Recently, a group of Albuquerque business and economic leaders traveled to Phoenix to get some ideas on why the Phoenix economy is so much stronger than New Mexico’s. Ideas were exchanged and I’m sure a good time was had by all.
But, the trip was a waste of time. You don’t need to travel to see why Phoenix is more economically prosperous than Albuquerque or why Arizona does better than New Mexico. It certainly has nothing to do with TIFs or BIDs or any other gimmicks that are being promoted for Albuquerque.
In reality and nearly across the board, Arizona’s superior public policies make the state a fast-growing, successful place that leaves New Mexico in the dust. Here are just a few: Arizona’s top personal income tax rate is 2.5% while New Mexico’s is 5.9%. Allowing people to keep more money means attracting more people. With our oil and gas largesse and $61 billion sovereign wealth fund New Mexico could easily reduce or eliminate our income tax, but that’s not how our politicians think…