More fake news. New York Times doesn’t understand Opportunity Zones

A New York Times (NYT) reports that President Trump’s tax cuts once again benefited his wealthy friends and not average Americans. (“How a Trump tax break to help poor communities became a windfall for the rich”) It appears that the NYT doesn’t fully understand how business, economics and public policy work together. And this lack of economic literacy produces more fake news.

As part of the tax cut that Congress passed in 2017, special tax treatment was given to certain sections of the country. These sections were mostly inner-city, low-income areas that really needed redevelopment. The goal of these Opportunity Zones (OZ) is to encourage developers to invest in poor neighborhoods. The new development would replace blighted, drug invested and high crime areas.

Opportunity Zones also lead to “new housing, business, and jobs.”

New York Times says Opportunity Zones are a scam.

The New York Times claims the Opportunity Zones are a scam. That wealthy investors are using the Trump tax breaks to build luxury residences for high-income people. There are few new permanent jobs created. There is no low-income housing. The NYT claims that many of Trump’s developer friends are taking advantage of the tax breaks and high real estate prices to earn tens of millions of…