Search This Blog

Sunday, October 16, 2011

Competition Part II

If you read the previous post about government competing with private sector, you should find this consistent with that story.

Recently the city offered a piece of real estate, valued at $750k, to the company next door...for free. The conditions require the technology company to hire 100 employees at an average salary of $40k over the next five years. Currently the company employs less than 60 people. The property is a little used parking lot owned by the city.

Here's the problem; there is an abundance of available, privately owned, commercial space available in the city. It is one thing for a government to offer tax breaks, but to offer the actual product in direct competition with the private sector...well, I can't help but wonder if this is the beginning of the end of the free-market-private-enterprise system as we know it.

Opinions?

No comments:

Post a Comment