Dr. Akina addresses a group of supporters in Hilo.

The High Cost of Living in Paradise

by Keli'i Akina, Ph.D., President/CEO, Grassroot Institute of Hawaii

It's official. Forbes and MoneyRates.com have confirmed what we always knew in our hearts and have found ourselves endlessly repeating to friends and relatives in the mainland: Hawaii is a beautiful place to live, but it's a difficult place to work.

Hawaii has garnered another dubious #1 ranking, this time as the Worst State to Make a Living in 2014. Yes, we even beat New York. The analysis considered the average salary, the cost of living, employment rate, and workplace conditions. (And I can already hear the small business owners out there noting that they didn't even take into account red tape and taxation. But even if they had, we couldn't have finished any higher. Or lower, depending on your perspective.)

Unsurprisingly, the primary reason for Hawaii's ranking is the cost of living--which is 50% higher than average. Moreover, the average wage is not high enough to compensate for that difference.

Of course, it doesn't have to be this way. The Grassroot Institute continues to work for policy changes that would make a real and tangible difference in the lives of the average Hawaii citizen. Reforming the Jones Act and promoting free trade would help lower the cost of living in our state. And decreasing the tax and regulatory burden on businesses would help boost the economy and the average salary.

"Hawaii: live in paradise, work in hell," goes the old joke. But that hardly fits the welcoming and generous spirit that defines our state in so many other areas. Let's work together to put the label of "worst place to make a living," back on one of the mainland cities that can really appreciate it.

Video: Welcoming Joe Kent and Gaetano Venezia to the Grassroot Team

In this edition of E Hana Kakou, Grassroot President Keli’i Akina interviews two of the newest members of the Grassroot Institute staff, Joe Kent and Gaetano Venezia. Joe, a former public school teacher, has already gained attention for his documentary on the Price of Paradise. Gaetano, who has come to Grassroot Institute from the University of New Orleans, is deeply interested in how to unite free market research and analysis with the practical mechanisms for change.

Click here to watch the entire discussion.