North Carolina Factory Closure Highlights Failure of Special Tax Subsidies

Dell’s decision to close its Winston-Salem North Carolina factory provides one of the most visible examples to date of the failure of state and local tax subsidies as a tool of economic growth.  The subsidy given to Dell to open this factory was valued at over $300 million, and was described by Good Jobs First's Greg LeRoy as one of the highest ratios of subsidy – to – private investment ever received.  Be sure to read this blog post from Good Jobs First for some insights on this important story.  This closure is sure to have a significant impact on the nationwide debate over economic development subsidies.