If this is what your friends say about you, you have a problem.
Today we turn to the New York Times news analysis of the results of “Start-Up New York,” New York Governor Andrew Cuomo’s signature program to jump start the lagging state economy.
Perhaps you have seen some of the ads. They are all over New York television and are probably appearing on television stations around the nation.
They have cost the state tens of millions of dollars and have produced next-to-no job growth.
The Times reports:
In May 2013, Gov. Andrew M. Cuomo announced a program he promised would “supercharge” the state’s economy and take job creation efforts to a level never seen before. He poured tens of millions of dollars into advertising to push the program, Start-Up New York.
In its first full year of operation, the effort created fewer than 100 jobs.
By now, most people understand that the declining fortunes (and population) of New York State is a function of burdensome taxes and regulations.
Thus, Gov. Cuomo decided to set up a program that offered temporary tax relief to companies that were willing to locate in certain depressed areas of the state.
The Times describes the program:
Start-Up New York was one of Mr. Cuomo’s marquee projects in his first term as governor, born out of his desire to create and keep jobs in New York, among the states with the highest taxes in the country. The program’s launch was steeped in rhetoric, setting expectations high. At one point the governor predicted Start-Up New York would be “the greatest economic savior for upstate New York.”
At a public event in late 2013, one Start-Up New York official said the program had “very ambitious” goals, adding the governor “would like to have up to 10,000 jobs per year added to the program.”
Happily enough, Gov. Cuomo is undeterred by the failure of his signature program:
Mr. Cuomo’s confidence in the program has been unshakable. Since late 2013, the state government has advertised Start-Up New York nationwide, spending $46.9 million to promote it between December 2013 to March 2015, according to Empire State Development Corporation, the government agency that administers the program.
Why has the program failed?
Perhaps because there is more to life than temporary tax cuts.
Perhaps because companies understand that, once moved to New York, they cannot just pick up and leave when their taxes go up.
Perhaps because the no-tax zones do not contain enough skilled workers.
Perhaps because their employees do not want to move to New York State.
Unfortunately, most of the companies that are taking advantage of the problem are in-state.
One understands that Andrew Cuomo has larger ambitions. For now, his track record as governor does not advance them.