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Local Economic Development in Michigan: A Reliance on the Supply Side

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  • Laura A. Reese

    (Eastern Michigan University)

Abstract

Recent research on local economic development policies suggests that the types of techniques employed by cities are changing as they move into the 1990s. Specifically, Eisinger posits that cities and states are increasingly moving to embrace demand-rather than supply-side economic development incentives as questions over the efficacy of the latter mount. Cities in a "rust belt" state such as Michigan do not appear to be moving in that direction and still rely heavily on traditional supply-side inducements such as tax incentives, infrastructure investment, and marketing strategies. In the face of numerous questions about the effectiveness of supply-side incentives and the promise suggested by demand-side activities, it is a matter of concern that cities appear to continue to widely embrace such supply-side initiatives.

Suggested Citation

  • Laura A. Reese, 1992. "Local Economic Development in Michigan: A Reliance on the Supply Side," Economic Development Quarterly, , vol. 6(4), pages 383-393, November.
    • Handle: RePEc:sae:ecdequ:v:6:y:1992:i:4:p:383-393
    DOI: 10.1177/089124249200600404
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