If your company left CA to TX because of Taxes, it's only a matter of time before they move to some place even cheaper. This is how it all started in the 80's. Major companies went North to South to save, then South to Canada to Save, then CA to Mexico, then Mexico to China. The point is they started losing money at each point. It's about controlling what you have already. Eventually those in China won't have a place cheaper to go. End game.
Using CA and TX are great examples because they are the biggest examples on each end. Each have had their moments or glory and times not so well. It's no surprise TX is doing better then CA now, the rules are slanted to corps and not the general populace. That is imo the core issue. Sure people like to make fun of CA and it's rules, but they are giving out protections to people, they are setting higher standards because really we should always be striving for higher standards. But when we want to stop that, we start to look for cheaper low standard work arounds and they see states like TX. It's all about a balance and we are out of balance and don't want it to go further out. Cheap and Free are only short term answers with even bigger problems when there is no place to go.
Again you are missing the point. Companies have left California and other high tax states for many places including overseas. This left a lot of people without jobs but still responsible for paying high taxes. Many of those people have thus left and moved to places like Texas where there are jobs. Texas benefits, California and other states are left struggling to pay the high pay and great benefits they've obligated themselves to. Wisconsin is just the tip of the iceberg. Take New Jersey. Christie has already instituted reforms that some are very angry about but New Jersey's bottom line has improved. He'll be reelected in a state that's solidly Democrat because a tough SOB is exactly what they need and they know it. Forget capitalism, socialism, and all the buzzwords. There's X amount of money to go around, less than there was when times were good, and an electorate less willing to pay for other's great salaries and benefits while they struggle.