Granting corporate tax breaks for the few is bad policy

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There’s been a lot of commotion about the deal Wisconsin struck with Foxconn to potentially create thousands of jobs in exchange for up to $3 billion in state tax breaks. I won’t pass judgment on the Wisconsin deal as I don’t know all of the details, but it raises the question of whether granting huge corporate subsidies or tax breaks to select businesses is good policy.Jeff JohnsonThe answer to that question is a resounding NO, but unfortunately in Minnesota it’s become the primary economic development strategy of the Dayton administration.Minnesota is engaged in what’s often called the “deal model” of economic development: providing a hostile tax and regulatory climate for businesses, but offering a select few large corporations special tax advantages...

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