Argument 237
The following appeared as part of an article in a local Beauville newspaper.
"According to a government report, last year the city of Dillton reduced its corporate tax rate by 15 percent; at the same time, it began offering relocation grants and favorable rates on city utilities to any company that would relocate to Dillton. Within 18 months, two manufacturing companies moved to Dillton, where they employ a total of 300 people. Therefore, the fastest way for Beauville to stimulate economic development and hence reduce unemployment is to provide tax incentives and other financial inducements that encourage private companies to relocate here."
As the author states that Dillton had appealed two manufacturing companies which employed a total of 300 people by reducing the corporate tax rate and offering relocation grants and favorable rates on city utilities, Beauville had better do so in order to reduce unemployment there. Anyway, the article is logically flawed.
First and foremost, the way Dillton decreased its corporate tax and meanwhile provided some favorable rates to the relocating companies needs so much financial support back on their government since taxation plays an important role in the government revenue. While whether the same measures be launched in Beauville would place heavy burdens on their government requires the author offering more proof to draw a conclusion.
Besides, there is no evidence showing that the two manufacturing companies' settle-in has any relationship with Dillton's taken measures. It is entirely possible that the two companies came from unknown fields just noticed and seized the business opportunity derived from their grounds with demanding condition in Dillton. As to Beauville, this was unlikely to happen based on a various of reasons. To begin with, time. The economic environment of the two cities must have changed during the last 18 months. Furthermore, Beauville probably has a high density of individual producing fields with the distinction between it and Dillton. There is no doubt that the new relocating company has to face a rat race, which would turn out to be the competitive inferiority. Hence even if Beauville is able to take measures like Dillton, it does not mean there is going to have any new private companies in. Finally, though some competitive private companies have settled in Beauville, they have to confront the users’ acceptance. Lacking of any proof showing that the inhabitants would not strongly support their local companies, therefore the new would not be welcomed in Beauville. All this leads up to some unsubstantiated reasons to make Beauville follow Dillton.
Finally, neither the author shares figures about the population and the job-waiting in Dillton what would fail to stand for decreasing unemployment rate, nor to Beauville as well. In my opinion, 300 employments is too small to solve the problem of unemployment taken place in Beauville, let alone the unfortunate situation is worse than Dillton. For that reason, 300 employments is totally an utterly inadequate amount.
In order to stimulate economy in Beauville, the author should better either gather all statistics related to the unemployment or consider the measures government is able to executive. As to me, I think the government could assist one or two fields available to appeal some other private companies and therefore they have to offer kinds of occupations in return. In summary, the article is well-presented, but not thoroughly well-reasoned.
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