It's not going to be organic. Instead, these same deals are going to be spread out to a bunch of other companies, most of which will pay less than Amazon on average and the "subsidies" will take longer to be a net positive.
Again, people confuse bribes with standard deals. Any company is eligible to receive the tax breaks that Amazon was going to. So New Yorkers have really "won" here. Same subsidies paid out to lower paying companies at a significant slower scale and significantly less economic upside.
There's no way to turn this into a positive here.
Only if you assume those other companies collectively hold the same bargaining power that Amazon did, which is an assumption I can't agree with
The biggest aspect of this deal for Amazon was reduced regulatory burden. That was Amazon's actual goal here, the tax offsets were just the icing that every company is going to end up getting by making a major move like this.
Predicting the future is hard and counterfactuals are tricky, so we may never know which choice was better.
I dunno. It seems like an unambiguous positive to me. The giveaway to Amazon was enormous -- so much so that it seems extremely dubious that New York would ever have been able to recoup that money, let alone increase it.
Add on to the fact that if you sold that one car for $25K, you end up with other people who would've paid $30K but now want that same discount, so you may have given away a lot more than $5K.
Well, if you believe Amazon coming to NY was good, it's no more negative or positive than me not winning the lottery today, and I didn't buy a ticket either.
This.
That's exactly why what's now going to happen in NYC is what should happen in all cases. Wish we could get this going in Wisconsin.
Whatever growth occurs in NY will be organic. Not government-subsidized hyper-growth which can throw things out of whack.
Real growth brings with it real increases in public funding, that can be used to fund real increases in infrastructure demands and demands on other public services.
When a local government has to bribe their way into increasing local business, they tip the scales in favor of one thing (i.e. jobs) while burdening other things (tax base, transit support, etc.)
When companies choose to do business in your area—because it's naturally the best place for them—it functions as a market verification that you're doing something right.