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Kvaerner, a Norwegian multinational, recently began operations here in response to a state subsidy of over $400 million, which was intended to create shipyard jobs in Philadelphia. Is this a wise or effective way to create jobs? The local CEO of Kvaerner's Philadelphia operations was quoted on talk radio as saying that they would consider moving after the five year subsidy period was over. It would seem that Kvaerner is "shopping coupons" like a housewife deciding which store offers the best deal on hamburger. A better way to create jobs is to encourage small business. Despite Ridge's rhetoric, Pennsylvania's business climate remains poor. Business taxes are too high, there are too many regulations, and small business - which creates most of the jobs and which remains in the community strengthening the local economy - is ignored. Tom Ridge's approach is "carrot and stick" - a carrot for multinationals and a stick for small business. The entire tax system must be dismantled and rebuilt if Pennsylvania is to create enough jobs to employ our children and preserve prosperity. |