Economy of Kazakhstan ECN3189 L, Mussurov Altay

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 involve 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.

a certificate of debt issued by a government or corporation guaranteeing payment of the original investment plus interest by a specified future date.

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.

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.

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

the central business district of a locality. Usually this is an area with the highest concentration of businesses, including financial institutions, shops, offices, theaters, and restaurants.

U.S. Small Business Administration program that encourages highly active and expert lenders to provide funds to borrowers.

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)

the Consolidated Plan, or ConPlan, combines all of the planning, application, and performance requirements previously required separately for Community Development Block Grants (CDBG), HOME, Emergency Shelter Grants (ESG), Housing Opportunities for People with AIDS (HOPWA), and programs, such as HOME, that require a Comprehensive Housing Affordability Strategy (CHAS).

government subsidies targeted to large corporations.

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.

learning designed to meet the needs of a given employer; used by local governments to attract or retain major employers.

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.

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.

a newly emerged city that serves as a work and shopping center, with a large amount of office and retail space.

the authority to “take” private property upon paying a fair price for the property and relocating the tenants. The most frequent use of this authority is the act of “condemnation.”

assistance to entrepreneurs in support of the creation, growth, and survival of their businesses.

state enterprise zones are designated geographic areas that are eligible for special treatment and incentives to attract private investment. State guidelines define the size of a zone and the minimum level of economic distress to qualify as an enterprise zone. States can also limit the number and type of enterprise zones. These restrictions are generally set out in the state enterprise zone program.

programs that provide guidance and instruction on business basics such as accounting and financing to ensure that new businesses improve their chance of success. The most common training methods include classroom training, workshops, speakers, peer groups and one-on-one counseling, lectures, internships, as well as self-study and home-study.

investments are typically secured in this type of financial support in return for partial ownership of an enterprise; three mechanisms can be used for receiving an equity position in a firm: common stock, preferred stock, and convertible debt.

strategic paradigm of economic development that focuses on business attractintactics.

the direct and indirect costs incurred and revenues received by local governments resulting from land use and other types of decision.

a loan required by a developer to bridge the gap, i.e. to make up a deficiency be-tween the amount of mortgage loan due upon project completion and the expenses incurred during construction (financing that covers the difference between what a project can support and the cost of development or purchase).

fees are required to cover costs of improving and/or building infrastructure needed as a result of the expected impact of development project on those facilities. Often required by localities for the approval of development projects.

benefits offered to firms as part of an industrial attraction strategy. A few incentives are tax abatements and credits, low interest loans, infrastructure improvements, job training, and land grants.

these bonds are used to finance acquisition, construction, expansion, or renovation of manufacturing facilities and the purchase of machinery and equipment depending upon state law. IDB financing is subject to state and local laws and federal income tax laws and regulations if the interest on the bonds is expected to be exempt from federal income taxation.

bonds that provide lower-cost financing for real property improvements or the purchase or construction of buildings, facilities, or equipment.

geographic concentrations of related businesses B complementary or competing. Regions identify clusters as targeted businesses for future planning and marketing efforts. There are two types: (1) buyer-supplier clusters and (2) shared resources clusters.

public-targeted lending facilities, financed through a combination of bond issues, government funds and external donor support. They mobilize domestic funds, and create an at-tractive vehicle for donor funding.

explanation of development that stresses the importance of an educated, skilled, and dependable workforce for attracting and growing businesses; accepts the concept that the public sector has a responsibility to fit human resources to the needs of the business community.

a program that preserves industrial space for a city. A city or local development authority acquires and holds land until a developer steps forward with a proposal for its use as an industrial site.

explanation of economic development that emphasizes factors such as transportation, access to raw materials and labor, taxes, business climate, and quality of life as they relate to industrial location.

explanation of economic development that contends that bursts of innovation lead to economic growth,

a business that is “smaller-than-small.” Operated by a person on a full- or part-time basis, usually out of a home, e.g., carpenters, day-care providers, and caterers.

very small, short-term unsecured loans given to people without credit history and/or the collateral necessary to obtain a conventional loan. These are available from either local lenders or the SBA’s 7(m) Microloan Program.

a definition based on family income as a percentage of an area’s median income. Different programs may set different percentages. According to HUD’s guidelines, households whose incomes are between 81 percent and 95 percent of an area’s median income with adjustments for smaller or larger families are considered to be moderate income.

a quantitative estimate of a project’s impact (in dollars, jobs created, demand).

the process of dollar and job generation as a result of a new or migrating business or project, or of a local business expanding production (to exports). The multiplier effect accounts for new local income generated by local spending that came from outside a community.

the revenue forgone by choosing one use of money and resources over another. The opportunity cost of investing in the stock market is the interest that the money could have earned while sitting in the bank.

a plan developed at the city, county or EDD level, as required by EDA, to identify the area’s problems & opportunities for economic development, to de-fine goals & objectives, and listing infrastructure & other projects needed to achieve those goals.

bond backed by anticipated revenue stream from specific project.

strategic paradigm of economic development that focuses on retaining firms already in the community and on creating new businesses.

a loan secured by a second mortgage on a property, sometimes used to refer to any financing techniques other than equity and first-mortgage debt.

equity money supplied to help a company get off the ground. The money is almost always supplied by an entrepreneur and his/her family, friends, and relatives. Used to help attract (leverage) other investment.

the efficient use of all available assets. According to the American Planning Association, smart growth involves efficient land use; full use of urban services; mixed use; mass transportation options; and detailed, human-scaled design.

in economic development, linkages between and among business development service providers and the companies they assist; these linkages are both internal, within a given-service provider organization, and external, between an organization (and its clients) and external service providers and businesses.

costs of a project that benefit a specific group of properties may be assessed to those individuals and accounted for in the special assessment fund.

company in the first stage of the evolution of a business.

funds that help nascent enterprises acquire space, equipment, supplies, and other inputs needed to launch a business.

explanation of economic development that focuses on reducing costs of production to lure capital to a new location; typical strategies include tax abatements, reductions, and exemptions; guaranteed and direct loans; and reduced regulation.

development that does not destroy or eventually deplete a location’s natural resources. Sustainable development helps ensure a better, healthier living environment and contributes to an area’s quality of life, one of the main goals of economic development.

a tool used in the economic development planning process to assess a community’s Strengths and Weaknesses, factors from within a community that can be changed, as well as its Opportunities and Threats, factors from outside that cannot be changed.

money directly subtracted from a tax bill after a tax liability has been incurred.

includes aid with preparing grant applications, training staff, applying for loans and marketing the product. It may also include assisting a small business to improve its product or manufacturing process. Technical assistance is generally aimed at providing specific services that a small business typically cannot afford, or general business planning.

revenue created by the processing of resources; the amount of revenue is greater be-cause those resources have been processed.