{"title":"The Effects of Tax Increment Financing on Local Income and Income Surtax Base: Evidence From Iowa School Districts","authors":"Yoon-Jung Choi, Phuong Nguyen-Hoang","doi":"10.1111/grow.70048","DOIUrl":"https://doi.org/10.1111/grow.70048","url":null,"abstract":"<p>While numerous studies have examined tax increment financing (TIF), most focus on its impact on job creation and property value growth. This paper addresses a key gap in the literature by investigating the effect of TIF on local income. Utilizing a unique dataset on income measures for Iowa school districts from 2003 to 2018, we employ two-way-fixed-effects and event study designs to estimate the effects of TIF on income, supported by robustness checks including Goodman-Bacon decomposition and Synthetic Difference-in-Differences. Our findings reveal that TIF significantly increases district-level income, as measured by total adjusted gross income, taxable income, and the income base for school districts' optional income surtax. However, these income-enhancing effects are not equally distributed. Notably, school districts with weaker tax bases and higher shares of students in poverty benefit less from TIF.</p>","PeriodicalId":47545,"journal":{"name":"Growth and Change","volume":"56 3","pages":""},"PeriodicalIF":2.1,"publicationDate":"2025-08-22","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1111/grow.70048","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"144888429","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Territorial Servitization and Manufacturing Productivity Growth in Mexico: A Spatial Panel Data Approach","authors":"Jose Antonio Cabrera-Pereyra","doi":"10.1111/grow.70046","DOIUrl":"https://doi.org/10.1111/grow.70046","url":null,"abstract":"<div>\u0000 \u0000 <p>While most existing research on territorial servitization has focused on its potential to revitalize mature industrial regions, much less has been said about its potential to incentivize knowledge-driven changes in manufacturing across developing economies. This article contributes to this topic by analyzing evidence for territorial servitization processes in Mexico, adopting a spatial panel data model approach, which uncovers space-time patterns to local-regional servitization processes. Findings reveal servitization positively impacts manufacturing productivity. Results also signal the relevance of local industrial contexts, as well as firm conditions, as key factors to the presence of positive impacts on productivity due to KIBS-manufacturing linkages, or manufacturing servitization.</p>\u0000 </div>","PeriodicalId":47545,"journal":{"name":"Growth and Change","volume":"56 3","pages":""},"PeriodicalIF":2.1,"publicationDate":"2025-08-21","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"144888226","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Tingting Wang, Tangwei Teng, Jing Zhang, Yajun Pan, Shengpeng Wang, Yu Zhang, Han Bao
{"title":"Sector Convergence and Its Impact on Innovation Performance: A Case of Solar Industry in China","authors":"Tingting Wang, Tangwei Teng, Jing Zhang, Yajun Pan, Shengpeng Wang, Yu Zhang, Han Bao","doi":"10.1111/grow.70045","DOIUrl":"https://doi.org/10.1111/grow.70045","url":null,"abstract":"<div>\u0000 \u0000 <p>With the rapid development of information technology, innovation no longer takes place within single sectors. Taking China's solar industry as a case, this paper analyzes the network structure of technology convergence between diversified standard industries based on the patent data of 328 cities from 2003 to 2020. From the perspective of both horizontal and vertical dimensions, this paper explores the mechanism of sector convergence on innovation performance and its regional heterogeneity. The results show that the convergence of the manufacturing sector and the production and supply sector of electricity, heating gas, and water is the main component of sector convergence of the solar industry in China. The level of sector convergence shows an overall upward trend and exhibits significant regional differences. The promotion effect of horizontal sector convergence on innovation performance is only reflected in larger cities, higher administrative-tier cities, and non-resource-based cities. Vertical sector convergence exerts significant positive impacts on innovation across cities of different city sizes, administrative tiers, and resource endowments, with stronger effects in smaller cities, lower administrative-tier cities, and resource-based cities. This study deepens the measurement knowledge of convergence among diversified standard sectors within a specific industry, reveals the mechanism of dual-dimensional sector convergence on innovation performance, and offers scientific evidence for developing convergence policies by zone.</p>\u0000 </div>","PeriodicalId":47545,"journal":{"name":"Growth and Change","volume":"56 3","pages":""},"PeriodicalIF":2.1,"publicationDate":"2025-08-02","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"144758592","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Relatedness-Based Industrial Exit Paths and Economic Complexity: Evidence From Chinese Regions","authors":"Wei Li, Yiming Fu, Zhen Liu, Ying Wu","doi":"10.1111/grow.70044","DOIUrl":"https://doi.org/10.1111/grow.70044","url":null,"abstract":"<div>\u0000 \u0000 <p>Industrial exit plays a critical role in shaping regional industrial dynamics. Evolutionary economic geography studies often use co-occurrence and density methods to assess the likelihood of related and unrelated industries exiting a region. However, these traditional methods lack the ability to quantitatively distinguish related from unrelated exiting industries. This paper addresses this gap by introducing a novel quantitative method for differentiating related and unrelated exiting industries. We then explore the correlation between (un)related exits and economic complexity using data from the China Customs Database (2000–2012). The findings suggest that related exits dominate China's industrial exit paths, with relatively few unrelated exits, and the disparity between them is widening. Second, a significant and positive correlation between related exits and economic complexity is observed, while unrelated exits display a significant and negative correlation. Third, differences emerge between related and unrelated exits across various sectors and regions in China. The novel method for distinguishing related and unrelated exit industries holds the potential for application in other countries and regions, contributing to a more precise understanding of the patterns of regional industrial exit.</p>\u0000 </div>","PeriodicalId":47545,"journal":{"name":"Growth and Change","volume":"56 3","pages":""},"PeriodicalIF":2.1,"publicationDate":"2025-08-02","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"144758591","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Can the Disclosure of Enrollment Warning Information Really Reduce the Price of School District Housing? Evidence From a Natural Experiment in Hangzhou, China","authors":"Yue Xiao, Yunqin He, Haizhen Wen","doi":"10.1111/grow.70043","DOIUrl":"https://doi.org/10.1111/grow.70043","url":null,"abstract":"<div>\u0000 \u0000 <p>In the context of the nearby enrollment policy in China, parents’ pursuit of good educational resources has driven up the prices of school district housing. Concerning this situation, the Education Department of Zhejiang Province released the enrollment warning information for primary schools in October 2018. This information disclosure aims to guide parents to purchase housing rationally by publishing the lists of schools exceeding their enrollment capacity. Despite the policy’s practical meaning, its impact remains underexplored. Using Hangzhou, China as the study area, the current study quantitatively analyzes the effectiveness of enrollment warning disclosure through the housing market. With housing transaction data from 2018 to 2019, the study constructs the hedonic price model, difference-in-differences model, and quantile regression model to identify both average and heterogeneous effects. The results indicate that school quality is significantly capitalized into housing prices and the disclosure of enrollment warning information intensifies price differentiation between warning and non-warning primary school districts. In particular, the high-priced housing market is more sensitive to information disclosure with stronger responses observed among upper quantiles. Rather than mitigating demand, the release of the information reinforces homebuyers’ preference for high-quality schools. The empirical results and implications of this study are helpful to the continuation and optimization of warning information policy, contributing to education equity and sustainable urban development.</p>\u0000 </div>","PeriodicalId":47545,"journal":{"name":"Growth and Change","volume":"56 3","pages":""},"PeriodicalIF":2.1,"publicationDate":"2025-08-02","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"144764112","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Turning Water Into … An Urban Spatial Model With Water as an Input","authors":"Juan Carlos Lopez","doi":"10.1111/grow.70042","DOIUrl":"https://doi.org/10.1111/grow.70042","url":null,"abstract":"<div>\u0000 \u0000 <p>This paper incorporates water demand decisions by households and firms into an urban spatial model. Using both land-use and water demand data from the Denver Water service area, I calibrate the model to focus on four policy options to reduce urban water demand: (1) a “cash-for-grass” proposal to reduce irrigated lawn area, (2) relaxing development regulations to increase housing supply, (3) lowering the price of recycled water, and (4) raising the marginal price of potable water. The “cash-for-grass” policy reduces water demand, yet the policy is both costly and leads to an increase in the average household yard size. Loosening development regulations may lead to either a rise or fall in aggregate water demand. Lowering the price of recycled water increases demand by firms but lowers revenue for the water district. Numerical simulations suggest that raising marginal water rates are the most effective means of reducing aggregate water demand.</p>\u0000 </div>","PeriodicalId":47545,"journal":{"name":"Growth and Change","volume":"56 3","pages":""},"PeriodicalIF":2.9,"publicationDate":"2025-07-28","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"144714686","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"The Places We'll Go: Who Moves to Rural Canada?","authors":"Lindsay Finlay, Michael Haan","doi":"10.1111/grow.70041","DOIUrl":"https://doi.org/10.1111/grow.70041","url":null,"abstract":"<p>As Canada increases immigration rates, there is a greater need for geographic dispersion to counteract issues of population ageing and economic disparities. Historically, Canada's main Census Metropolitan Areas (CMAs) have experienced the most significant gains in terms of new arrivals. The problem, however, is that this leaves rural regions falling behind in terms of both population increases and overall development. As such, understanding the characteristics of rural movers is of utmost importance, especially regarding potential policy initiatives aimed at ensuring newcomers to Canada are evenly distributed across the country. This study adds to the growing body of literature looking at the urban-rural divide by investigating the characteristics of individuals who engage in rural migration, including secondary migrants, by looking at those who lived in urban Canada in 2020 but, as of 2021, have moved into rural locations through the use of the 2021 Canadian Census. Overall, individuals making migratory decisions are often white, married, with children, and non-immigrants, thereby necessitating updated initiatives as a means of drawing in a more diverse newcomer population to rural destinations.</p>","PeriodicalId":47545,"journal":{"name":"Growth and Change","volume":"56 3","pages":""},"PeriodicalIF":2.9,"publicationDate":"2025-07-18","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1111/grow.70041","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"144657579","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Economic Growth and Grassland Recovery: The Case of the Inverted EKC From China","authors":"Chang Xu, Wanying Yu, Liang Zhao, Baodong Cheng, Dandan Yu","doi":"10.1111/grow.70040","DOIUrl":"https://doi.org/10.1111/grow.70040","url":null,"abstract":"<div>\u0000 \u0000 <p>The Environmental Kuznets Curve (EKC) hypothesis has been widely debated in pollution studies, and its applicability to grassland ecosystems remains fragmented, particularly regarding the mechanisms driving inflection point shifts. This study presents the Grassland Environmental Kuznets Curve (GEKC) framework, using high-resolution county-level panel data (2000–2022) from China's pastoral regions to model grassland degradation and recovery dynamics. With System GMM estimation for endogeneity, a robust U-shaped GEKC is found: economic growth first degrades grasslands but shifts to restoration beyond a threshold. Notably, the GEKC inflection point arrives earlier in economically developed regions and temperate continental climate zones, suggesting regional heterogeneity in grassland responses to economic development. Four key pathways influencing the GEKC inflection point shift are identified: the grassland scarcity pathway reducing resource competition through land use optimization and efficient livestock practices; the grassland governance pathway enhancing ecological stewardship via policy interventions; the land intensification pathway boosting productivity with technological advancements; and the livelihood transition pathway lessening anthropogenic pressures through income diversification. These findings challenge the conventional EKC paradigm by demonstrating that strategic policy sequencing—prioritizing governance in early developmental stages and market mechanisms post-inflection—can decouple economic growth from grassland degradation.</p>\u0000 </div>","PeriodicalId":47545,"journal":{"name":"Growth and Change","volume":"56 3","pages":""},"PeriodicalIF":2.9,"publicationDate":"2025-07-09","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"144582328","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Andrei Panibratov, Alexey Kalinin, Liana Rysakova, Anastasia Lazariva
{"title":"Driving Bargaining Power Through Landlocked to Land-Linked Economy: The Case of Kazakhstan and Belt and Road Initiative","authors":"Andrei Panibratov, Alexey Kalinin, Liana Rysakova, Anastasia Lazariva","doi":"10.1111/grow.70039","DOIUrl":"https://doi.org/10.1111/grow.70039","url":null,"abstract":"<div>\u0000 \u0000 <p>Regional economic disparities and unbalanced economic growth have led to a lack of essential capabilities and cohesion among individual economies. The Belt and Road Initiative (BRI) serves as a driver for host countries' leadership to align their national development programs with the Chinese initiative. This paper applies the China-Kazakhstan context, which is particularly interesting to explore due to Kazakhstan's central position as the main hub of the BRI economic corridors. Building on the theoretical perspectives of legitimacy and bargaining power, the research shows how geopolitics influence the bargaining power of China and the host country at the country, firm, and SEZ levels, creating spillover effects for third countries involved. The BRI has become an important enabler for government and institutional initiatives, such as the supranational cross-border development of Special Economic Zones (SEZs), inter-organizational cooperative projects, and others, improving Kazakhstan's relative position in the region, attracting foreign direct investment (FDI), and transforming the country into a strong regional player. Based on a cross-level analysis of the BRI and Kazakhstan's economic growth, the research develops a conceptual framework supported by a set of propositions. The study proposes that Chinese investments have had a considerable impact on Kazakhstan's development, even though there are some challenges, particularly those linked to the negative public perception of the BRI.</p>\u0000 </div>","PeriodicalId":47545,"journal":{"name":"Growth and Change","volume":"56 3","pages":""},"PeriodicalIF":2.9,"publicationDate":"2025-07-07","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"144573865","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"How Pharmaceutical Innovation Benefits From Spatial Aggregation: A Perspective Based on R&D Cooperation Networks","authors":"Fusen Zhao, Jianting Fan","doi":"10.1111/grow.70038","DOIUrl":"https://doi.org/10.1111/grow.70038","url":null,"abstract":"<div>\u0000 \u0000 <p>This paper empirically analyzes the relationship between pharmaceutical industry agglomeration and enterprise innovation based on drug registration application data and pharmaceutical enterprise data in China, and explores the mechanism of the role of agglomeration in influencing innovation from a perspective of research and development (R&D) cooperation networks. It was found that the spatial agglomeration of pharmaceutical firms significantly enhanced innovation and that agglomeration contributed to innovation through three transmission pathways of R&D cooperation networks, which were whether firms were in the network, their location in the network, and the diversity of their partners in the network. The further discussion shows that there is significant regional heterogeneity in the transmission mechanism of pharmaceutical industry agglomeration through R&D cooperation networks and thus affects innovation. The results of the study provide useful insights into how to take advantage of agglomeration and further understand the relationship between agglomeration and innovation.</p>\u0000 </div>","PeriodicalId":47545,"journal":{"name":"Growth and Change","volume":"56 3","pages":""},"PeriodicalIF":2.9,"publicationDate":"2025-06-19","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"144323434","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}