Tax-relief competition between states seeking high-paying industrial jobs threatens to overpay for any conceivable net benefits. In 1993, Alabama paid more than $300 million in highway, rail, sewer, and other infrastructure investments to obtain a $300 million Mercedes plant with 1,500 jobs. From 2006 through 2009, North Carolina built a new runway at the Triad Airport for $130 million and provided job training and tax breaks worth another $142.3 million to obtain a $300 million FedEx hub.

1.) Assess the likely benefits of such a plant or hub and how one should go about analyzing them.

2.) What form might a report to the Industrial Development Commission take? Outline the requisite components.