San Francisco businesses now forced to fight or flight.

Mish reports that San Francisco is now trying the same "homeless tax" that the Seattle Socialists tried to impose on their big companies.  The Seattle companies succeeded in pushing back on that but the San Fran assault was put to a vote and the herd has voted that large corporations will pay.  This will not be undone the way the Seattle Socialist tax was.  This is going to stick. 

These big coastal bastions of socialism are cutting their own throats.  They think that corporations there are stuck and have no choice but to pay these escalating fees and taxes.  Nothing could be further from the truth.  As a resident of Texas, I remind Cally business that life does exist outside of the left coast and that Texas will not only not penalize their success but rather will pay them to move here and to bring their successful business models with them.

The bigger these taxes get, the faster companies will flee the area.  Real estate will go into freefall. As Mish reports, the net will be even more homeless people who simply find it easier to beg than to get up each day and work to generate anything productive.  Socialism is its own reward.

Mish wrote, "If you want more of something, subsidize it... Throw enough money at the problem and people will move in from all over the county.".  I could not agree more.  Government cannot stop homelessness and begging by supporting it at the expense of others.  It just can't.  All that will happen is that its best and brightest will throw in the towel on doing business in CA and they will leave for places that applaud their success instead of penalizing it.