Fool for the City

Breathing all the clean air
Sitting in the sun
When I get my train fare
I'll get up and run
--Foghat

Yesterday Amazon (AMZN) announced that it was trashing plans to build a second headquarters (HQ2) facility in NYC. Leftist politicians immediately rejoiced, proclaiming that they had won a great victory against a corporate behemoth.

This is damn foolish. Capital costs alone for the facility were estimated at $5 billion, and the company planned to employ tens of thousands at the site--most of them in high paying professional positions. The multiplier effect on the local economy of such a project is head spinning.

Rather than blaming Florida for stealing New York's population, possibly @NYGovCuomo could adopt policies that gave New Yorkers a reason to stay in the state. More regulations, more taxes, and even more gov spending haven't apparently made NY a more attractive place to live. https://t.co/zDWQ6FSFFj

— John R Lott Jr. (@JohnRLottJr) February 15, 2019

AMZN joins the unfortunate exodus from New York's increasingly hostile environment. At some point, New York politicians will realize that they are driving capital, and prosperity, away from their state.

Consequently, their cheers will turn to tears.