17 February 2019

The Untamed Amazon

Democrats in New York are divided over the meaning of Amazon's decision not to build offices in the Empire State. Executive Democrats -- Governor Cuomo and Mayor Di Blasio -- are angry at progressive legislators for wanting to renege on a deal that would have gifted Amazon with subsidies and tax breaks. They argue that the jobs Amazon would have created would have more than made up for the taxes Amazon wouldn't pay. The offending legislators seem to feel that an example needed to be made, and that a behemoth like Amazon has no business demanding tax breaks and subsidies. The truth, of course, is that seeking such breaks, thereby increasing profits, is the essence of business. Whether companies like Amazon have a fair claim to such treatment is an urgent question for debate, but the debate should be held at the right level. So long as states are permitted to compete for jobs by outdoing each other in sweetheart deals, there's no point in any one state taking a moralistic stance that can only prove self-defeating. Since the states are sovereign over their own taxes, the best that might be hoped for would be an interstate pact not to offer such abject incentives to corporations, but in the current political climate taxophibic Republican majorities in some states are unlikely to enter into any such pact. One needn't be a Marxist to conclude that the ultimate problem is the inordinate power a capitalist political culture, not to mention a federal political order, gives to corporations. But how do you convince people who resent the deals dealt to the likes of Amazon to do something about it if doing something means taking away some of the theoretical freedom we all seem to value so much? It would seem that the subsidies slavishly offered the great corporations is part of the price of freedom, albeit a less honorable part than others you hear about.

1 comment:

Anonymous said...

These same legislators author their own bills giving tax breaks to their favored businesses, churches, etc. The hypocrisy just grows and grows and grows. I work for the legislature as a proof reader of these bills and though I cannot disclose the particulars of any of them, I can state that these people are giving away the state. Allowing rights and privileges to illegals that will only encourage more illegals to come here to be fed, clothed and housed at the tax payers' expense.