For 100 years, New Jersey was a promised land for middle class New Yorkers, fleeing New York taxes and pursuing the American dream of a little cottage with a yard.
What went wrong? Now it is a state with net outflow of population and business, decaying, dangerous cities, state and property taxes which crush the middle class, routine corruption, unions which seem to have more power than both the government and the voters, and Tony Soprano.
Malanga at City Journal gives the whole history. An excellent history of The Garden State, which typifies the "blue state blues".