They have a horrible high taxes, huge nanny state yet why is so much industry like IT etc.. attracted to California?
Quote from HomelyWizzard:
Because brainy (i.e. smart and educated) people move here. There is human capital, venture capital and great standard of living(best weather in the whole USA). Despite this CA is losing small businesses but for every small business, there is an Asian company opens shop here in guise to steal our technology.
Don't forget the bosses (mostly Stanford grads) decide WHERE the company reside - Palo Alto is the best business address in the USA, beside New York. The rich want to live here not in shitkicking Oklahoma or Ohio...