If Conservatives in Red States really believe that lower taxes, lower regulations, and less government interference are good for the economy, they should try it and see. I believe we call that "Federalism," and I believe it was the idea behind having a Federation of States, rather than a single National Government.
Commenter Toby928 over at the HQ has this to say:
I want something even more radical, let Texas or some other red state go full 10th Amendment and refuse both Federal largess and Federal mandates. Secede in place, as it were.
I agree there, too. Push actual Federalism. Refuse Federal funds along with the strings they have attached.
Yes, it would suck. It would suck because that money is going to DC anyway, and it's going to be spent anyway. It would suck because we'd see more DC Politicians getting rich off our money. It would suck because more of our money would be diverted to other states (someone explain, again, why a man in Texas is responsible for the health care of someone in New York?). It would suck because people here would scream when some of their free stuff got taken away.
Nevertheless it would be right. And if Texas led the way, other states may well follow. And if enough States followed, we might see some actual change at the Federal Level, and a shift back to the Federalist System the Founders prescribed.