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Keller @ Large: Big Win, Big Questions

BOSTON (CBS) - That popping sound you heard all over Boston Wednesday? Champagne corks as the political establishment celebrated the news that General Electric will move its corporate headquarters from Fairfield, Connecticut to Boston.

"This is one of the biggest accomplishments in the history of our city," gushed Mayor Marty Walsh.

"A huge win for Massachusetts," echoed Gov. Charlie Baker.

And given our state's burdensome past reputation as Taxachusetts, a place corporations tend to flee, not move to, it's no wonder the rhetorical bubbly was flowing.

But to Cornelius Hurley, director of the Boston University Center for Finance, Law & Policy, GE's move was "more of a challenge than a reason to roll out the Duck Boats."

No question, GE's move is a boost to our image as a good place to do business. But the news also raises some questions, for instance: what assurance do we have that new jobs will be created by GE here?

"None whatsoever," says Hurley, nor that new jobs would go to local workers, if they lack the high-tech skills GE's businesses demand. "It's all about jobs in the final analysis, and if the students coming out of our public school system are not able to get into BU or Harvard or Northeastern, then that would be the missed opportunity."

Mayor Walsh told WBZ: "What GE will do is attract other companies to come into our city, and we'll be able to get students and people we need to retrain in jobs."

OK, but that costs money. Connecticut lost GE in part because they raised corporate taxes. Will that fact forestall future tax hikes here by sending a message to Beacon Hill that you'd better lay off future tax hikes?

"I don't know if it sends a message to Beacon Hill," said Walsh. "I just think people need to understand the importance of business."

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