Business
Communist China Learns Capitalism From USA Government Subsidies
November 23, 2011 
In this modern day of Communist China leading the world in capitalist business ventures funded by U.S. Government taxpayers, we are not surprised to learn of Chinese plans to seek cheap labor in Idaho.
The latest scheme is an electric BUS FACTORY to be built in the Treasure Valley.
GUARDIAN GROWTHOPHOBES caution the enthusiastic Chamber of Commerce cheerleaders to tread lightly. The buzz often preceeds questionable public expenses–and failure.
Yes, we have a work force nearly 10% unemployed, but big employers like Albertson, HP, and Micron can dump a lot of workers and their families on society when their business wanes or management leaves town. Claims of a great work force, lifestyle, education opportunities, energy resources, and proximity to markets ring hollow to realists. Most often businesses come here based on cheap labor, cheap power, and how much taxpayer money they can get.
Over the years we have seen the likes of Tamarack and the tennis star fail to produce on a ski resort and hotel. No surprise when the GM Saturn plant didn’t get built at Kellogg.
Lockheed tried to convince the government Idaho Falls was a perfect location for a space station launch site because it was a mile closer to the moon than Cape Canaveral.
Then there was the clamor to locate the super colliding super conductor at the “ideal location” in the Idaho desert.
The rumor of a Boeing plant in the area of Kuna never gets off the ground, but surfaces periodically.
Team Dave had a gas-fired electricity plant all but pumping volts near the airport along with a massive train-truck-plane shipping facility. They also were touting solar panels providing covered parking at the airport remote parking lot, but now seek another parking ramp. So far all have been abandoned or curtailed.
Meanwhile the Communist Chinese are taking advantage of local and US Government subsidies for energy projects like the Hoku solar panel plant at Pocatello and now a factory to build buses. This in addition to whatever will or will not happen with the “research park” idea near the airport.
In short, we GROWTHOPHOBES welcome any business venture willing to pay a fair wage, build its own facilities, and pay taxes like everyone else. If they can’t do that, perhaps Communist China has more to offer.
For us there is just something missing when China finds it more profitable to build something in Idaho than in their homeland.
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Comments & Discussion
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Nov 24, 2011, 9:52 am
Not only are we a debtor nation to China now we are underwriting their efforts to build buses? And so goes the capitalist free market to the subsidized Chinese Communists.
We have a do nothing congress held hostage by a fringe group of “bigs” who have limited congressional elected people to negotiate in good faith. Shame on Grover Norquist and those who have signed his pledge.
Nov 24, 2011, 11:38 am
So, did anyone check to see if this bus is even a viable idea? Seems to me it would be a step back from the CNG buses in use all over the country. Kind of like the Chevy Volt and the solar panel company recently in the news.
Tax money sinkholes don’t bother government spenders because their friends are the middlemen who get the only take. We the people need to wise up and put a stop to this all to common maneuver.
I recognize that large agencies like NASA are needed to give new technologies a boost into marketable products. But small budget States and municipalities have no business acting as venture capitalists for unproven ideas.
Nov 24, 2011, 11:40 pm
“…and pay taxes like everyone else…”
It’s a global economy and the US has one of the very highest corporate tax rates. To pay taxes like everyone else in the world, requires a tax break.
If the US or Idaho want to compete in a global economy for jobs, we will have to match the global rate for taxes.
A one-off deal isn’t as appealing as an overall lowering of the corporate tax rate (per Simpson-Bowles) but I’ll support it, if it is the only method available to adjust to world rates.
Nov 27, 2011, 12:37 am
Unless I missed something in the original article, I did not see any thing about subsidies for this bus factory. Do they exist? Probably, but they seem hard to talk about without facts.
As pointed out, this is just a pie in the sky dream until actual buildings are built. The local politicians always jump on the bandwagon fast.
EDITOR NOTE– “No extravagant or big promises were made to this company from the Valley or the state. We will make sure that Zonda gets what it deserves in terms of workforce training.”
This is code for payments to a company for each job they provide.
Nov 28, 2011, 5:35 pm
Wow, that’s an impressive list of failures the Guardian has listed! Any one of them would be a great reason to turn away a proposal to build a Chinese bus plant in Idaho. Taken together, they are a strong argument against any kind of economic development – how could anyone argue with that? Plus, we all know the Chinese are hemorrhaging jobs to America.
Only on the Guardian would a proposal to bring high-wage manufacturing jobs be viewed as a bad thing. Unless the Guardian has some specific information, the drumbeat about “payments to a company for each job they provide” doesn’t add up to much. It occurs to me the Guardian may earn too much of his living out-of-state to be much concerned with jobs in-state.
I earn virtually all of my money in-state and I am very vested in the economic success of this place.
EDITOR NOTE–All sarcasm aside–if that’s possible. The real issue is not a bus plant, but whether all the claims are really legit. Numerous editorials in Idaho papers have tossed in the towel and just accept that states are all “competing,” apparently no longer “united.” Also, you need to take the global approach and applaud the GUARDIAN editor for being a net exporter of product. I have yet to work for any clients being investigated by the feds, politicos, or local governments.