Cam. Debartolome et Mm. Spiegel, DOES STATE ECONOMIC-DEVELOPMENT SPENDING INCREASE MANUFACTURING EMPLOYMENT, Journal of urban economics, 41(2), 1997, pp. 153-175
Recent studies, which have attempted to determine what causes an indus
trial sector in a state to grow, have ignored the general role of the
state's economic development agency. We extend the analysis to include
its effect, and determine that economic development expenditure by th
e slate is significantly correlated with manufacturing growth in the s
tate. Our result is robust to a variety of specification tests. (C) 19
97 Academic Press.