The Scale of Economic Development Spending

States and localities collectively spend approximately $70 billion annually on economic development programs, which can be compared to the combined budgets of ten smaller states. This staggering amount often goes unnoticed by the public, as it is frequently framed as a necessary investment for job creation. However, many voters do not consider the implications of this spending, leading to a cycle where politicians benefit from promoting these programs while downplaying their costs. The enormity of this expenditure raises critical questions about its effectiveness, especially when juxtaposed with the social services that could have been funded instead.