Ama­zon vs. Di­ablo Canyon

The Tribune (SLO) - - Opinion -

In eco­nom­ics, it is called the mul­ti­plier ef­fect — a siz­able busi­ness emerges in a com­mu­nity and other small busi­nesses thrive. Plus, there is in­creased em­ploy­ment to sup­port the pri­mary busi­ness.

So it is in­ter­est­ing to note how Ama­zon’s de­ci­sion to pull out of Long Is­land City, N.Y., has been re­ceived. Pri­mar­ily the out­rage is over the loss of jobs, but also all the sup­port ser­vices and man­u­fac­tur­ers likely to emerge to com­ple­ment Ama­zon.

Not be­ing an econ­o­mist, I am not sure if there is an antonym phrase to the mul­ti­plier ef­fect, like the “di­vider ef­fect.” A good ex­am­ple here ap­pears to be the clo­sure of the Di­ablo Canyon nu­clear power plant. Sim­i­larly, there is the loss of good pay­ing jobs, plus loss of sup­port for col­leges, schools, mu­se­ums, com­mu­nity foun­da­tions and al­liances. Cities in the county will also be im­pacted.

Ob­vi­ously, it is a done deal and too late to say to en­vi­ron­men­tal­ists, politi­cians and the pub­lic at large that they should be care­ful what they wish for, but it might be worth go­ing back to the draw­ing board again to ac­cess the im­pli­ca­tions, es­pe­cially now that PG&E has de­clared bank­ruptcy. – Colin Wig­glesworth, Ar­royo Grande

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