Out of nowhere, Canada became poorer than Alabama. How is that possible?

Posted by its_Caffeine

5 Comments

  1. ScrawnyCheeath on

    Once again, GDP Per capita is not a good measure of living conditions, especially when one country declines to invest in social programs

  2. And yet somehow the people that get really excited about this get real cagey when I tell everyone that California is the aspirational gold standard.

  3. randommathaccount on

    > Whenever a new opportunity emerged, Alabama would layer discounts on property and sales taxes as well as large capital investment tax credits on top of a competitive corporate tax rate. The state also wasn’t shy to add in some cash grants. In other words, Alabama would throw the kitchen sink at new investments, and companies could use the benefits up front, before any revenue was generated.

    > Because of this structure, Alabama often had to borrow money to fund the program. “We weren’t being great stewards to the taxpayers,” says Greg Canfield, the state’s former commerce secretary, who was tasked with fixing the problem. He has since developed something of a cult following in the state for revamping it while also keeping the investment dollars coming.

    I mean apparently part of the answer is siphoning money from the rest of the USA to throw at capital so they move there. The point on how expensive Brampton has gotten thus requiring higher wages for workers is real though.

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