IDEAS home Printed from https://ideas.repec.org/a/cog/urbpla/v5y2020i3p392-402.html
   My bibliography  Save this article

Techs and the Cities: A New Economic Development Paradigm?

Author

Listed:
  • Gary Sands

    (Department of Urban Studies and Planning, Wayne State University, USA)

  • Pierre Filion

    (Faculty of Environment, University of Waterloo, Canada)

  • Laura A. Reese

    (Urban and Regional Planning, Michigan State University, USA)

Abstract

Large technology firms pose new challenges for local economic development in the 21st century. They are attractive targets for local economic developers because they have the potential of providing permanent, well-paying jobs. This article examines two mega-economic development deals. Amazon’s proposed second headquarters in Queens and Sidewalk Labs’ Quayside proposal for the Toronto waterfront pit large and prosperous Big Tech firms against local governments with healthy economies. Amazon abandoned the New York City site it had chosen, rather than open new negotiations with local officials and citizens. Sidewalk Labs withdrew from the Quayside proposal after two and a half years of negotiation focusing mostly on the size of the proposed development. Although the potential benefits may be substantial, incentivizing Big Tech’s location decisions may be well beyond the means of most cities, especially those with distressed economies.

Suggested Citation

  • Gary Sands & Pierre Filion & Laura A. Reese, 2020. "Techs and the Cities: A New Economic Development Paradigm?," Urban Planning, Cogitatio Press, vol. 5(3), pages 392-402.
    • Handle: RePEc:cog:urbpla:v:5:y:2020:i:3:p:392-402
    as

    Download full text from publisher

    File URL: https://www.cogitatiopress.com/urbanplanning/article/view/2986
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Timothy J. Bartik, 2019. "Making Sense of Incentives: Taming Business Incentives to Promote Prosperity," Books from Upjohn Press, W.E. Upjohn Institute for Employment Research, number msi, November.
    2. Laura A. Reese, 2006. "Do We Really Need Another Typology? Clusters of Local Economic Development Strategies," Economic Development Quarterly, , vol. 20(4), pages 368-376, November.
    3. René Belderbos & Helen S. Du & Anthony Goerzen, 2017. "Global Cities, Connectivity, and the Location Choice of MNC Regional Headquarters," Journal of Management Studies, Wiley Blackwell, vol. 54(8), pages 1271-1302, December.
    4. Andrés Rodríguez-Pose & Callum Wilkie, 2016. "Context and the role of policies to attract foreign R&D in Europe," European Planning Studies, Taylor & Francis Journals, vol. 24(11), pages 2014-2035, November.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Yuho Shimizu & Shin Osaki & Takaaki Hashimoto & Kaori Karasawa, 2021. "The Social Acceptance of Collecting and Utilizing Personal Information in Smart Cities," Sustainability, MDPI, vol. 13(16), pages 1-10, August.
    2. Evan Cleave & Godwin Arku, 2020. "Planning for Local Economic Development: Research into Policymaking and Practice," Urban Planning, Cogitatio Press, vol. 5(3), pages 319-322.
    3. Yuho Shimizu & Shin Osaki & Takaaki Hashimoto & Kaori Karasawa, 2021. "How Do People View Various Kinds of Smart City Services? Focus on the Acquisition of Personal Information," Sustainability, MDPI, vol. 13(19), pages 1-10, October.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Anthony Goerzen & Michael Sartor & Kristin Brandl & Stacey Fitzsimmons, 2023. "Widening the lens: Multilevel drivers of firm corporate social performance," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 54(1), pages 42-60, February.
    2. Belderbos, René & Du, Helen S. & Slangen, Arjen, 2020. "When do firms choose global cities as foreign investment locations within countries? The roles of contextual distance, knowledge intensity, and target-country experience," Journal of World Business, Elsevier, vol. 55(1).
    3. Craig W. Carpenter & Anders Van Sandt & Rebekka Dudensing & Scott Loveridge, 2022. "Profit Pools and Determinants of Potential County-Level Manufacturing Growth," International Regional Science Review, , vol. 45(2), pages 188-224, March.
    4. Sjoerd Beugelsdijk, 2022. "Capitalizing on the uniqueness of international business: Towards a theory of place, space, and organization," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 53(9), pages 2050-2067, December.
    5. Alfried Braumann, 2020. "Amazon’s HQ2 Site Selection Criteria: The New ‘Gold Standard’ in FDI Decision-Making," Urban Planning, Cogitatio Press, vol. 5(3), pages 403-417.
    6. Davide Castellani & Katiuscia Lavoratori, 2020. "The lab and the plant: Offshore R&D and co-location with production activities," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 51(1), pages 121-137, February.
    7. José Sánchez & Haifeng Qian, 2024. "Come Together, But How? Zooming Into Economic Development Collaboration Between State and Local Governments, and Nongovernmental Organizations," Economic Development Quarterly, , vol. 38(2), pages 113-121, May.
    8. Ana Botella Andreu & Katiuscia Lavoratori, 2022. "History Matters: Colonial-Based Connectivity and Foreign Headquarter Location Choice," Management International Review, Springer, vol. 62(5), pages 711-739, October.
    9. Brem, Alexander & Nylund, Petra & Viardot, Eric, 2020. "The impact of the 2008 financial crisis on innovation: A dominant design perspective," Journal of Business Research, Elsevier, vol. 110(C), pages 360-369.
    10. Markus Hesse & Michael Rafferty, 2020. "Relational Cities Disrupted: Reflections on the Particular Geographies of COVID‐19 For Small But Global Urbanisation in Dublin, Ireland, and Luxembourg City, Luxembourg," Tijdschrift voor Economische en Sociale Geografie, Royal Dutch Geographical Society KNAG, vol. 111(3), pages 451-464, July.
    11. Russell S. Sobel & Gary A. Wagner & Peter T. Calcagno, 2024. "The political economy of state economic development incentives: A case of rent extraction," Economics and Politics, Wiley Blackwell, vol. 36(1), pages 104-151, March.
    12. Christine Côté & Saul Estrin & Daniel Shapiro, 0. "Expanding the international trade and investment policy agenda: The role of cities and services," Journal of International Business Policy, Palgrave Macmillan, vol. 0, pages 1-25.
    13. Dmitry B. Rokhlin & Gennady A. Ougolnitsky, 2024. "A Simple Model for Targeting Industrial Investments with Subsidies and Taxes," Mathematics, MDPI, vol. 12(6), pages 1-18, March.
    14. Davide Castellani & Katiuscia Lavoratori, 2017. "Location of R&D abroad. An analysis on Global Cities," John H Dunning Centre for International Business Discussion Papers jhd-dp2017-03, Henley Business School, University of Reading.
    15. Thomas Anderson, 2020. "Metropolitan Statistical Area Location Choice by Foreign Direct Investors in the United States," BEA Working Papers 0178, Bureau of Economic Analysis.
    16. James Alm & Trey Dronyk-Trosper & Sean Larkin, 2021. "In the land of OZ: designating opportunity zones," Public Choice, Springer, vol. 188(3), pages 503-523, September.
    17. Phillip C. Nell & Philip Kappen & Tomi Laamanen, 2017. "Reconceptualising Hierarchies: The Disaggregation and Dispersion of Headquarters in Multinational Corporations," Journal of Management Studies, Wiley Blackwell, vol. 54(8), pages 1121-1143, December.
    18. Colin Davis & Ken-ichi Hashimoto, 2023. "R&D Subsidies, Innovation Location, and Productivity Growth," ISER Discussion Paper 1226, Institute of Social and Economic Research, Osaka University.
    19. Laura REESE, 2012. "CREATIVE CLASS OR PROCREATIVE CLASS: IMPLICATIONS FOR LOCAL ECONoMIC DEVELOPMENT POLICY," Theoretical and Empirical Researches in Urban Management, Research Centre in Public Administration and Public Services, Bucharest, Romania, vol. 7(1), pages 5-26, February.
    20. Christine Côté & Saul Estrin & Daniel Shapiro, 2020. "Expanding the international trade and investment policy agenda: The role of cities and services," Journal of International Business Policy, Palgrave Macmillan, vol. 3(3), pages 199-223, September.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:cog:urbpla:v:5:y:2020:i:3:p:392-402. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: António Vieira (email available below). General contact details of provider: https://www.cogitatiopress.com/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.