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It implies only negative, doesn't it also has a lot of positive to it, like economic growth?
by amoitnga 8y ago
It implies only negative, doesn't it also has a lot of positive to it, like economic growth?
- praneshp 8y agoWell, each NYC resident pays 48000 one time to get back 30000 per year for 10 years is not something that HN would upvote into the front page.
- GhostVII 8y ago$48,000 is the cost per job, not the cost per resident.
- qaq 8y agoIt's not a cost though it's tax break over 10 years and there would be no tax revenue if NYC didn't get the office in the first place.
- InclinedPlane 8y agoThis is true, nobody in NYC pays taxes currently and nobody there has a job already.
- qaq 8y agoAt present there is N tax revenue With HQ2 there will be N+Y a portion of Y will be returned back to Amazon how is this exactly a cost for the city?
- cglace 8y agoHow do you know other companies wouldn't move in?
- vdnkh 8y ago> each NYC resident pays 48000 one time Please cite a source which states this claim. Nobody here is forking over 48k "one-time".
- woodlumhoodlum 8y agoI totally agree with this position, as it will lead to job in the surrounding area. The overall tax revenue the local government receives will dwarf the incentives. But all I've seen online is short-sighted criticism.
- dmschulman 8y agoEconomic growth for whom?
- rland 8y agoIt seems to me like this is kind of like advertising: it’s a local benefit, but a net loss. Someone, somewhere, is giving a huge amount of money to Amazon. Considering Amazons wealth and power, is this what we should be doing as a society? In particular, we don’t need to do this. If everyone said “no deal,” Amazon would be forced to behave as anyone else: consider each area based on its true merits, and make a decision accordingly. In other words, the growth occurs regardless. No gifts needed.
- berbec 8y agoExactly. It's the economics version of the Prisoner dilemma. First city to give up the tax breaks gets the jobs, but to truly win, everyone has to say "build here if it's right for you. You're not getting any incentives from us."