economists incentives ohio data centers are loser so banning new construction

Ohio data center expansion faces potential regulatory ban via ballot initiative. If passed, new large data center construction would be prohibited, directly impacting AI infrastructure investment in the state. Existing data centers (over 200) are not affected, but future capacity growth is at risk. The mechanism is regulatory: a ban would create scarcity of data center capacity in Ohio, potentially shifting investment to other states. Companies like Microsoft and Google, mentioned in the article, could face higher costs or delays in expanding AI compute capacity in Ohio. The impact is region-specific (Ohio, US) but could have second-order effects on AI infrastructure supply chain if other states follow.