Source: Bluegrass Institute
by Mark Moses
“Each year, local governments spend tens of billions of dollars on economic development incentives — tax abatements, fee waivers, and direct subsidies — intended to lure private investment. Cities across the nation tout their ability to entice marquee employers, generate buzz with ribbon-cuttings, and implement incentive programs designed to attract private capital. Even small-city councils establish these departments to signal support for economic growth and to boost city revenues. Yet beneath the surface of city branding, press releases, and fiscal sustainability strategies lies a more troubling reality: economic development departments, far from facilitating genuine development and demonstrating the appropriateness of their spending, entrench inefficiency, distort markets, and perpetuate the very obstacles they purport to overcome.” (04/13/26)
https://www.bluegrassinstitute.org/city-created-problems-taxpayer-funded-fixes/