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Political Economy of Targeted Economic Development Incentives, The

Author

Listed:
  • Matthew Mitchell

    (George Mason University)

  • Daniel Sutter

    (Troy University)

  • Scott Eastman

    (George Mason University)

Abstract

The use of targeted economic development incentives—or selective financial and regulatory incentives to encourage particular firms to relocate or expand—has proliferated in recent decades. However, the relationship between these targeted incentives and another approach to economic development, economic freedom, has not been studied. This article reviews several new studies assessing this relationship, and provides a review of academic literature evaluating how targeted incentives affect communities as a whole, including those firms and industries not receiving subsidies from government. It concludes by discussing areas for future work.

Suggested Citation

  • Matthew Mitchell & Daniel Sutter & Scott Eastman, 2018. "Political Economy of Targeted Economic Development Incentives, The," The Review of Regional Studies, Southern Regional Science Association, vol. 48(1), pages 1-9, Spring.
    • Handle: RePEc:rre:publsh:v48:y:2018:i:1:p:1-9
    DOI: 10.52324/001c.7936
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    Citations

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    Cited by:

    1. 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.
    2. 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.
    3. Jia Wang & Weici Yuan & Cynthia Rogers, 2020. "Economic Development Incentives: What Can We Learn From Policy Regime Changes?," Economic Development Quarterly, , vol. 34(2), pages 116-125, May.

    More about this item

    Keywords

    economic development incentives; tax increment financing; business subsidies; local economic development; deal-closing funds; targeted economic development incentives; economic freedom; subsidies; economic growth;
    All these keywords.

    JEL classification:

    • F43 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Economic Growth of Open Economies
    • H11 - Public Economics - - Structure and Scope of Government - - - Structure and Scope of Government
    • H25 - Public Economics - - Taxation, Subsidies, and Revenue - - - Business Taxes and Subsidies

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