One of the most insidious aspects of “Corporate Welfare”:
You start a business, invest time and energy and risk your own money to make it a success.
Then the government comes alone and gives someone else a tax break to start a new company doing the same thing. They promise it will ‘create jobs’
The new company gets tax breaks you didn’t get. The owner did not need to ‘risk’ anything- it was a known successful product. (thanks to you). They get up and running not having made any mistakes because they learned from your company.
The government congratulates itself on ‘creating jobs’, in the meantime your company is failing because they are undercutting your prices. You have to close, and your employees get laid off. They buy everything from you at bargain prices, and the politicians say they can’t be responsible for any under-capitalized businesses.
The new company owner (who is a good friend of someone in government who helped pass the original funding) gives a big donation to the politicians.
So, the old company goes out of business, a political crony gets a successful company at no risk, the politicians get big donations, and the original company founder goes broke.
THAT IS WHAT IS WRONG WITH GOVERNMENT INTERFERING IN ANY WAY WITH BUSINESS.
We should avoid anything that looks like a subsidy.
Now, actions that help businesses and people across the board, that we can and should do. Lowering business and corporate taxes, reducing regulations, reducing government control, that helps everyone (especially as you remember that “corporate taxes” are paid in the end by customers).
I think we are going to see a significant expansion of manufacturing without any subsidies.