UDAG Grants to Rural Areas: A Program that Works

Marie Howland and Ted Miller
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Marie Howland: University of Maryland
Ted Miller: Urban Institute

Economic Development Quarterly, 1990, vol. 4, issue 2, 128-136

Abstract: This article uses data from the U.S. Department of Housing and Urban Development's (HUD) Urban Development Action Grant (UDAG) grant agreement data base and a survey of 169 rural UDAG projects to evaluate the job-creation success of rural UDAG projects. The authors draw the following conclusions. First, the rural component of the UDAG program has created the number of jobs promised in the original grant agreements. Second, there is little evidence that UDAG projects have resulted in job creation outside of the UDAG recipient firms. Finally, the federal cost of creating a rural manufacturing job through the UDAG program is approximately $5,546. This cost represents the sum of the federal UDAG grants in a sample of 115 projects divided by the number of jobs created in the same projects.

Date: 1990
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Persistent link: https://EconPapers.repec.org/RePEc:sae:ecdequ:v:4:y:1990:i:2:p:128-136

DOI: 10.1177/089124249000400205

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