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Jose wrote:
Costs [of public infrastructure] are only half the story. Benefits are the other half. There are invisible benefits to the system (any system) which also need to be figured in. Such as? I'm not going to answer specifically, because I can't prove them. They are hidden - that's what hidden means. But consider the following. Where I live we recently discussed (with great heat) attracting corporations to move into our town so that we would get a bigger tax base. The more taxes paid by corporations, the less we'd have to pay in property tax. The arithmetic is quite simple and very compelling. It's also wrong. However, while we can all speculate as to why, it is virtually impossible to prove. The only verifiable numbers are the tax rolls, and they clearly show that corporations would pay tax that would otherwise have to be paid by homeowners. Nonetheless, looking at neighboring towns and graphing the mil rate (homeowner tax rate) against the corporate percentage, those towns with the highest corprorate presence have the highest mil rate. They have the highest traffic density, the worst schools (schools are supported by corporate and property tax), the highest prices in the stores... stuff like that. The reason (I speculate) has to do with the impact of the corporations on daily life - more cars parking, more roads to be built, slower speeds, everything takes longer, wealthier people move out... things like this that don't show up on the balance sheet. Those costs aren't hidden at all. It is fairly easy, admittedly very tedious though, to figure them out. And, as you said, it is easy to simply look at a town that looks like your town would look after you attract large corporations. I don't see much hidden here. Large companies need lots of workers, better fire fighting equipment, hazardous waste response teams, etc. The cost of these is pretty easy to figure out and, as you say, tends to offset the taxes that the corporation pays. I have no children, but it benefits me to have a good school system. I'll leave you to figure out why (and it has nothing to do with my screen name). Therefore, there is a benefit to non-users of the school system. If you are benefiting, then then you are a user of the system and should help pay for it. :-) The benefits to reliable mail service, reliable transportation (air and otherwise), reliable telecommunications, extend to people who walk to the store, don't have a phone, and burn all their mail. It means that when I walk to the store, they will have what I want. OK, that makes me an indirect user, but there are lots of indirect users of infrastructure that are not tracked, but benefit from it. Yep, same thing. You are still using the system, albeit it somewhat indirectly. We all benefit from our water system (unusual in the world in that even our wash water is potable) because it reduces disease, even if I don't use water from the system. It is not just the people with the tap that benefit. Street lighting could be seen as benefitting the drivers, and so should be paid by the drivers. However in reducing accidents it also reduces my health insurance premiums, and it reduces robberies to boot. These are "invisible" benefits which accrue to non-drivers. They aren't invisible. It isn't that hard to compare crime rates in areas with street lights and those without. It's little things like this that add up all over the place, just like little costs also add up all over the place, that make a strict "user pay" accounting problematic. Yes, I agree it would be an accounting nightmare. Matt |
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