"Conservatives look to Texas as their bright shining light. They hold it up as a model of limited government, where low taxes and business-friendly regulation have led to job growth and economic growth surpassing the national average over the last three decades. If the rest of the country followed the Texas model, the tale goes, our economic woes would be behind us and we would all share in a more prosperous future. The conservatives do have at least the beginnings of a case. Texas has outstripped the rest of the country in job creation. Since the business cycle peak in 1981, the number of jobs in Texas has increased by more than 78 percent. That compares with less than 52 percent for the country as a whole. The gains are not just oil, although oil is a big part of the picture. If we chose the business cycle peak in 2000, when oil prices were low, as the basis of comparison, then the Texas job growth story would be less impressive. It beats national job growth by just 1.1 percent. 47.1 for Texas and 46.0 for the U.S. Hot air — or to be more generous, a warm climate — is also a big part of the story."