The point here is that corporations and the people that run them are ideological. Companies do not set up shop based on what is good for people, they choose their location based on what is good for capital. How else do you explain all the businesses that set up shop in Delaware? The ideological fervor of CEOs also points to another problem: Even if cities bound together in some sort non-aggression pact so that none of them promised a single tax break, what would happen the next time a Fortune 500 company starts looking for a new headquarters? Would those cities get a shot? No. They would be blacklisted.

user-inactivated:

The HQ is a blatant cash grab. It is going to cost $10 billion all said and done, IMO, once the bidding war is over. This is a trillion dollar company and $10 Billion is a rounding error. But the taxpayers are going to get soaked for a minimal gain.

Foxconn get $4 billion and it looks like the plant will create 13K jobs, most of those NOT the high paying jobs mentioned. And all the payroll taxes of these employees will go to Foxconn, not the government. $4 bill for 13K people? How much for 50K workers?

The EU bans these types of competitive bidding wars, and I wish we had a functional government in the US that did the same.

posted 2284 days ago