The simple explanation for that is tax rates are only part of the calculation that people make on where to live. The desire to be surrounded by top talent similarly appears to be keeping companies and top workers in California, even after top tax rates went up. (Ezra Shaw/Getty Images)We've been writing for years now at Wonkblog about how California's highest-in-the-nation income tax rates don't seem to be crippling the state's economy, or producing the high-earner exodus that many conservatives once predicted. Long-run economic studies have found that abundant innovation, and not low tax rates, is the best predictor of whether a state's economy will grow faster or slower than its peers. Maybe, though, the higher chance of a championship ring is worth more to Durant than $7 million a year.

Source: Washington Post July 04, 2016 18:11 UTC