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High-Tech Employment And State Economic Development Policies

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  • Mark Partridge

    (Georgia Southern University)

Abstract

States have attempted to attract industries by offering a variety of tax incentives and economic development programs with mixed success. States have recently begun to focus on high-tech industries, where average wages are significantly above the all industry average. This study analyzes whether a state's tax and expenditure mix can influence high-tech industry location. Empirically, this study advances previous high-tech research by carefully modelling the government budget constraint and by considering more recent data. One emphasis will be whether rural states are inherently unable to attract high-tech industry and its high-paying jobs. In general, the empirical results suggest that a state's fiscal policies can attract high-tech fums, but states must proceed very cautiously. Furthermore, rural states are not dealt out of the high-tech game.

Suggested Citation

  • Mark Partridge, 1993. "High-Tech Employment And State Economic Development Policies," The Review of Regional Studies, Southern Regional Science Association, vol. 23(3), pages 287-305, Winter.
    • Handle: RePEc:rre:publsh:v23:y:1993:i:3:p:287-305
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    References listed on IDEAS

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    Cited by:

    1. Dorfman, Jeffrey H. & Patridge, Mark D. & Galloway, Hamilton, 2008. "Are High-Tech Employment and Natural Amenities Linked?: Answers from a Smoothed Bayesian Spatial Model," 2008 Annual Meeting, July 27-29, 2008, Orlando, Florida 6459, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    2. Julie L. Hotchkiss & M. Melinda Pitts & John C. Robertson, 2006. "The push-pull effects of the information technology boom and bust: insight from matched employer-employee data," FRB Atlanta Working Paper 2006-01, Federal Reserve Bank of Atlanta.
    3. Belal Fallah & Mark D. Partridge & Dan S. Rickman, 2014. "Geography and High-Tech Employment Growth in US Counties," Journal of Economic Geography, Oxford University Press, vol. 14(4), pages 683-720.
    4. Julie L. Hotchkiss & M. Melinda Pitts & John C. Robertson, 2008. "The Push-Pull Effects of the Information Technology Boom and Bust," Economic Development Quarterly, , vol. 22(3), pages 200-212, August.
    5. Paul Parker, 2001. "Local-Global Partnerships for High-Tech Development: Integrating Top-Down and Bottom-Up Models," Economic Development Quarterly, , vol. 15(2), pages 149-167, May.
    6. Goetz, Stephan J., 1998. "Location Decisions Of Energy-Intensive Manufacturing Firms: Estimating The Potential Impact Of Electric Utilities Deregulation," 1998 Annual meeting, August 2-5, Salt Lake City, UT 20951, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    7. Ronald C. Fisher, 1997. "Effects of state and local public services on economic development," New England Economic Review, Federal Reserve Bank of Boston, issue Mar, pages 53-82.
    8. Timothy J. Bartik, "undated". "Discussion [of the Effects of State and Local Public Services on Economic Development by Ronald C. Fisher]," Upjohn Working Papers tjb1997, W.E. Upjohn Institute for Employment Research.
    9. Dan Rickman & Belal Fallah & Mark Partridge, 2011. "Geographic Determinants of Hi-Tech Employment Growth in U.S. Counties," ERSA conference papers ersa11p518, European Regional Science Association.

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