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Estimating The Community-Level Impacts Of Attracting New Businesses: The Implications Of Local Labor Market Adjustments

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  • Barkley, David L.
  • Henry, Mark S.
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    Abstract

    The purpose of this report is to estimate short-and long-run labor market adjustments associated with employment change for South Carolina counties. An appreciation of the source of employees for new jobs enables community leaders to better select the appropriate level of industrial incentives and to better plan for changes in demand for public goods and services. We provide an overview of the components of a local labor force and the implications of component change on local income and expenditures for public goods and services. Then we present the results of the Clemson University Community Policy Analysis (CPAN) Model for county labor markets. This model estimates the allocation of new jobs in a county among the components of a county's labor force. Third, we summarize the concepts of "job chains" and "leakages" and discuss the relationship between these concepts and community-level impacts. Finally, we conclude with a discussion of how insights into labor market adjustments may be used to improve public policy in community planning and industrial development.

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    File URL: http://purl.umn.edu/18790
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    Bibliographic Info

    Paper provided by Clemson University, Regional Economic Development Research Laboratory (REDRL) in its series REDRL Research Reports with number 18790.

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    Date of creation: 2002
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    Handle: RePEc:ags:curerr:18790

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    Postal: Clemson, SC 29634-0355
    Web page: http://cherokee.agecon.clemson.edu/welcome9.htm
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    Related research

    Keywords: Labor and Human Capital;

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    1. Olivier Jean Blanchard & Lawrence F. Katz, 1992. "Regional Evolutions," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 23(1), pages 1-76.
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