The Economy of a Federation of Red-States would do Just Fine

Online you’ll come across people linking to studies showing that blue counties and blue states have a higher per capita GDP than others.

The per capita GDP of cities is artificially high because people commute to work there from outside the city limits, and from outside the county limits. Some cities, such as Chicago, get commuters from red states each morning. The productivity of these commuters is counted in the location they work in, not the location they live in.

Trump states have a higher standard of living than Hillary states because the difference in cost of living is greater than the difference in per capita personal income according to US BEA data. The lower incomes mean they pay less income tax, so it’s not surprising that red states pay less to the feds than they get back.

Another thing you’ll see online is the claim that red states are “dependent” on the federal government. But the federal subsidy is small, even for Mississippi, compared to total state GDP. Yes, a federation of red states would have slightly less federal spending on bureaucrats writing studies and issuing edicts, and less federal welfare spending. Is that a bad thing? The representatives these states sent to DC didn’t vote for socialism in the first place. What makes them think we’ll stay in the Union for its socialism?

The big picture is that red state economies will boom because they will use conservative principles to unshackle the economy and attract entrepreneurs.

Learn more here:

3 thoughts on “The Economy of a Federation of Red-States would do Just Fine

  1. Actually, both red states and blue states will probably benefit from a separation: after separation, our very expensive foreign involvement will be cut or eliminated.

    So all of that money poured into bases and wars in countries we can’t locate on a map will not be spent.

    The red states will probably also spend less on foreign aid — what Ron Paul said was taxing poor people in a rich country to send money to rich people in a poor country.

    And people who feel like they have more control over their own destiny will work harder and smarter. Being trapped in a system where a politically incorrect remark can get you fired is extremely demotivating.

  2. I never really hear anyone refute this point, in public or online. What a great point of view most people ignore. Also Dan is 100% correct on all of the above. Before I was old enough to vote I was a big fan of Ron Paul in his 2008 and 2012 presidential run.

    I would also like to add that another reason their GDP is larger is that most jobs created in their side of the country is filled with the service industry sector. A set of benign jobs given to only the most self-righteous and both culturally and morally bankrupt boring people. Utterly bland people stretching from Los Angles to New York City and any other unproductive shit hole just pumping out hedonistic schlock that American culture consistently consumes. Tired overused media with no originality and only relying on nostalgia as its driving market force. No one, in a culturally powerful or morally stable country, wants to see another 90s reboot or the six millionth marvel movie.

    Now I’m in no sense a socialist. The irony isn’t lost on me that many, if not most, of our problems, and in fact our biggest problem is tech censorship, comes directly from big business. Silicone Valley leading the charge and being followed by “woke capital.” I wouldn’t mind seeing antitrust laws for the NFL, Disney, Amazon, Google and many other big business. I’d rather have many competitive businesses under a free market than a few oligarchical companies under woke capitalism.

    It’s also ironic that many people do not realize that the term “capitalism” in of itself is in fact a Marxist word meant to describe the worst aspect of the free market. The unproductive “capitalist class” create a corrupt system from which capital is created by the exploited “proletariat class” only to be consumed by the unenlightened “bourgeoisie class”. We must learn to keep our markets free and allow innovation to prosper, while also realizing not give power to woke capitalism that can turn around and use our constitution against us. Do not fall for the phrase “it’s a private business, so they can censor if they want.” that kind of statement should be left to the current state of the loser republican party and the hedonistic libertarian party.

    God bless the working class American and the productive system where he may sell his personal innovations from the privately owned, yet God given, land he lives on.

  3. I am in agreement with this article and the comments. The red state secessionist movement is gaining momentum because at this point there is no sewing the Divided States of America back together again. We have lost OUR republic. If Constitutionalist Americans remain complacent and watch events unfold, soon every state will be turned into purple, then into blue, then into brown…(which is the color of socio-economic defecation like Venezuela for example). The Americanist Review has an excellent article on the subject of state secession at (it’s a free download in the online book store).

Leave a Reply

Your email address will not be published. Required fields are marked *