Jamie Dimon, CEO of JPMorgan Chase, has given a dire warning that if anti business policies that force businesses out of big cities are not soon reversed, the United States will face an economic catastrophe akin to that of Europe.
"In 30 years, if we don't fix these things, we are going the way of Europe," Dimon stated. He was giving a speech in Miami at the American Business Forum.
He also discussed the continent's declining GDP as an example of what occurs when governments use excessive taxing and regulation to drive out firms.
The billionaire investor has cautioned US states and localities to take immediate action to maintain their competitiveness or risk losing companies to areas with more growth friendly regulations.
According to the 69 year old banking chief, nations, states, and cities are all vying for investment, and those who foster an unfavorable economic environment will ultimately lose out.
His remarks were made as Zohran Mamdani, the recently elected mayor of New York, gets ready to enact a progressive platform that includes more social services and taxes on the wealthy.
He rejected the mayor elect's campaign pledges of free daycare and buses paid for by taxing corporations and affluent citizens, without specifically mentioning Mamdani.
Jamie Dimon's comments, which warned that the left wing pol's tax and spend agenda could "backfire" and force large taxpayers and corporations out of the city, were interpreted as a subtle jab at "anti business" Zohran Mamdani.
He told a crowd at the American Business Forum, a meeting supported by Saudi Arabia in Miami, "This idea of somehow being anti business is going to help average American citizens, even the lower paid."
"I disagree with the idea." The Wall Street titan cautioned that "beating up business as a way to fix things" crime, education, or living expenses, for example could reduce the city's revenue base if businesses and financiers move to states with lower tax rates.
Jamie Dimon cautioned that when businesses shift to more favorable locations, countries that adopt unfavourable business climates could suffer dire consequences.
"Everyone has to compete between countries, between states, and between cities," he declared during the summit supported by Saudi Arabia.
A bunch of these states that are driving business out it will backfire." He cited Texas and Florida as examples of states that draw businesses away from high-tax areas like New York.
"A lot of those cities do things in the name of good, which create bad," Dimon stated. "All of these bad policies, in my view, usually hurt the lower paid people more."
In order to prevent economic loss, Dimon also pushed Democrat led towns to reduce onerous rules, which he referred to as "blue tape."
He claimed that anti business measures do not benefit the average American and rejected concepts like free buses and daycare paid for by higher taxes on corporations and rich citizens.
Dimon claimed to have left the mayor elect a message and advised him to speak with Detroit Mayor Mike Duggan, who used commercial partnerships to resuscitate his bankrupt city.
A spokesperson for JPMorgan said Dimon "simply reiterated his long held belief that government, business, community leaders and others need to collaborate on executing sensible policy."
