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Evaluating the Influence of Amenities on the Location of Manufacturing Establishments in Urban Areas

Author

Listed:
  • Maury D. Granger

    (School of Business and Economics, Department of Economics and Transport/Logistics, North Carolina Agricultural and Technical State University, Greensboro, NC 2 7411, USA, grangerm@ncat.edu)

  • Glenn C. Blomquist

    (Department of Economics, University of Kentucky, Lexington, KY 40506-0034, USA, gcblom@pop.uky.edu)

Abstract

Public and private planners concerned with economic growth and development are increasingly marketing intangible characteristics. This paper investigates the notion that amenities influence manufacturers' location choices in urban areas. If amenities affect wages, land values and other costs, then amenities will influence location decisions. Using urban, county-level, Census data, regression models were estimated for the location of small and medium-sized manufacturing establishments. Holding constant scale and agglomeration economies, amenities, measured by a quality-of-life index, are found to influence manufacturers' location with the effects varying by industry. Labour-intensive industries are more strongly attracted to high-amenity urban locations.

Suggested Citation

  • Maury D. Granger & Glenn C. Blomquist, 1999. "Evaluating the Influence of Amenities on the Location of Manufacturing Establishments in Urban Areas," Urban Studies, Urban Studies Journal Limited, vol. 36(11), pages 1859-1873, October.
    • Handle: RePEc:sae:urbstu:v:36:y:1999:i:11:p:1859-1873
    DOI: 10.1080/0042098992647
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    References listed on IDEAS

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    1. Blomquist, Glenn C & Berger, Mark C & Hoehn, John P, 1988. "New Estimates of Quality of Life in Urban Areas," American Economic Review, American Economic Association, vol. 78(1), pages 89-107, March.
    2. Goldstein, G. S. & Gronberg, T. J., 1984. "Economies of scope and economies of agglomeration," Journal of Urban Economics, Elsevier, vol. 16(1), pages 91-104, July.
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    Cited by:

    1. Daniel C. Monchuk & John A. Miranowski & Dermot J. Hayes & Bruce A. Babcock, 2007. "An Analysis of Regional Economic Growth in the U.S. Midwest," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 29(1), pages 17-39.
    2. Shelley M. Kimelberg & Elizabeth Williams, 2013. "Evaluating the Importance of Business Location Factors: The Influence of Facility Type," Growth and Change, Wiley Blackwell, vol. 44(1), pages 92-117, March.
    3. Yung-Lung Lee & Kwang-Yi Yeh & Tzung-Cheng Huang, 2001. "The Tourism Development and Property Market in Historical Area- Evidence of Tainan City," ERES eres2001_208, European Real Estate Society (ERES).
    4. Candi Clouse & Ashutosh Dixit & Nazli Turken, 2020. "The role of place image for business site selection: a research framework, propositions, and a case study," Place Branding and Public Diplomacy, Palgrave Macmillan, vol. 16(2), pages 174-186, June.
    5. Martin F. Grace & David L. Sjoquist, 2020. "The Effect of Taxes on the Location of Property‐Casualty Insurance Firms," Journal of Risk & Insurance, The American Risk and Insurance Association, vol. 87(4), pages 1035-1062, December.
    6. Deller, Steven & Lledo, Victor, 2007. "Amenities and Rural Appalachia Economic Growth," Agricultural and Resource Economics Review, Cambridge University Press, vol. 36(1), pages 107-132, April.
    7. Wojan, Timothy R. & McGranahan, David A., 2007. "Ambient Returns: Creative Capital's Contribution to Local Manufacturing Competitiveness," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 36(1), pages 1-16, April.
    8. Elsie Harper-Anderson & David A. Lewis, 2018. "What Makes Business Incubation Work? Measuring the Influence of Incubator Quality and Regional Capacity on Incubator Outcomes," Economic Development Quarterly, , vol. 32(1), pages 60-77, February.
    9. Shelley McDonough Kimelberg & Lauren A. Nicoll, 2012. "Business Location Decisions in the Medical Device Industry," Economic Development Quarterly, , vol. 26(1), pages 34-49, February.
    10. Charisia Vlachou & Olga Iakovidou, 2015. "The Evolution Of Studies On Business Location Factors," Journal of Developmental Entrepreneurship (JDE), World Scientific Publishing Co. Pte. Ltd., vol. 20(04), pages 1-23, December.

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