Do Business Subsidies Lead to Increased Economic Activity? Evidence from Arkansas's Quick Action Closing Fund

Jacob Bundrick, Thomas Snyder
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引用次数: 6

Abstract

State governments rely heavily on targeted economic-development incentives to promote economic activity. In recent years, many states have adopted targeted subsidy programs known as “deal-closing funds†to attract and retain businesses. Despite the increased use of deal-closing funds, it remains unclear whether they provide value in terms of increasing private employment and establishments. In this paper, we analyze the relationship between deal-closing funds and county-level private employment and private establishments from Arkansas’s Quick Action Closing Fund (QACF). We estimate these relationships using a variety of fixed-effects and OLS techniques to measure both within-county and across-county relationships. We find little evidence to suggest that the QACF creates significant job and establishment growth. The results from this study should serve to better inform public policy across states as it relates to the use of targeted business subsidies.
商业补贴会促进经济活动吗?来自阿肯色州快速行动结束基金的证据
州政府严重依赖有针对性的经济发展激励措施来促进经济活动。近年来,许多州都采用了定向补贴计划,称为 œdeal-closing基金,以吸引和留住企业。尽管交易结束基金的使用有所增加,但尚不清楚它们是否在增加私人就业和机构方面提供了价值。本文分析了阿肯色州快速行动关闭基金(QACF)中关闭基金与县级私营就业和私营机构的关系。我们使用各种固定效应和OLS技术来估计这些关系,以衡量县内和跨县的关系。我们发现几乎没有证据表明QACF创造了显著的就业和企业增长。这项研究的结果应该有助于更好地为各州的公共政策提供信息,因为它涉及到有针对性的商业补贴的使用。
本文章由计算机程序翻译,如有差异,请以英文原文为准。
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