"A recent Wall Street Journal editorial summed up New Jersey's fiscal problems: 'The Garden State has raised taxes nearly every year since 2000 and nearly twice as much per resident as the next highest tax state. Yet, no surprise, Trenton still has the biggest budget crisis outside of the states ruined by Hurricane Katrina. This taxing binge hasn't balanced the budget because state expenditures have ballooned by $8 billion, or about 45 percent, in six years.' [Governor John] Corzine claims new spending is necessary because state schools and services are under-funded and that's why he 'needs' to raise taxes again, this time by a proposed $1.5 billion. Schools and services are anything but under-funded, but Corzine carries the Democrat's tax-and-spend gene and he is not about to cut taxes or reduce spending in the face of facts... Democratic infighting isn't over tax increases; it's about which taxes to raise. Most Democrats oppose an increase in the state sales tax, fearing political reprisals. They prefer to boost already high property taxes instead... The more New Jersey raises taxes, the faster the exodus of businesses to other states, thus draining the state of tax receipts and leading Democrats to raise taxes again to make up for the lost revenue. It then becomes a vicious circle..."

—Cal Thomas

Compare and contrast this to the news story I posted earlier here. This is what happens when taxes are reduced and the economic climate is friendly to businesses.