>I much prefer the statebred model where you give them exra purse money for winning or finishing itm vs. open company. That encourages the statebred breeders to strive for better horses, instead of rewarding mediocrity. <
Anything that gives breeders (and owners) an incentive will result in more statebreds. IMO, there is no real reason to have a successful NY breeding industry over and above what the participants can accomplish on their own. The quality of the NY horses might wind up being lower without incentives, but the overall quality of racing in NY would be higher.