So let’s check out this NPR story on Illinois battle to try to keep Sears’ jobs in the state, and other states’ battle to get them:
Thousands of jobs are on the line in a competition between states over the corporate headquarters of Sears. Several states are offering tax incentive packages to try to lure the company away from Illinois, including one bid from Ohio that’s worth up to $400 million.
Why would that happen?. Can you spot it?
The Sears Holding Corp., parent company to Sears and Kmart, says it is seriously considering the offer after Illinois lawmakers failed this week to approve a package of tax incentives aimed at keeping Sears and [the Chicago Mercantile Exchange] from leaving.
The story shows the folly of “corporate welfare” – government picking winners and losers with taxpayer money. :
“I think that the proposed help for Sears is more than adequate to keep them here, and I hope we can put the movement together this month to get that job done,” he says.
Of course, corporate subsidies are sort of like narcotics; once you get through the starter drugs, you need more and more powerful stuff to keep the same buzz going.
But – and I’ll say, I was amazed at this – NPR did actually cut to the “root cause” of the issue:
Quinn and his fellow Democrats who control Illinois’ Legislature have been taking heat from the business leaders for raising the state’s income tax rates last January to help close a gaping budget deficit.
Oblique? Of course. But it’s further proof; taxes kill.