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What Should the Federal Government Be Doing About Urban Economic Development?

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The federal government should focus its policies towards economic development on areas in which the federal government has some unique advantages. Federal policy should: (1) discourage financial subsidies to specific large firms by state and local governments; (2) expand the federal role in economic development services in which national action has some special advantages, such as developing information on foreign markets, encouraging large national banks to be more involved in economic development, supporting the development of the "Information Superhighway," and encouraging new technology development; (3) provide modest support for state and local efforts to increase business productivity through technology extension efforts and customized job training programs; (4) encourage more and higher quality evaluation of state and local economic development programs; (5) support experiments that link economic development efforts with hiring the disadvantaged; (6) relax federal regulations, such as regulations on the cleanup of older industrial sites, that impede local economic development.

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  • Timothy J. Bartik, 1994. "What Should the Federal Government Be Doing About Urban Economic Development?," Upjohn Working Papers 94-25, W.E. Upjohn Institute for Employment Research.
    • Handle: RePEc:upj:weupjo:94-25
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    1. Glaeser, Edward L & Hedi D. Kallal & Jose A. Scheinkman & Andrei Shleifer, 1992. "Growth in Cities," Journal of Political Economy, University of Chicago Press, vol. 100(6), pages 1126-1152, December.
      • Edward L. Glaeser & Hedi D. Kallal & Jose A. Scheinkman & Andrei Shleifer, 1991. "Growth in Cities," NBER Working Papers 3787, National Bureau of Economic Research, Inc.
      • Glaeser, Edward Ludwig & Kallal, Hedi D. & Scheinkman, Jose A. & Shleifer, Andrei, 1992. "Growth in Cities," Scholarly Articles 3451309, Harvard University Department of Economics.
    2. repec:bla:econom:v:56:y:1989:i:222:p:225-46 is not listed on IDEAS
    3. Gary Burtless, 1985. "Are Targeted Wage Subsidies Harmful? Evidence from a Wage Voucher Experiment," ILR Review, Cornell University, ILR School, vol. 39(1), pages 105-114, October.
    4. Timothy J. Bartik, 2004. "Economic Development," Book chapters authored by Upjohn Institute researchers, in: J. Richard Aronson & Eli Schwartz (ed.),Managememnt Policies in Local Government Finance, pages 355-390, W.E. Upjohn Institute for Employment Research.
    5. Harry J. Holzer & Richard N. Block & Marcus Cheatham & Jack H. Knott, 1993. "Are Training Subsidies for Firms Effective? The Michigan Experience," ILR Review, Cornell University, ILR School, vol. 46(4), pages 625-636, July.
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    Cited by:

    1. Timothy J. Bartik, 2004. "Incentive Solutions," Upjohn Working Papers 04-99, W.E. Upjohn Institute for Employment Research.
    2. Daniele Bondonio & Robert T. Greenbaum, 2003. "A comparative evaluation of spacially targeted economic revitalization programs in the European Union and the United States," ICER Working Papers 03-2003, ICER - International Centre for Economic Research.
    3. Robert C. Turner & Mark K. Cassell, 2007. "When Do States Pursue Targeted Economic Development Policies? The Adoption and Expansion of State Enterprise Zone Programs," Social Science Quarterly, Southwestern Social Science Association, vol. 88(1), pages 86-103, March.
    4. Randall W. Eberts & George A. Erickcek, 2001. "The Role of Partnerships in Economic Development and Labour Markets in the United States," Book chapters authored by Upjohn Institute researchers, in: Local Partnerships for Better Governance, pages 251-279, W.E. Upjohn Institute for Employment Research.
    5. Daniel Immergluck & Erin Mullen, 1998. "The Intrametropolitan Distribution of Economic Development Financing: An Analysis of SBA 504 Lending Patterns," Economic Development Quarterly, , vol. 12(4), pages 372-384, November.
    6. Elizabeth Currid-Halkett & Kevin Stolarick, 2011. "The Great Divide: Economic Development Theory Versus Practice-A Survey of the Current Landscape," Economic Development Quarterly, , vol. 25(2), pages 143-157, May.
    7. Edward W. Hill, 1998. "Principles for Rethinking the Federal Government's Role in Economic Development," Economic Development Quarterly, , vol. 12(4), pages 299-312, November.
    8. Jasper Beekmans & Huub Ploegmakers & Karel Martens & Erwin van der Krabben, 2016. "Countering decline of industrial sites: Do local economic development policies target the neediest places?," Urban Studies, Urban Studies Journal Limited, vol. 53(14), pages 3027-3047, November.

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    More about this item

    Keywords

    urban; economic; development; federal; government; Bartik;
    All these keywords.

    JEL classification:

    • J4 - Labor and Demographic Economics - - Particular Labor Markets
    • R0 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General

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