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Alabama’s Enterprise Zones: Designed to Aid the Needy?

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  • Jim F. Couch
  • J. Douglas Barrett

Abstract

The Alabama Enterprise Zone Act established 27 zones across the state. The act provides incentives to business firms that locate within an approved zone in an effort to attract desperately needed jobs. Zone status was purported to be based on economic need as measured by five variables. In this article, the selection process is closely examined. The authors find that the selection criteria were frequently ignored in favor of political concerns. The results suggest that a policy designed to help needy individuals in the state was convoluted by the political process.

Suggested Citation

  • Jim F. Couch & J. Douglas Barrett, 2004. "Alabama’s Enterprise Zones: Designed to Aid the Needy?," Public Finance Review, , vol. 32(1), pages 65-81, January.
    • Handle: RePEc:sae:pubfin:v:32:y:2004:i:1:p:65-81
    DOI: 10.1177/1091142103260517
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    2. Maloney, Michael T & McCormick, Robert E & Tollison, Robert D, 1984. "Economic Regulation, Competitive Governments, and Specialized Resources," Journal of Law and Economics, University of Chicago Press, vol. 27(2), pages 329-338, October.
    3. George J. Stigler, 1971. "The Theory of Economic Regulation," Bell Journal of Economics, The RAND Corporation, vol. 2(1), pages 3-21, Spring.
    4. Faith, Roger L & Leavens, Donald R & Tollison, Robert D, 1982. "Antitrust Pork Barrel," Journal of Law and Economics, University of Chicago Press, vol. 25(2), pages 329-342, October.
    5. Couch, Jim F & Atkinson, Keith E & Shughart, William F, II, 1992. "Ethics Laws and the Outside Earnings of Politicians: The Case of Alabama's "Legislator-Educators."," Public Choice, Springer, vol. 73(2), pages 135-145, March.
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    Cited by:

    1. Calcagno, Peter T. & Hefner, Frank L., 2007. "State Targeting of Business Investment: Does Targeting Increase Corporate Tax Revenue?," Journal of Regional Analysis and Policy, Mid-Continent Regional Science Association, vol. 37(2), pages 1-13.

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