Forty-nine states and the District of Columbia have some sort of tax-increment financing program incentivizing companies to do things they otherwise would not do. The concept has merits, but the way it is applied in Iowa and elsewhere has problems. In fact, many local policymakers hate it, but they feel powerless to stop offering these giveaways. In Iowa, the […]
State and local politicians all over the country seem to love to dole out tax dollars to big businesses in an effort to get them to locate in their area. While they routinely argue that those subsidies will benefit the local economy, economic research does not support that conclusion. State and local economic development incentives may seem to help […]
Iowa’s massive tax credit programs come at a very real and harmful cost to its ability to provide basic public services. Any meaningful discussion of how much Iowa’s state and local politicians are handing out in tax credits must include the context of what governments could have accomplished with the revenues they won’t be receiving thanks to those tax breaks, […]