I have to be upfront that I heard about this comparison from Kevin O’Leary, the Chairman of O’Leary Ventures. He drew the differences over the last twenty-five years of Moorhead, Minnesota, and Fargo, North Dakota.
These two towns are less than two miles apart, but their stories could not be more distant. Less than a quarter century ago, both were small towns with an equal population of 50,000. Fargo is now the home of 140,000, and Moorhead boasts 45,000. The change indicates the exact reasons for the New York to Florida or California to Texas migrations. People will move their families to a better place for their families. Let’s look at some interesting features of these neighboring towns separated by a state line, a bridge, and powerfully different governing policies.
On the surface, these two Midwest towns are very similar. They have the same demographic makeup, virtually the same political alignment with over 40% Republican, and comparable property values, with the edge going to Fargo with many more homes over $500,000. Fargo is growing, housing is booming, and people cannot say enough positive. Not your typical North Dakota town and has over 25% of the state’s population. Folks that are still in Moorhead or have already left talk about a broken infrastructure, rising crime, and a clueless, corrupt government.
The job growth is about 25% greater in Fargo versus Moorhead, and Moorhead has a 7% income tax versus 2% in Fargo. That tax savings is huge when combined with the quality of life differential and the opportunities offered in Fargo. Fargo has invested in itself with a renovated downtown, museums, theaters, and a world-class zoo are some of the attractions that make people call Fargo home, many of them from neighboring Moorhead.
Why are we using today’s article to discuss two small towns in the heartland? Because it highlights why we need to start looking at taking care of our issues. Banks fail in California, and banks all over the country have to bail them out. New York and California spent their way to huge budget shortfalls and took COVID funds to make them whole. That relief will work for now until they find themselves in the same fiscal state. That was COVID money from every American used to bail out two mismanaged states. Why? Why do people and governments that do the right thing for their citizens have to ante up to save cities or states that waste money on foolish programs that only make them feel good? It is wrong and a practice that has to stop.
We have seen significant movement of people looking for a better place for their family. It may be because of financial parameters, better schools, or a better way of life. It is obvious that the destination for many of these migrants is the Red states. Democrat states are expensive, crime is rising, taxes are excessive, and the schools are centers for indoctrination. Just like elections, policies have consequences. Red states have proven policies that better align with the American principles we learned as children. We have to be cognizant of not allowing these “Blue” migrants to bring their failed policies with them. They are welcome. Their old ways are not.
