Food Industry Investment Flows: Implications for Rural Development
AbstractFood processing firms are often seen as potential sources of growth for rural areas. This paper examines the influence that agglomeration, labor, product and input markets, infrastructure, and government fiscal attributes have on food manufacturing investment flows. The analysis uses a spatial probit model along with spatial clustering methods to analyze county-level data for 12 states in the midwest and southern U.S. Findings suggest that rural areas are at a comparative disadvantage with respect to attracting demand-oriented food processors, but non-metro counties with economic ties to urban centers may be attractive investment sites to supply-oriented food manufacturers.
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Bibliographic InfoArticle provided by Southern Regional Science Association in its journal Review of Regional Studies.
Volume (Year): 36 (2006)
Issue (Month): 2 ()
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Food Industry; Food Processing; Food; Infrastructure; Manufacturing; Rural; Spatial;
Find related papers by JEL classification:
- H71 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Taxation, Subsidies, and Revenue
- L66 - Industrial Organization - - Industry Studies: Manufacturing - - - Food; Beverages; Cosmetics; Tobacco
- R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)
- R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population
- R32 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Real Estate Markets, Production Analysis, and Firm Location - - - Other Production and Pricing Analysis
- R53 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Regional Government Analysis - - - Public Facility Location Analysis; Public Investment and Capital Stock
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