For the first time, six fast-growing states in the South — Florida, Texas, Georgia, the Carolinas and Tennessee — are contributing more to the national GDP than the Northeast, with its Washington-New York-Boston corridor, in government figures going back to the 1990s. The switch happened during the pandemic and shows no signs of reverting.
A flood of transplants helped steer about $100 billion in new income to the Southeast in 2020 and 2021 alone, while the Northeast bled out about $60 billion, based on an analysis of recently published Internal Revenue Service data.
Do you think it is a coincidence that Republican controlled states in the South are offering incentives to businesses and Democratic states in the North are not? Political philosophies about the role of government and taxation are behind these policies.
No, that’s an uneducated take on it. It’s standard economics to offer incentives to large companies if you need to increase employment opportunities long term in a region. Look at Ireland post 2008 crash for example.
All it says is these states/places were not seen as advantageous to large companies prior to incentives.