when investigators found a “treasure trove” of evidence in a safe at Luna’s mother-in-law’s home. The material included passwords to Luna’s work computer, almost $90,000 in cash and a kilo of cocaine. The trail of evidence led to Luna facing a raft of charges, including capital murder in the death of a man seen as a possible snitch.
Snip.
The case against Luna and his brothers, Eduardo and Fernando, began in March 2015 when boaters found the headless, nude and bloated body of 33-year-old Jose Francisco Rodriguez Palacios Paz. The Honduran immigrant had worked at Fernando Luna’s tire shop in Edinburg, about 20 miles north of the border.
Investigators said phone records and texts revealed that Palacios Paz’s wife expressed concern to Fernando Luna that he was going to reveal the drug operation. Prosecutors allege that the Luna brothers conspired to kill Palacios Paz and that he was killed at the tire shop.
A Rio Grande Valley police officer accused of aiding a drug trafficking organization out of Starr County appeared for his initial hearing on Monday.
Rio Grande City police officer Ramon “Ramey” De La Cruz Jr. is currently under federal custody. He’s charged with conspiring to possess and distribute marijuana.
Investigators said he accepted cash and marijuana while providing smugglers with police radios and security.
A Homeland Security Investigation’s federal complaint shows an extensive list of De La Cruz’s alleged crimes. It details a highway drug bust in Victoria County three years ago that led investigators to members of an alleged drug smuggling family in Starr County.
The federal complaint shows sources from a string of indictments gave information about how De La Cruz aided the Beltran family.
The report details how an informant said De La Cruz would give the Beltrans law enforcement documents, intel and would get paid in return with marijuana. Another informant said the police officer provided one of the smugglers with a police radio.
La Joya Housing Authority head Juan Jose Garza was indicted on a a bid rigging scheme:
The 48-year-old executive director of the housing authority in a small Rio Grande Valley town and a construction company owner have been indicted on federal charges related to what prosecutors say was a bid rigging scheme.
Juan Jose Garza, who runs the La Joya Housing Authority, and 52-year-old Armando Jimenez made initial appearances Monday before a federal magistrate in McAllen. They both were arrested Friday.
Prosecutors say the men from July 2012 through March 2013 engaged in bid rigging for construction contracts with housing authorities in nearby Alamo and Donna in Hidalgo County.
According to the indictment, they submitted false bids so Jimenez’s company would be awarded construction projects, then Jimenez falsely submitted invoices for work he claimed as his firm’s but actually was done by subcontractors working for Garza.
Prosecutors have obtained five indictments against Starr County Tax Assessor Collector Maria Del Carmen Pena, charging her with 18 offenses, according to records obtained by CBS 4 News.
Investigators arrested Pena and 14 other people Wednesday, when they raided the Tax Assessor Collector’s Office.
According to the indictments, Pena embezzled at least $200,000 from the Tax Office from November 2010 to October 2012. Pena also conspired with clerks to backdate payments from taxpayers and make the transactions appear legitimate.
Investigators have said they believe approximately $700,000 in taxpayer funds were stolen.
Two Hidalgo County employees arrested for stealing from the county. “La Villa Alderman Jose Lupe Contreras, 32, and 26-year-old Derick Palomin were arrested and charged with theft by a public servant, a Class B misdemeanor, and abuse of official capacity, a Class B misdemeanor, according to the news release.” What did they take? “The pair of cousins is accused of using county equipment to steal caliche from Precinct 1.” It takes a certain kind of genius to be arrested for stealing dirt…
Increased border enforcement brought by the Texas Department of Public Safety “surge” has meant that smuggling-related crime is down in Starr and Hidalgo counties, but up in Webb and Cameron counties. “The next step is going to be Cameron County, and we’ll keep moving to Zapata and Webb and keep moving west…It’s working exactly as we expected. We don’t just throw this strategy out based upon anything. This strategy was built on evidence and past experiences.”
No, I didn’t watch it. So here are some reactions from people who did:
Vodka Pundit Stephen Green: “I’ve never seen one candidate come on so week, then reverse course — in his own limited, almost demented fashion — so strongly. I’ve never seen another candidate, so thoroughly programed, act as though her various subroutines had been corrupted by one of those nasty Russian viruses.”
Scott Adams: “Trump won bigly. This one wasn’t close.” Also:
The best quotable moments from the debate are pro-Trump. His comment about putting Clinton in jail has that marvelous visual persuasion quality about it, and it was the laugh of the night, which means it will be repeated endlessly. He also looked like he meant it.
Clinton’s Abe Lincoln defense for two-faced politicking failed as hard as anything can fail. Mrs. Clinton, I knew Abe Lincoln, and you’re no Abe Lincoln. You know that was in your head. Or it will be.
Powerline’s John Hinderaker: “Some of the rats might want to consider returning to the ship. Donald Trump came through pretty well tonight, mainly because the focus was on the issues. As long as issues are being discussed, Trump wins….In short, Trump won. In my opinion, he won big. We will see whether it matters.”
I was awoken this morning by police banging on my door.
I looked out the window to see who it was and determined it probably had something to do with the car that was now parked mostly on my lawn, with the front still hanging off the edge into the street.
Evidently someone had tried to steal my across-the-street neighbor’s car, had put it in neutral, where it had promptly rolled down the driveway, across the street, then up over the curb into my lawn. The perp was then unable to figure out how to get it started and in gear, so he just left it there.
Two lessons:
If you have a garage (my neighbors had converted theirs into an extra room long ago), keep your cars in it, at least the newest and most valuable ones.
If you don’t have a garage, keep your doors locked. You might also consider getting The Club steering wheel lock, which can be had for less than $20.
And keep in mind that I live in a pretty low-crime area of Williamson County.
It’s been one of those weeks. Enjoy a Friday LinkSwarm:
This just in: The eight years of the Obama Administration have been a miserable failure.
Some ObamaCare patients are losing their plans, others are facing huge rate hikes. In Tennessee, they’re getting both. (Hat tip: Jim Geraghty’s Morning Jolt.)
ObamaCare’s unraveling shows the danger of a one-size-fits-all federal program. What’s happening in Tennessee is only a nationwide harbinger. Every single neighboring state will have less competition on its ObamaCare exchanges next year. The entire state of Alabama will have only one insurer. Almost all are facing double-digit premium increases: in Mississippi a weighted average of 16%; in Kentucky 25%; in Georgia 33%.
These problems aren’t confined to the Southeast. ObamaCare exchange buyers will have only one option in nearly a third of American counties, according to an August report from the Henry J. Kaiser Family Foundation. That’s a 300% increase in single-option counties from last year. Twenty-five states and the District of Columbia have approved rates leading to average premium increases next year of over 26%.
Race relations have gotten worse under Obama. That’s what happens when you have George Soros spending millions to poison race relations, and let Social Justice Warriors go rampaging through your institutions…
Both Republican Senator Kelly Ayotte and Donald Trump are gaining in New Hampshire. Remember that until very recently New Hampshire was considered a solidly Republican state.
NFL ratings are down across the, and one-third of people surveyed says its because of the Black Lives Matter pandering. (Hat tip: Jim Geraghty’s Morning Jolt.)