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- Title
Manufacturing and Rural Economies in the United States: The Role of Nondurable Producers, Labor Costs and State Taxes.
- Authors
Jelavich, Mark
- Abstract
ABSTRACT. This paper investigates the preferences of manufacturers in deciding whether to locate in metropolitan or nonmetropolitan (rural) areas. Using 1997 state-level data and OLS regression estimation, it was determined that nondurable goods manufacturers prefer rural areas, while durable goods manufacturers are indifferent as to area. However, both sets of manufacturers prefer to locate in larger states. Wage rates are not significant in the regressions, while durable manufacturers appear sensitive to state taxes. Some policy conclusions for local economic developers are derived from these findings.
- Subjects
UNITED States; RURAL development; MANUFACTURED products; NONDURABLE goods; LABOR costs; STATE taxation
- Publication
American Journal of Economics & Sociology, 2001, Vol 60, Issue 1, p101
- ISSN
0002-9246
- Publication type
Article
- DOI
10.1111/1536-7150.00060