Meaning: This quote by Bill Janklow, a former politician, reflects a common practice in economic development and government relations known as "incentive-based economic development." In this case, Janklow is referring to a deal he made with Citibank to entice the financial institution to bring 400 jobs to South Dakota. The essence of the quote lies in the exchange between the state and the corporation: South Dakota would change its laws to make the state more appealing to Citibank, and in return, the company would commit to creating a certain number of jobs in the state.

Incentive-based economic development is a strategy employed by governments at various levels to attract and retain businesses within their jurisdictions. It involves offering incentives such as tax breaks, grants, subsidies, and other benefits to encourage companies to invest in a particular area. These incentives can take the form of direct financial assistance, infrastructure improvements, workforce training programs, or changes in regulations, as Janklow referenced in his quote.

The practice of offering incentives to attract businesses is grounded in the belief that the resulting economic activity and job creation will ultimately benefit the community and the region as a whole. However, it is not without controversy and criticism. Proponents argue that it is a necessary tool for economic growth and job creation, especially in areas that may be struggling economically. Critics, on the other hand, argue that it can lead to a "race to the bottom," with states and municipalities offering increasingly generous incentives to corporations, often at the expense of taxpayers and essential public services.

In the case of the quote, the specific incentive offered to Citibank was a change in South Dakota's laws, presumably to make the state more attractive for the company to conduct its business operations. This could have involved changes to banking regulations, tax laws, or other business-related statutes. The promise of 400 jobs in return for this legislative change demonstrates the significant impact that such incentives can have on a state's economy and employment landscape.

It is worth noting that while these incentives can bring economic benefits, they also raise important ethical and economic questions. For example, are these incentives fair to all businesses operating in the state? Do they create an unlevel playing field, giving certain companies an advantage over others? Additionally, there is the issue of the long-term sustainability of such incentives. Will the promised jobs materialize, and will they be maintained over time? What will be the cost to the state in terms of lost tax revenue or other public resources?

In conclusion, Bill Janklow's quote captures the essence of incentive-based economic development, showcasing the give-and-take negotiation between government and business in the pursuit of economic growth. It serves as a reminder of the complexities and trade-offs involved in these deals and raises important considerations about the broader impact of such incentives on the economy and society.

Overall, incentive-based economic development is a multifaceted strategy that requires careful consideration of its potential benefits and drawbacks, as well as a thoughtful approach to balancing the interests of businesses, government, and the public.