California, You Don’t Trade Your Star Player for A Couple of Bucks

We see it throughout sports.  The “star player” getting traded for some quick fixes to the team.  But it’s that star player that makes people want to come play – think Kobe Bryant for the Lakers, or Drew Brees for the Saints.  People want to play with the star players.  And the star players are the ones that bring fans to the games and sell the jerseys. 

So when a team trades away its star player, the fans always ask, “why would they do that?”  The same question is being asked of California, who wants to trade away its star technology sector for some quick tax revenue.

It’s California’s tech sector that makes developers from around the world want to come to, work in, and contribute to the California economy.  It’s California’s technology sector that sells billions of dollars worth of intellectual property and services. 

But some in California seem determined to trade away this star for some tax revenue. ABX1-28 just went through the California legislature.  If signed into law, it would place an onerous tax collection requirement on and stall online businesses, the same online businesses that make up the “star” of California.  And last week, the state legislature attempted to sneak a similar provision into the California budget.

At the same time, thousands of California “fans” are standing up to oppose this trade.  This past week, over 19,000 small businesses expressed their anger with these moves by the California legislature.  And last week, California Governor Brown vetoed the state budget that included a trading of the technology sector for tax revenue.

California, like many dynasty teams, is lucky enough to have a star that continually produces results and generates revenue.  California should not be so eager to trade this star for some quick tax revenue.

- Carl Szabo

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