New York's high-tax, high-spending model drives away wealthy residents and undermines economic sustainability
Source: "STEVE FORBES: Hochul begs for the rich to return after years of punishing success | Fox News." March 25, 2026. www.foxnews.com
The Gist
Steve Forbes argues that New York Governor Hochul is hypocritical for begging wealthy people to come back while continuing the high-tax, high-spending policies that drove them away in the first place. He says New York should copy Florida's approach of lower taxes and less government spending to actually attract and keep successful people.
Conclusion
New York should reduce taxes, cut spending, and eliminate excessive regulations rather than begging wealthy residents to return
Premises
- High earners have been leaving New York for states like Florida with lower taxes and less regulation
- New York state spending has surged by roughly 20% under Hochul, driven by political culture rather than necessity
- New York spends more per Medicaid recipient than any other state, with over a third of residents enrolled
- Florida demonstrates that lower taxes and spending can coexist with economic growth and population increases
- New York's regulatory burden, especially in NYC, makes it extraordinarily expensive to build, hire, or expand businesses
- A fiscal system that relies heavily on a small number of high earners is inherently fragile and unsustainable
Assumptions
- Wealthy individuals make rational economic decisions about where to live based on tax and regulatory burdens
- Government spending growth beyond necessity indicates inefficiency rather than improved services
- Florida's model is replicable and represents a superior approach to state governance
- High taxes and regulations directly cause wealthy residents to leave rather than other factors
- Reducing government services and spending will not significantly harm residents who depend on them