Economic Bidding Wars
Welcome to an incendiary political and economic debate.
Are development incentives good or bad? Proponents say incentives create a business-friendly, entrepreneurial climate; promote local job opportunities and worker training; enhance private sector productivity and competitiveness. Opponents charge that these giveaways divert government money from supporting traditional public goods like education, frequently cost far more than any realized benefits and misallocate resources.
Congress should end the economic war among the states, Arthur Rolnick Testimony,
October 10, 2007 [PDF]
Congress should end the economic war among the states 1994 Annual Report essay
Distorting Subsidies Limitation Act of 1999
(H.R. 1060) introduced by U.S. Rep. David Minge of Minnesota
Economic Development in Minnesota: High Subsidies, Low Wages, Absent Standards, Citizens for Tax Justice [PDF format]
National Conference and Symposium Resources
More than 70 economists, policymakers, lawyers, tax administrators, and business and labor leaders debated this issue at a national conference held in Washington, D.C., on May 21-22, 1996, hosted by Minnesota Public Radio's Civic Journalism Initiative.
Special issue of The RegionThe June 1996 issue reports on the proceedings of the National Conference.
Minnesota Public Radio
The Economic War Among the States: A Symposium for National Discussion designed to focus attention on the issue, stimulate national discussion, and develop a reasoned response.
- Broadcasts on MPR
These aired on public radio's Marketplace, April 9, 10 and 11, 1996. Audio files and transcripts are available.
Harvard University, Kennedy School of Government Case StudyNorth Carolina and the Battle for Business
This case puts students in the role of a top economic advisor to Governor Jim Hunt of North Carolina and provides official reports, news articles and legal briefs as background.
The Minneapolis Fed has published several related articles.