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Heterogeneous Effects of State Enterprise Zone Programs in the Shorter Run and Longer Run

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  • David Neumark
  • Timothy Young

Abstract

The authors take up two questions that have not been explored in research on enterprise zones. First, does a considerably longer-run perspective on the effects of state enterprise zones lead to different answers? And second, are there heterogeneous effects of enterprise zones that depend on the set of incentives these programs offer, which can vary widely? The results indicate that whether state enterprise zone programs were observed through a longer-term lens, or through the lens of program heterogeneity, the authors generally did not find any consistent indication of beneficial effects of state enterprise zone programs; if anything, the longer-run effects are negative. The lack of positive effects is consistent with most of the prior evidence that focuses on effects that are short term and homogeneous.

Suggested Citation

  • David Neumark & Timothy Young, 2021. "Heterogeneous Effects of State Enterprise Zone Programs in the Shorter Run and Longer Run," Economic Development Quarterly, , vol. 35(2), pages 91-107, May.
    • Handle: RePEc:sae:ecdequ:v:35:y:2021:i:2:p:91-107
    DOI: 10.1177/0891242420982341
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    4. Quan Sun & Lexin Zhao, 2023. "The Impact of Rural Enterprise Park Policy on the Income of Rural Residents: Evidence from China," Sustainability, MDPI, vol. 15(11), pages 1-15, June.

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