Zohran Mamdani has put forth many bold—and expensive—proposals in his New York City mayoral bid, including childcare for all, government-run grocery stores, and free buses. He's planning to pay for these proposals with various tax hikes, including a large jump in the city's corporate tax rate from 7.5 percent to 11.5 percent. He claims this will bring in $5 billion, and says New York City's economy can "afford to support a stronger public sector."
Unfortunately, raising the corporate tax rate could also hinder the job market, cause corporations to relocate, and decrease long-term government revenue, potentially damaging New York's status as the financial capital of the world.
