August 26, 2010

Ron Johnson: It's not a subsidy

Or: Johnson Shrugged is my foundational book

UPDATE: RoJo's federal grant-in-choo choo FOB D.C.

Item: Johnson's company got government loan — WKOW 27

"An industrial revenue bond is neither special treatment nor a government payment or subsidy," shrugged Johnson's campaign.

"Typically, interest rates on [industrial revenue bonds] may be from 1.5 to 2.5 percentage points below corporate bonds," said the Wisconsin Department of Commerce.

That interest differential is neither special treatment nor a subsidy? It's clearly a cost savings, generously facilitated by the state, and it stays in its fortunate beneficiary's pants pocket.

"Today Johnson rails against government subsidies, saying they go against the free-enterprise system. 'I'm in business,' Johnson shrugged. 'I have never lobbied for some special treatment or for a government payment.'"
The business can initiate the process by discussing its project with a Department of Commerce Area Development Manager and completing a Prospect Data Sheet. The business should retain the services of bond counsel and its lender to determine the project's feasibility. The business should also meet with representatives of the municipality where the project is to be located.
That's not lobbying? Complete with "bond counsel"?
Federal law defines eligible projects.
There's at least one gummint regulation Ron Johnson has enjoyed.

Good for Ron Johnson. But it's kind of unseemly for a beneficiary of state largesse to be crying about the many evils of state largesse.

After all, what would Ayn Rand say?

3 comments:

Grant said...

it's kind of unseemly

Yes, but from a different perspective a great man is one who doesn't allow shame to drag him down. Crafting a Horatio Alger narrative out of marrying rich and being a Randian welfare prince takes real moxie, man.

John Foust said...

The justifications usually include "this is a way we can reclaim some of those taxes we paid" and "if we don't take it, our competitors will".

Jim Bouman said...

Competitors? I thought "his" company was long the sole-source provider to another company that just happened to belong to his wife's family.