Read “Regional Business Climate and Interstate Manufacturing Relocation Decisions.” on Regional Science and Urban Economics.
- The results show that the key policy levers have expected effect on relocation decisions but economic effects are trivial.
- This calls into question the ability of state policies, e.g. tax rate changes, to stimulate manufacturers inflow into state.
Contributors: Conroy, Tessa, Steven Deller, and Alexandra Tsvetkova.