The New Markets Tax Credit Program: will it live up to its potential?
Community Reinvestment Forum, 2003, issue Fall, 1-20
Because many small businesses in isolated inner-city or rural locations are cut off from mainstream capital networks, a new conduit for channeling equity capital is needed—patient capital that can be used to grow a business and manage risks in less diversified economies. Many believe the New Markets Tax Credit Program, which aims to stimulate $15 billion in private equity investment in low-income communities, can provide such a conduit. While the program has many strengths, it is still too early to tell whether it will live up to its promise because the initial investments are just beginning to unfold. But the availability of another community development tool using private-market capital ensures that organizations will continue to seek creative solutions to the problems that distressed communities face.
Keywords: Tax credits; Small business; Community development (search for similar items in EconPapers)
References: Add references at CitEc
Citations: Track citations by RSS feed
Downloads: (external link)
https://www.clevelandfed.org/newsroom-and-events/p ... -credit-program.aspx Full text (text/html)
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:fip:fedccf:y:2003:i:fall
Ordering information: This journal article can be ordered from
Access Statistics for this article
More articles in Community Reinvestment Forum from Federal Reserve Bank of Cleveland Contact information at EDIRC.
Bibliographic data for series maintained by 4D Library ().