THE EFFECT OF STATE POLICIES ON THE LOCATION OF MANUFACTURING - EVIDENCE FROM STATE BORDERS

Authors
Citation
Tj. Holmes, THE EFFECT OF STATE POLICIES ON THE LOCATION OF MANUFACTURING - EVIDENCE FROM STATE BORDERS, Journal of political economy, 106(4), 1998, pp. 667-705
Citations number
17
Categorie Soggetti
Economics
ISSN journal
00223808
Volume
106
Issue
4
Year of publication
1998
Pages
667 - 705
Database
ISI
SICI code
0022-3808(1998)106:4<667:TEOSPO>2.0.ZU;2-D
Abstract
This paper provides new evidence that state policies play a role in th e location of industry. The paper classifies a state as probusiness if it has a right-to-work law and antibusiness if it does not. The paper finds that, on average, there is a large, abrupt increase in manufact uring activity when one crosses a state border from an antibusiness st ate into a probusiness state.