Don’t let politics interfere with our money grab!

Surprise, surprise, another player in the local film industry wants to public to stop scrutinizing the generous subsidies given to it. That’s the message from Dana Arnold, CEO at Albuquerque Studios. I find it rich that the head of a company that is propped up by about $50 million annually from the taxpayer would say “stop the politics.” This is a well-connected, politically-savvy industry that has extracted subsidies from dozens of states across the nation. That’s as bad as the “Get the Government out of my Medicare” message that surfaced at a few tea party gatherings.

Specifically, the author argues that taxpayer subsidies create jobs for New Mexicans. Of course, spending $50 million or more annually (or, better yet, returning that money to taxpayers) would generate jobs and, because individual businesses and entrepreneurs are better at allocating scarce resources than government, New Mexico would see greater prosperity by allowing average New Mexicans to have their money back.

Rather than continuing to subsidize this (or any other industry), New Mexico policymakers should wean them off subsidies and instead focus on adopting low, fair, and transparent tax policies along with rules and regulations that increase fairness and opportunities for businesses and entrepreneurs. In terms of specifics, I think New Mexico should reduce the percentage subsidy by one percentage point annually, starting at 25%, down to 24%, then to 23%, and so on. That will free up limited resources to a larger number of projects in the short-term and will ultimately lead to this industry-specific subsidy program being phased out.

Print Friendly, PDF & Email

3 Replies to “Don’t let politics interfere with our money grab!”

  1. It’s sound advice for both sides of the aisle…wean these groups off of their subsidies, and allow the free markets to leverage these same resources, along their most efficient pathways, within a less burdensome and more transparent system of taxation and regulation for everyone in NM.

    Subsidies are a political, economic, social and exponential LOSER, regardless of who re-distributes them.

    These kinds of subsidies can only represent the unnatural picking of winners and losers, and the untenable position of government’s natural inclination to dictate and control other people’s prosperity. Contempt and resentment are their creation, and failure and blame are their results.

    When government re-distributes the assets of others, it must justify and manipulate its decisions in an attempt to control prices, wage rates, unemployment, employment, duration of employment or unemployment, training, etc. And by doing so, it is only the fittest and most efficient potential players and pathways that get blocked, discouraged and ultimately destroyed before they can even get started or branch out to the greater benefit of the many.

  2. I am always amazed at all levels of Government that they feel they can take money from you and me and simply hand it to someone else! If we did the same thing, regardless of how needy the reciepent might be, we would be jailed as thieves!
    I doubt this is what our framers had in mind when they put in the “provide for the general welfare” clause in our Constitution!

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.