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Recently we learned that the “Texas Miracle” had not been so miraculous after all. Texas seemed to be doing OK over the past two years, but it was only because they had a two-year budgeting cycle and had been able to eke through it thanks to stimulus money from the federal government. When a new budget cycle started up, Texas turned out to be $25 billion in the hole. Oops.

And now comes yet another insult. Amazon has decided to close their fulfillment center in Irving and cancel their expansion plans in the state:

In an email to staff, Dave Clark, the company’s operations chief for North America, said the state’s “unfavorable regulatory climate” prompted the decision….In the email, Mr. Clark said Amazon’s now-cancelled expansion plans would have brought more than 1,000 new jobs to Texas, as well as tens of millions of dollars in investment.

Now, it so happens that I think Texas has the right of this. Their insistence on collecting sales taxes seems perfectly reasonable to me, and I think every state should demand the same. Still, “unfavorable regulatory climate” has gotta sting. That’s Texas you’re talking about, Dave!

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