The Tennessee Valley Authority (TVA) is a federal CORPORATION providing public power services in seven southeastern states. The TVA, created by the U.S. Congress in 1933, was part of President Franklin Roosevelt’s “New Deal” legislation designed to stimulate the U.S. economy out of the GREAT DEPRESSION. Roosevelt asked Congress to create “a corporation clothed with the power of government but possessed of the flexibility and initiative of a private enterprise.” The TVA’s initial goal was to provide flood control, navigation, and electric power to the Tennessee Valley region; their slogan was “TVA, Electricity for All.” Over the years, the TVA has become a major utility provider and was the country’s largest public power company in 1997. The TVA operates 49 dams as well as coal-fired and nuclear power plants. While the TVA no longer receives any federal funding, it was created with public funds and pays tax-equivalent payments in lieu of state and local taxes. The TVA is, as President Roosevelt had intended, both a public and a private enterprise. As such it has the advantages of lower-cost financing for current projects and no debt from construction of initial power plants. It also does not pay taxes on PROFITs, which allows it to produce relatively low-cost electricity. This was and continues to be used as a source of COMPARATIVE ADVANTAGE in the Tennessee Valley area. Critics complain the TVA is such a dominant economic force in the region, its influence cannot be questioned. Competitors complain TVA has unfair economic advantages due to its status as a federal corporation. However, at the time it was created, TVA brought jobs and ECONOMIC DEVELOPMENT to one of the poorest regions of the country.