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Latest post 03-13-2009 8:10 PM by silence dogood. 2 replies.
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  • 02-19-2009 5:17 PM

    Michigan is #1 for Economic Development??

    The Jan/Feb 2009 issue of Michigan Capitol Confidential carries a story about Michigan winning a "State of the Year" award from Business Facilities magazine because the Michigan Economic Development corporation claimed that its targeted tax credits were responsible for luring $14 billion in new business investment to Michigan during 2008.

    Trouble is... $11 billion of the total that the MEDC claimed credit for was wrapped up in a single project that was later cancelled.

    What do you think?

    Should the MEDC have the power to select "winners and losers" by deciding which companies receive tax abatements from state government?

  • 02-19-2009 5:53 PM In reply to

    Re: Michigan is #1 for Economic Development??

    The fact that this now dated fiasco came to the surface to be reported in October 2007 at all simply underscores why “transparency” in these programs – and fully accounting to the public for their operations is so essential. 

     

    That is why we all should support SB 71, which would require reporting by the Michigan Economic Growth Authority (MEGA).

     

    I also think this story should help disabuse us of the tired notion that government can “create” jobs by offering tax incentives to private industry. 

     

    The only way government actually can create jobs is to authorize spending for public works projects, such as building roads, bridges, park facilities, prisons, jails, etc., and the operation of public programs, such as educational institutions, correctional institutions (prisons), police agencies, etc.

     

    Yes, that opens a whole new “debate,” but it is long past the time we should come face to face with that reality and sort out our real expectations for what government services we want to support, and how and to what level we want to support them.  Kick ideology out the door and replace it at the table with common sense.

     

     

  • 03-13-2009 8:10 PM In reply to

    Re: Michigan is #1 for Economic Development??

     michigan got recognized for a project it later cancelled. that is some achievement. now how about getting recognized for something actually achieved?

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