Cato Institute’s Tad DeHaven writes here about the sort of “business development” scheme that Bev Perdue gets all excited about — but this is in Indiana, with its supposedly tight-fisted governor Mitch Daniels. (DeHaven worked for Daniels prior to moving to Cato.)
Public Choice theory explains why this sort of thing is so common — visible, immediate benefits for politicians trump the far less visible, long-run costs that the public will bear when these projects don’t pan out. Just think of the Randy Parton Theater.
