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Food Industry Investment Flows: Implications for Rural Development

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Author Info

  • Lambert, Dayton M.

    (U TN)

  • McNamara, Kevin T.

    (Purdue U)

  • Garrett, Megan I.

    (Boomtown Institute, Effingham)

Registered author(s):

    Abstract

    Food 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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    File URL: http://journal.srsa.org/ojs/index.php/RRS/article/view/119/69
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    Bibliographic Info

    Article provided by Southern Regional Science Association in its journal Review of Regional Studies.

    Volume (Year): 36 (2006)
    Issue (Month): 2 ()
    Pages: 140-62

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    Handle: RePEc:rre:publsh:v:36:y:2006:i:2:p:140-62

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    Web page: http://www.srsa.org

    Related research

    Keywords: Food Industry; Food Processing; Food; Infrastructure; Manufacturing; Rural; Spatial;

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    Cited by:
    1. Dayton M. Lambert & Jason P. Brown & Raymond J.G.M. Florax, 2010. "A Two-Step Estimator For A Spatial Lag Model Of Counts: Theory, Small Sample Performance And An Application," Working Papers 10-5, Purdue University, College of Agriculture, Department of Agricultural Economics.
    2. Lambert, Dayton M. & Wilcox, Michael D. & English, Alicia & Stewart, Lance A., 2008. "Ethanol Plant Location Determinants and County Comparative Advantage," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 40(01), April.

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