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Monday, May 5, 2025

Illinois faces population decline amid high taxes and policy challenges

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Brandon Johnson Mayor | Chicago Contrarian

Brandon Johnson Mayor | Chicago Contrarian

Illinois is experiencing a significant population decline, raising concerns about the effectiveness of state and local government policies. From 2010 to 2020, Illinois was one of only three states to lose population, with the trend accelerating between 2022 and 2023. Indiana, Wisconsin, and Florida have been the top destinations for those leaving Illinois.

Over two decades, Illinois has lost 1.6 million residents, ranking third in the nation for outmigration. The loss includes over 40,000 high-income households that contribute significantly to the state's tax revenue. Chicago's population is at its lowest in a century, with a notable decrease in Black residents and school enrollment.

A poll by the Paul Simon Public Policy Institute found that nearly half of Illinois residents would like to move out of the state. High crime rates, failing schools, high taxes, and government spending are cited as key reasons for this sentiment.

Despite spending more per pupil than neighboring states, educational outcomes remain poor in Illinois. Teacher unions oppose reforms that could improve student performance. The state recently ended a tax credit program supporting school choice and limited public charter school options.

Illinois ranks poorly in terms of taxes; it is among the worst states for combined state and local taxes according to WalletHub and Kiplinger. The primary focus appears to be on expanding government rather than serving people effectively.

Sanctuary policies are seen as a political strategy to offset resident loss while maintaining Democratic dominance. These policies have cost state and local governments $2.8 billion so far.

Governor Pritzker’s proposed budget shows a $1.5 billion revenue shortfall while Chicago faces a $1.2 billion deficit without accounting for education costs related to migrants.

Democratic leaders have used former President Donald Trump as a scapegoat for policy failures following his defeat in the 2024 election. Governor Pritzker compared Trump supporters to Nazis while Mayor Brandon Johnson called Trump a “terrorist.”

The reliance on anti-Trump rhetoric may hinder efforts to address financial crises or infrastructure issues effectively. Democratic leaders face criticism for mismanagement contributing to these challenges.

Illinois remains heavily taxed with low equity rankings due to systemic issues like punitive tax burdens and an anti-business climate driving taxpayers away annually.

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