Looking at a headline today and I'm reminded of Yogi Berra's

statement. The headline was about Amazon's decision to Not do their place in New York. Who cares about the reasons. That will be debated for a bit.

What I thought of was this: after they announced it a few months ago, prices on real estate around the place went way up as did sales with SPECULATION!

Now we are reminded why they call it speculation. For sure, a bunch of people are going to lose a bunch of money.

Wow, I heard about them backing out--- I had completely forgotten about the crazy real estate speculation that went along with it.

Interesting to see the diverse perspectives on the change-of-plans.

On the one hand---

“Amazon cancels #NYC plan for #HQ2 after refusing to listen to the voices of working families across New York. Every American should be outraged by the blind greed of JeffBezos on display today,” the United Food and Commercial Workers union tweeted.

and on the other hand--

"AOC got her wish...25,000 potential new jobs and $27.5 billion in tax revenue that goes with them are leaving her district,” in a reference to newly elected U.S. Representative Alexandria Ocasio-Cortez, who on Twitter lauded the decision as a victory over “Amazon’s corporate greed, its worker exploitation, and the power of the richest man in the world.”

and over there--

"The New York Building Trades, an umbrella organization of affiliates representing 100,000 New York construction members, saw things differently: “Politics and pandering have won out over a once-in-a-generation investment in New York City’s economy, bringing with it tens of thousands of solid middle class jobs.”

and over this way--

"Cuomo predicted that Amazon would hire 40,000 workers within 25 years and that the city would reap as much as $27.5 billion in tax revenue—a great return on a $3 billion enticement. They had won the game, “doing what mayors and governors have done for time immemorial, which is to get companies to locate in their region,” says Margaret O’Mara, a professor at the University of Washington who has studied the history of Silicon Valley and other technology hubs."

and over that way--

"Polls showed strong support for Amazon in Long Island City. Residents backed the deal 58 percent to 35 percent, according to a poll conducted in early February by Siena College. But opponents had leverage: The subsidy package, or part of it, required the authorization of the state’s three-member Public Authorities Control Board; a major critic of the project, Queens State Senator Michael Gianaris, was nominated to the board. Critics were also raising issues, emphatically, on TV and online, that Amazon would rather not address, such as the company’s opposition to unions in its fulfillment centers and its sale of facial recognition technology to government agencies like ICE."

Richard,

Saw that - WOW!

I follow Scott Galloway of L2 on YouTube. He is a quick witted business analyst that explains how Amazon is killing jobs, not paying taxes (2 years now on billion$$ of profit), killing local municipalities a stores closed (no local tax revenue to pay teachers and firefighters) and when Amazon makes ANY announcement it sends shivers down corporate America - stocks plunge, killing off companies like JCPenny, Sears, grocery, pharmacies...

Scott predicted NYC and/or DC because Bezos has homes there and wants to be close to lawmakers.

*I* do not believe this was "on second thought" decision. *I* think this was an amazingly clever trick to "push" more negotiations and get all those other cities to bow down and give concessions which can be used in the future as Amazon expands. Everyone slobbering over Amazon.

BRAD

PS Talk about gaining POWER!!

Thanks, Richard, for the post, and Brad, I'm glad that you found the analyst's channel who seems to "get it." Amazon will indeed just turn to plan B or C of finding another headquarter locale with folks who will trip over themselves to be first in line with tax incentives, perks, and more. Let the games begin.

Just read more about it.

MY take: Amazon's statement said they did not like the new political leaders in NYC area so they showed that Amazon has more power than the politicians.

All other politicians will now know - Amazon is more powerful to a municipality than the politicians.

Talk about CLOUT!