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industrial location policy


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The neoclassical view of the role of the state in economic activities is ‘inherently suspicious of government interference in private sector decision making, and its justification for industrial location policy relies primarily on the promotion of mobility, both with respect to capital and labour. Behaviouralists are more particularly concerned with the effects of industrial incentives on capital mobility, and specifically whether or not industrial location incentives change the location preferences of entrepreneurs in favour of designated regions’ (R. Hayter2004). ‘Industrial location policy is…the result of corporate policies to minimize union strength, to avoid taxes, and to exploit new markets’ (T. J. Sugrue2005).

Subjects: Earth Sciences and Geography.


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