Development Economics ECN4169 L, Madumarov Eldar

... an investor who providers equity investment to start-up businesses.

... the monetary worth of a property for the purposes of taxation. Total assessed valuation denotes the sum of the monetary worth of all taxable properties within a jurisdiction.

… economic connections among companies; backward linkages in-volve the purchase of inputs by a given firm from another, and forward linkages involve the sale of the given firm’s outputs to another company.

… also known as “export” or “primary” industries, base industries sell or export their products and services outside the community and bring new dollars into the community, increasing the total dollars that circulate within the community and that are spent on non-base industries.

… quantifiable measures of economic competitiveness and quality of life that can be collected on a regular basis. They are used to measure a region’s economic status and progress against comparable regions.

… a certificate of debt issued by a government or corporation guaranteeing payment of the origi-nal investment plus interest by a specified future date.

… commercial or industrial sites that are abandoned or under-utilized and have real or per-ceived environmental contamination.

… a one-stop center for streamlining local permitting, licensing, and fee payment processes and facilitating the decision-making processes.

… efforts by local economic development organizations to encourage firms from outside their communities to locate headquarters or other operations within their jurisdictions.

… environment of a given community that is relevant to the operation of a business; usually includes tax rates, attitudes of government toward business, and availability.

… economic development strategy that focuses on encouraging the formation of new companies that are locally based and will remain in the community and grow.

… legally defined entities formed by property and business owners, where an assessment or a tax is levied for capital or operating improvements, as a means of supplementing city funding. The district is created by the public law or ordinance but is administered by an entity responsible to the district’s members or to the local governing body. Some states author-ize non-governmental, non-profit corporations. Recent BID programs include economic and social development, transportation, parking management, and conversion of redeveloped commercial build-ings for residential use.

… entity that nurtures and supports young companies until they become viable, providing them with affordable space, technical and management support, equity and long-term debt financing, and employment. The three basic objectives in creating an incubator are (1) to spur technology-based development; (2) to diversify the local economy; and (3) to assist in community revitalization.

… traditional approach to economic development to entice companies to relocate or to set up a new branch plant or operation in a state or locality; often referred to as “smokestack chasing.”

… systematic effort designed to keep local companies content at their present locations which includes helping companies cope with changing economic conditions and internal company problems.

... developing the ability of a community-based neighborhood organization to effec-tively design economic development strategies through technical assistance, networks, conferences, and workshops.

… the originating and administrating body for the SBA 504 loans. The program provides long-term, fixed-rate financing to small businesses to acquire real estate, machinery, and equipment for the expansion of business or modernization of facilities.

…collocation of firms in the same or similar industries to foster interaction as a means of strengthening each other and enhancing the community’s competitive advantage.

…term used when comparing economies of regions. It is the economic advantage gained by one area over another due to the fact that it can produce a particular product more efficiently. More efficient production of one good means there is a higher opportunity cost to produce another. This is the concept that drives trade between economies. Inter-regional and international trade exploits the comparative advantages of economies. (See Absolute Advantage)

…compares alternative projects or plans to determine the least costly way to achieve desired goals. Usually, some index or point system is developed to measure the effectiveness of the proposal in meeting the goals and objectives.

…a method for evaluating the profitability of alternative uses of resources.

…explanation of economic development that focuses on discovering, expanding, and creating new markets; forming new businesses; nurturing indigenous re-sources; and involving government in the economy.

…industrial park designed to encourage business interaction in ways that foster the reuse of waste streams, the recycling of inputs, and other mechanisms.

…a qualitative method for analyzing the impact of a proposed action on the economy. A model permits testing the effects of an anticipated or hypothetical change.

…a method of classifying all productive activity into two categories: basic industries which produce and sell goods that bring in new income from outside the area and service industries which produce and sell goods that simply circulate exiting income in the area.

…a comprehensive study of a locality’s economy, focusing on the importance of exports. It should include an economic history, data on existing industries, trends, and forecasts of growth in wages and employment.

…the phenomenon of production where the average cost of production declines as more of the product is produced.