Urban Enterprise Zones: Do They Work? Evidence From New Jersey

Rubin, Marilyn Marks

doi:10.1111/1540-5850.00881

Cited by 21 publications

(19 citation statements)

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“…Early on, the EZ research resulted in diverse conclusions on the effectiveness of these programs. The research conclusions ranged from positive impacts on business location measures, investment, and employment (e.g., U.S. Department of Housing and Urban Development [HUD] 1986; Rubin and Wilder 1989;Rubin 1990;Erickson and Friedman 1990;Papke 1991Papke , 1994Elling and Sheldon 1991) to no impact or a negative impact on business location measures and employment (e.g., U.S. General Accounting Office [GAO] 1988;Dabney 1991;Grasso and Crosse 1991;Logan and Barron 1991). Indicative of the varied research findings, Papke (1991Papke ( , 1994 and Boarnet and Bogart (1996) use similar methodologies to examine EZ employment effects in Indiana and New Jersey, with Indiana showing positive employment effects and New Jersey showing no significant employment effects.…”

Section: Enterprise Zonesmentioning

confidence: 99%

Why Are State Policy Makers Still Proponents of Enterprise Zones? What Explains Their Action in the Face of a Preponderance of the Research?

Greenbaum

Landers²

2009

International Regional Science Review

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The vast majority of states have implemented some version of enterprise zone (EZ) programs, which geographically target economic development efforts to revitalize distressed areas. While EZs have been studied extensively, there is little evidence that they have succeeded. Despite this, the number of programs, the number of EZs designated, and the land area covered by these zones have grown over time. This essay reviews the research on state EZ programs and explores why it has not had a greater influence on policy. One explanation we discuss is that the research has not been made accessible enough to policy makers and their staffs. Another explanation we posit is that political decision making that guides policy on EZ programs is influenced by many actors and sources of information not just the academic research literature. The essay discusses how the establishment or expansion of EZ programs may be encouraged by EZ businesses and landlords engaging in rent seeking behavior. The essay concludes by providing some recommendations regarding how the research community can make its work more relevant for state and local policy makers and how policy makers can become better consumers of evaluative research when implementing and refining programs.Authors' Note: We thank an anonymous reviewer for suggesting the title. We also thank Don Hirasuna, Susan Hansen, and anonymous reviewers for their constructive suggestions.

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Section: Enterprise Zonesmentioning

confidence: 99%

Why Are State Policy Makers Still Proponents of Enterprise Zones? What Explains Their Action in the Face of a Preponderance of the Research?

Greenbaum

Landers²

2009

International Regional Science Review

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“…2 A number of studies based on interviews and surveys of zone administrators and businesspeople have shown some success with job creation in enterprise zones (Elling and Sheldon, 1991;Erickson and Friedman, 1990a, b;GAO, 1988;HUD, 1986;Rubin, 1990). However, response bias is always a key concern with surveys and interviews (Bartik, 1991;Blair, 1995).…”

Section: Introductionmentioning

confidence: 99%

The impact of state enterprise zones on urban manufacturing establishments

Greenbaum

Engberg

2004

J Policy Anal Manage

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Since the early 1980s, the vast majority of states have implemented enterprise zones. This paper analyzes urban zones in six states, examining the factors that states use to choose zone locations and the subsequent effect of the zones on business activity and employment. The source of outcome data is the U.S. Bureau of Census' longitudinal research database (LRD), which tracks manufacturing establishments over time. Matched sample and geographic comparison groups are created to measure the impact of zone policy on employment, establishment, shipment, payroll, and capital spending outcomes. Consistent with previous findings, the difference-in-difference estimates indicate that zones have little effect, on average. However, by exploiting the establishment-level data to examine gross as well as net changes, the analysis finds that zones have a positive effect on the outcomes of new establishments and a negative effect on the outcomes of previously existing establishments. © 2004 by the Association for Public Policy Analysis and Management.

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“…Third, the research covers the longer time span of 1980 to . Preprogram (1980-1990 and postprogram (1990)(1991)(1992)(1993)(1994)(1995)(1996)(1997)(1998)(1999)(2000) growths are differentiated and analyzed. An effective EZ policy directly influences activity growth, which will be reflected in the spatial distribution of activities.…”

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confidence: 99%

Impacts of Enterprise Zone Policy on Industry Growth

Zhang

2015

Economic Development Quarterly

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This study evaluates the impacts of the Louisville Enterprise Zone (EZ) program on the growth of different industries, covering a 20-year (1980-2000) time span. The research compares the preprogram (1980)(1981)(1982)(1983)(1984)(1985)(1986)(1987)(1988)(1989)(1990) and postprogram (1990)(1991)(1992)(1993)(1994)(1995)(1996)(1997)(1998)(1999)(2000) growth. A shift-share analysis first compares the regional competitiveness of EZ and non-EZ areas in 1990 and 2000, and suggests that most industries in EZ areas have been gaining strength. Five regression equations are estimated to quantify the effects of the EZ program on different industries. An instrumental variable approach is developed to deal with the possible issue of endogeneity during the EZ designation process. Results suggest that the Louisville EZ program has significantly increased the growth of manufacturing and service activities, and the program achieved its expected goals in the long run.

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Urban Enterprise Zones: Do They Work? Evidence From New Jersey

Cited by 21 publications

References 0 publications

Why Are State Policy Makers Still Proponents of Enterprise Zones? What Explains Their Action in the Face of a Preponderance of the Research?

Why Are State Policy Makers Still Proponents of Enterprise Zones? What Explains Their Action in the Face of a Preponderance of the Research?

The impact of state enterprise zones on urban manufacturing establishments

Impacts of Enterprise Zone Policy on Industry Growth

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