Lincoln Journal Star: Tax Incentives Need Review
If Nebraska’s business incentives might cost as much as $234,568 for every job created, there should be little question of whether regular, thorough review of the incentives is needed.
After a few decades of wide-open competition among states to lure businesses and jobs, realization seems to be dawning that state elected officials should be better informed about the effectiveness of their tactics.
Some states have begun leading the way toward more regular and rigorous testing of tax incentives, according to the Pew Center on States. In those states, incentive programs have been changed because of research findings.
“When states offer economic development tax incentives, they have less money to spend on education, transportation, health care, and other critical services,” a Pew report said last year. “Conversely, if states do not use incentives or use them well, they may be forgoing opportunities to create jobs and attract new businesses, among other benefits.”
Read the full editorial at journalstar.com.