Amazon is absolutely on the winning side of its deal with New York, writes the New York Times editorial board. The city will spend $1.5 billion in ways that benefit the tech giant. Whether this major investment will pay off is doubt-worthy. What is clear is that Amazon needed an environment like New York, full of talent, to feed its labor requirements. The rat race it caused among smaller cities to offer subsidies was an attempt to get the best possible deal. New York will see its rents rise as Queens becomes gentrified even faster. Instead, Amazon should have been the one paying up for the vast benefits it is about to receive.
Having Amazon move into town is almost certainly going to be very good for New York, holds James Pethokoukis of The Week. This will create around 25,000 new jobs. New money will flow through the city, creating jobs in many sectors from construction to the service industry. Its tech sector will see even more growth. This effect was best demonstrated when Microsoft moved to Seattle from New Mexico. Huge economic capital moves with companies of this magnitude. Any city should be happy to welcome this. While the company should be held to its promises, this development is a big win for New York City that should be celebrated.