Washington, D.C. -- Amazon’s swift and sudden departure from a multibillion dollar development deal in New York has become a rallying cry for Republicans who argue there is a mass exodus of corporations and people from blue states to more business friendly southern territory.

“North Carolina isn’t a particularly big state but it ranks third in the number of people moving there, right behind Texas and Florida and that says a lot to how good policy can make a state an attractive place for entrepreneurs, for people and for new businesses,” said Adam Michel of the conservative Heritage Foundation.

Michel, who studies tax policy, says the Bluegrass State, home to some of the poorest counties in the nation, should change their tax law to benefit from this migration.

“The question is why isn’t Kentucky able to attract these people that are leaving these high tax states. I think a big reason is Kentucky still has an incredibly high personal income tax, corporate income tax, really high estate tax and some other fiscal issues that make other states look more attractive when looking on where to move next,” said Michel.

Progressives and left leaning economic scholars say large tax cuts for corporations are actually a recipe for income inequality. According to the Institute on Taxation and Economic Policy, the poorest 20% of Kentuckians pay 9.5% of their income in state taxes, while the richest 1% pay 6.7%

Michel still believes slashing taxes can ultimately help low income Americans most.

“When you don’t have overly burdensome occupational licensing, you can become a hairdresser without taking years of classes or you can start that business and know that you aren’t going to get hit by 50 regulations that you did not know were out there,” said Michel.