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2006

Entrepreneurial and Small Business Operations

Edward J Feser

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Harnessing Growth Spillovers For Rural Development: The Effects Of Regional Spatial Structure, Edward Feser, Andrew Isserman Jan 2006

Harnessing Growth Spillovers For Rural Development: The Effects Of Regional Spatial Structure, Edward Feser, Andrew Isserman

Edward J Feser

Many rural development strategies seek to leverage urban to-rural growth spillovers. This paper concludes that their success depends on the spatial structure surrounding the target rural counties. We develop a county-level spatial growth model to identify the positive spread and negative backwash effects of urban to rural spillovers in the lower 48 states over the 1990-2000 period. Instead of the conventional, fallacious substitution of metropolitan and nonmetropolitan for urban and rural, we consider the urban and rural character of each county. Mostcounties have both urban and rural populations, and we classify each as urban, mixed urban, or rural depending on …