From the Record:
New Jerseyans who moved to other states took a net total of $15.7 billion in income with them from 2000 to 2010, according to a new tax map from the non-partisan Tax Foundation.
That meant they weren’t spending that money, or paying taxes on it, in the Garden State.
But the loss in population and income was more than offset by births and the influx of immigrants to New Jersey, which has historically been an immigration gateway. And its household incomes remain among the highest in the nation.
For decades, more people have moved out of New Jersey to other states than the reverse. Starting in the 1970s, “the nation’s population and job growth increasingly shifted to the Sun Belt states of the South and West,” according to Rutgers economists James Hughes and Joseph Seneca, who have studied the issue. In a 2007 Rutgers report, the economists wrote that in 1970, the mid-Atlantic states of New Jersey, New York and Pennsylvania accounted for 18.3 percent of the nation’s population; by 2006, they accounted for 13.5 percent.
One big reason has been retirement to Florida and other warm-weather states. Other factors are the state’s high cost of living, especially high housing costs and property taxes; and faster job growth in other states, which was “a magnet for young people,” Hughes said last week.
New Jerseyans’ moves across state lines slowed dramatically during and after the 2007-09 recession, as mobility nationwide declined. There were two main reasons: plummeting home values made it hard for people to sell their homes, and high unemployment around the nation made it unlikely that job hunters would find better prospects in other states.
Households have started moving out of New Jersey again, however, as the economy and housing market continue their recovery, Hughes said. Many have found more job opportunities elsewhere; while the Garden State has recovered only 60 out of every 100 jobs it lost during the recession, Texas, for example, has recovered two jobs for every one it lost.
According to the Tax Foundation, from 2000 to 2010, the top states for New Jerseyans to move to were Florida, New York, Pennsylvania and California. The biggest source of people moving into New Jersey was New York.