>Except that I think it is GOOD public policy to proceed with the "tax
>increment" financing scheme for the business park. Yes, it is public
>funding. Yes it is a little obscured who is actually putting up the money.
>But, what choises are there?
The same choices that are available to any prospective business.
I just don't see the "barriers" to successfully start/run a business
in the Moscow community. The Council has consistently
rezoned in support of business so *that* is not an issue. The
barriers in Moscow are much the same barriers faced in
most communities. Even the most liberal economists don't
like mucking with the market mechanism except in the case
of market failures.
Studies on new business incentives (subsidies) reveal that
such subsidies *do not* significantly guard against business
failure. I posted the reference on this study previously.
I have an open mind. Do you have evidence that
subsidizing these businesses will ensure their success?
Would you willingly pay taxes for street or school improvements
with only a *chance* that such improvements would actually
occur?
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Greg Brown
Assistant Professor, Dept. of Forestry, Southern Illinois University
Adjunct Assistant Professor, University of Idaho
gregb@uidaho.edu