Beleaguered business in and around New York City, still smarting from the smack given them by Hurricane Sandy, are beginning to get relief in the form of government loans and tax breaks. In communities like Red Hook in Brooklyn, the storm surge affected enterprises big and small: The sprawling Fairway Market chain saw the ground floor of its Red Hook market—located in a 19th Century brick warehouse—destroyed by the same wall of water that flooded out the basement of tiny textile-and-stationery boutique Foxy & Winston a few blocks away. Proprietors here and elsewhere in the region do not share Ronald Reagan's attitude toward government help. "The nine most terrifying words in the English language," Reagan once famously quipped, "are 'I'm from the government and I'm here to help.'"

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