This paper examines the effects of state economic development incentives on the growth of 366 Ohio manufacturing and nonmanufacturing establishments that launched major expansions between 1993 and 1995. Growth is measured as the actual employment change that occurred in these establishments and as the employment growth announced when expansions were launched. Empirical findings indicate that incentives have very little (or even a negative) effect on actual growth and they have a substantial positive effect on announced growth. Findings also suggest that establishments that received incentives overestimated their announced employment targets more than establishments that did not receive incentives. Copyright 2002 Blackwell Publishers

This paper investigates the effects of local fiscal policy on the location decisions of 3,763 establishments that began operations in Maine between 1993 and 1995. Empirical results, estimated from Poisson and negative binomial regression models, indicate that businesses favor municipalities that spend high amounts on public goods and services, even when these expenditures are financed by an increase in local taxes. This suggests that a local fiscal policy of reduced government spending, to balance a tax cut, may attract fewer new businesses than a policy featuring additional spending and higher taxes.''Whether we adore the tax cut or love taxes, we assume that reduction in revenue means reduction in spending. That's the way it works around our house.'' (O'Rourke, 2001)

Cruise ship visits provide an often overlooked benefit of showcasing port communities to thousands of potential repeat tourists. Using data from a survey conducted in 2002, this study examines the factors that affect a cruise ship passenger's intention of returning to Bar Harbor, Maine. Survey results indicate that one-third of the respondents plan to return to town in the two years following their cruise ship visit. Empirical results suggest that the distance between a respondent's place of residence and Bar Harbor has a negative effect on the likelihood of return. The total number of visits a passenger has made to Bar Harbor and the amount of time spent in port during the one-day visit have a positive effect on the likelihood of return. Finally, household income and the experience of taking a cruise-line-sponsored tour do not have a significant effect on a passenger's intention of returning to a visited port.

We estimate a model of urban productivity in which the agglomeration effect of density is enhanced by a metropolitan area's stock of human capital. Estimation accounts for potential biases due to the endogeneity of density and industrial composition effects. Using new information on output per worker for U.S. metropolitan areas along with a measure of density that accounts for the spatial distribution of population, we find that a doubling of density increases productivity by 2 to 4 percent. Consistent with theories of learning and knowledge spillovers in cities, we demonstrate that the elasticity of average labor productivity with respect to density increases with human capital. Metropolitan areas with a human capital stock one standard deviation below the mean realize no productivity gain, while doubling density in metropolitan areas with a human capital stock one standard deviation above the mean yields productivity benefits that are about twice the average. JEL Codes: R12, R30, J24, O40

Standard-Nutzungsbedingungen:Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Zwecken und zum Privatgebrauch gespeichert und kopiert werden.Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich machen, vertreiben oder anderweitig nutzen.Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, gelten abweichend von diesen Nutzungsbedingungen die in der dort genannten Lizenz gewährten Nutzungsrechte. Terms of use: Documents in AbstractWe examine the relationship between human capital and economic activity in U.S. metropolitan areas, extending the literature in two ways. First, we utilize new data on metropolitan area GDP to measure economic activity. Results show that a one-percentagepoint increase in the proportion of residents with a college degree is associated with about a 2 percent increase in metropolitan area GDP per capita. Second, we develop measures of human capital that reflect the types of knowledge within U.S. metropolitan areas. Regional knowledge stocks related to the provision of producer services and information technology are important determinants of economic vitality.

This paper examines the effects of knowledge about a wide variety of subjects on the wages and salaries of U.S. workers. Knowing a lot about topics such as medicine and dentistry, engineering and technology, and production and processing has a positive effect on individual earnings, whereas high knowledge in the areas of food production and personnel and human resources is not rewarded in the labor market. Spillover effects, where the share of metropolitan area employment in high-knowledge occupations enhances earnings, were uncovered primarily in subjects related to producer services and information technology. Copyright (c) 2009, Wiley Periodicals, Inc.

We estimate a model of urban productivity in which the agglomeration effect of density is enhanced by a metropolitan area's stock of human capital. Estimation accounts for potential biases due to the endogeneity of density and industrial composition effects. Using new information on output per worker for U.S. metropolitan areas along with a measure of density that accounts for the spatial distribution of population, we find that a doubling of density increases productivity by 2 to 4 percent. Consistent with theories of learning and knowledge spillovers in cities, we demonstrate that the elasticity of average labor productivity with respect to density increases with human capital. Metropolitan areas with a human capital stock one standard deviation below the mean realize no productivity gain, while doubling density in metropolitan areas with a human capital stock one standard deviation above the mean yields productivity benefits that are about twice the average. JEL Codes: R12, R30, J24, O40

Tourism is an important industry to many regions around the world and has the potential to substantially impact local communities. Climate change is expected to influence tourism since weather patterns help determine where and when people travel. In this analysis, the effect of weather conditions on tourism-related spending at three geographically distinct locations in Maine, United States, was evaluated. A nonparametric method (boosted regression trees) was used to first identify the relative influence of twenty-two weather variables as predictors of tourism spending. Following this, a parametric model was constructed to statistically evaluate tourism spending across different measures and predict potential spending changes due to a warming climate. Results indicated that warmer temperatures increased tourism spending in the summer and fall, but had more varying results in the winter. Findings suggest tourism businesses in Maine and other relatively colder destinations could capitalize on potential gains in warmer months.