St. Paul E-Democracy Links
http://www.e-democracy.org/stpaul/links.html
_________________________________________
 
 
Hi All

I have given enough thought to this to write an essay -- if only I could
organize my thoughts and be patient enough to do it.  But I can't.  So I'll just
throw out some thoughts and maybe one or two could advance the discussion.

Public money has a place in encouraging development of businesses that hold the
promise of improving the tax base and the quality of life.  Sorry, Mitch.
Cities compete for prize assets -- like pro sports, large business expansions,
and even promising startups in exciting new fields.  Ya gotta use a carrot
sometimes.

What these examples have in common is that they are uncommon, relatively unique
and in short supply and they are fiercely fought over by cities and states.
They'll locate somewhere else if we don't put together an attractive package.

It is a bit more dicey when government is asked to "bail out" a troubled
business.  Chrysler was a success, for example.  NWA is an arguable success.
The money that Minnesota has pumped and continues to send to the dying iron
range businesses is a failure.

But with the number of jobs at stake, and the odds that the market will continue
to exist for these employers, it makes sense to selectively help when there is
hope of saving the companies.

A small business that has absolutely nothing to offer than what can be found
cheaper and in more abundance all over town, is deep in debt and on the brink of
bankruptcy must be allowed to fail.  $100K or $150K in assistance to a failing
business that is at least $1.5million in debt already is sheer, irresponsible
fiscal madness.

The corner grocery, the neighborhood drugstore, the neighborhood bookstore, auto
repair shop, barber, coffee shop and all the "Mom and Pops" need to have a large
and devoted enough customer base to scrape by, and many still do just fine.

Ruminator books has a loyal clientele, I am told.  But it ain't large enough to
sustain the business.  A meager "band-aid loan" representing a 10% increase in
debt, is unlikely to save Ruminator and is VERY unlikely to be repaid.

An argument that makes me cringe is that "it's not alot of money compared with
blah blah blah."  Everything's relative, folks, and and public help must be
offered based on the size of the enterprise and the likelyhood of success.  It
is simplistic in the extreme to argue that a mere $150K is a drop in the bucket
and is deserved to help a bohemian landmark survive a few more months.

In short, it made alot more sense to invest $65million on the Excel than to toss
$150K to Ruminator books.  I suggest that the owner seek employment and B&N.
The pay and benefits are good, and you can still be a quirky snob.

I'm sure the Ruminator space will quickly be filled with an equally Mac-Grove
oriented shop of some kind, as it is too small to attract a "dreaded" franchise.
So fear not, my birkie-wearing former hippies ;-) The "Character of Mac-Grand
will not be ruined by the departure of Ruminator.

Cheers!

PK

_____________________________________________
NEW ADDRESS FOR LIST:     [EMAIL PROTECTED]

To subscribe, modify subscription, or get your password - visit:
http://www.mnforum.org/mailman/listinfo/stpaul

Archive Address:
   http://www.mnforum.org/mailman/private/stpaul/
_____________________________________________
For state and national discussions see: http://e-democracy.org/discuss.html
For external forums, see: http://e-democracy.org/mninteract

Reply via email to