After the Detroit News ran a column promoting business tax credits in Michigan, the CEA's John Mozena responded a letter to the editor pointing out the fundamental flaw in the original column's argument: Howes writes that "incentives are built on a crucial assumption: that new jobs create new tax revenue." However, that's not the truly … Continue reading Detroit News Letter to the Editor: Tax credits don’t change business realities
There are a lot of things states do in the name of "economic development that don't make much sense. But out of all the bad deals out there, there's three popular kinds of subsidized project that are especially bad for the communities that make them: Stadiums, data centers and distribution centers. In The Hill, CEA … Continue reading Column in The Hill – States: Stop subsidizing these 3 dumb things
Michigan - where the CEA is headquartered - is considering renewing and expanding a tax credit program known as "Good Jobs for Michigan" that by some estimates is costing taxpayers $40,000 per job. CEA President John C. Mozena attended the Michigan State Senate Economic and Small Business Development Committee hearing at which testimony was being … Continue reading Open Letter to Michigan’s Senate Economic Development Committee on “Good Jobs for Michigan” Tax Incentive Expansion
Michigan-Based Economic Development Policy Group Identified as Free-Market Organization “Punching Above Their Weight,” will Receive Grant Support The Center for Economic Accountability (CEA) has been selected by the Atlas Network as one of ten organizations in the United States that are “punching above their weight” in developing and implementing innovative and scalable efforts to promote … Continue reading The Center for Economic Accountability Named “Smart Bet” for 2020 by Atlas Network
We're often asked what we would recommend for alternative economic development policies to the traditional ineffective and costly incentive-and-subsidy model. Our answer is that while the specifics will vary from state to state and city to city, there's an important common thread: Make your community a good place to live and do business. That's obviously … Continue reading Incentive-free economic development: In Michigan, that means auto insurance reform.