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ERIC Number: EJ784271
Record Type: Journal
Publication Date: 2005-Dec
Pages: 26
Abstractor: Author
Reference Count: 84
ISSN: ISSN-0036-0112
Federal Public Investment Spending and Economic Development in Appalachia
Mencken, F. Carson; Tolbert, Charles M., II
Rural Sociology, v70 n4 p514-539 Dec 2005
This analysis examines the relationship between federal public investment spending and economic development in the special case of Appalachia. We propose that the effects of federal public investment spending on economic development operate indirectly through private capital accumulation. We use a spatial lag regression model to test our ideas for the 1980s and the 1990s. In the first step, we show that average federal public investment spending from 1983-1989 and 1993-1999 has net positive effects on measures of private capital accumulation in Appalachia. In the second step, we add three indicators of county economic development in 1989/1999 and find that earnings and non-farm employment growth during the respective decades predicts higher levels of economic development at the end of the decades. However, while federal public investment spending has positive effects on measures of private capital accumulation, it has no direct effect on measures of economic development. (Contains 3 figures and 3 tables.)
Rural Sociological Society. 104 Gentry Hall, University of Missouri, Columbia, MO 65211-7040. Tel: 573-882-9065; Fax: 573-882-1473; e-mail:; Web site:
Publication Type: Journal Articles; Reports - Evaluative
Education Level: N/A
Audience: N/A
Language: English
Sponsor: N/A
Authoring Institution: N/A