MORNING CALL: 2 Billion Dollars

By Tyler Cralle, in Blog Morning Call National Tyler Cralle on . Tagged width: ,

Now that the Amazon HQ2 decision is official we are getting details on the deal that made New York and NoVa the winners.

According to the New York Times, NYC and NoVa will be providing 2 billion dollars in incentives, “Up to $1.2 billion of that will come from New York state’s Excelsior program, a discretionary tax credit. In Virginia, the company could receive up to $550 million in cash incentives from the state. Both programs are tied to the number of jobs the company creates — if Amazon’s hiring falls short of projections, the incentive payments will be smaller.” https://nyti.ms/2zQ5G7M

Maybe it’s because Amazon was the second company to reach a trillion dollar market value or maybe it’s because Jeff Bezos is worth close to 100 billion dollars.  Whatever the reason, everyone besides Bill DeBlasio and Andrew Cuomo seems to be on the other side of this deal.

Why?  Well according to Amazon’s numbers New York paid more per job than any other state, “According to Amazon, the cost per job for New York taxpayers is $48,000, compared to $22,000 for Virginia and $13,000 for Tennessee.” http://bit.ly/2B4PrWo

This deal is so bad it is even uniting Republicans and Democrats.  The usual suspects on the right came out against this deal.  Jim Geraghty of The National Review said Virginia was giving away the store (http://bit.ly/2DC4LMn).  John Stossel at Reason says this why some capitalists are the worst enemies of capitalism (http://bit.ly/2B5NSYh)

However, it wasn’t just Republicans.  Famed Socialist and now Congresswoman-elect Alexandria Ocasio-Cortez tweeted criticism of this deal, “Amazon is a billion-dollar company. The idea that it will receive hundreds of millions of dollars in tax breaks at a time when our subway is crumbling and our communities need MORE investment, not less, is extremely concerning to residents here” (http://bit.ly/2OEShEN)

Amazon really is amazing.  They found a way to unite the right and the left only a week after a midterm election…

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