> But how exactly is the state preventing two people voluntarily entering into a contract a good thing? Because those voluntary contracts affect the economy as

> But how exactly is the state preventing two people voluntarily entering into a contract a good thing? Because those voluntary contracts affect the economy as a whole. By preventing the worker from making use of even their non-proprietary general knowledge, they make the economy less efficient -- especially so when it comes to the formation of new ventures. And empirically, prohibiting noncompetes works. I understand that California, if we were a separate country, would have the world's seventh (or sixth?) largest economy. I certainly would be very hesitant to accept a job offer in any other state. (Well, someone posted upthread that North Dakota and Oklahoma also prohibit noncompetes, but I don't think I want to live in either of those places, for other reasons.)