WHAT FACTORS AFFECT A STATE'S MANUFACTURING EMPLOYMENT? EVIDENCE FROM 1974–1994 STATE PANEL DATA

Mitch Kunce

Review of Urban & Regional Development Studies, 2006, vol. 18, issue 1, 1-10

Abstract: This paper provides new evidence that US state policies can affect the location of manufacturing activity. The paper extends the literature by analyzing industry†level panel data from 1974–1994. Results from the two†stage empirical model support ex ante intuition that divergence in state policy and/or characteristics affects specific manufacturing industries differently. Econometric techniques employed herein address many of the criticisms of previous work in this area.

Date: 2006
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