Gov. Jerry Brown is now giving his State of the State speech. "California has problems," he said, "but rumors of its demise are greatly exaggerated." That certainly is true. The past week I drove up to Eureka, through the magnificent redwood forests via Clear Lake, and then down through the wine country of Mendocino, Sonoma and Napa. There's nothing like the beauty of this place, and no doubt there remains an entrepreneurial spirit here despite bureaucratic efforts to crush it. But the governor doesn't seem to understand that California's greatness does not reside in its public sector. The governor is calling for tax increases. He insists that those who oppose his high-speed rail plan are Luddites. He sees a future in a subsidized renewable energy economy. Ultimately, though, a state thrives because of its private sector. Until California's Democrats understand that, the state will continue to decline.
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