Michigan Considers Offering Even More Generous Subsidies than New Mexico
New Mexico has come to be known for its extremely generous subsidies for the film industry. In fact, the New Mexico Film Office recently publicized the “fact” that the state’s film industry has generated $1.5 billion for the state economy.
While there is no proof that New Mexico’s generous subsidies are good for the economy, other states like Michigan are hoping to lure films with even more generous subsidies. Of course, neither Michigan nor New Mexico are paragons of economic achievement. In fact, while Michigan’s economy and personal incomes continue to lose ground to states like Alabama, it has a long way to go before it falls to New Mexico’s low level.
While Michigan’s auto industry is likely to continue that State’s economic decline, attracting a relatively small film industry with generous subsidies is not likely to turn things around. After all, it is oil and gas revenues that have given New Mexico a bump in recent years, not the film industry. Hopefully these two economically-struggling states are smart enough not to get involved in a bidding war.