Industrial Policy and the States: How Will They Pay?

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The success of any national industrial policy will depend heavily on the participation of state and local governments. Yet the financial implications for states and localities are almost overlooked in the discussion about national industrial policy. In this article, I consider the ways state and local governments might be involved in industrial policy, either as autonomous actors or as partners in a coordinated national policy; and I discuss constraints and competing demands on the resources to which state and local governments would turn to support their participation in such policies. Finally, I suggest a general policy framework for state and local participation that fits the objectives of national industrial policy.


Text version of an article published in Bahl, Roy. 1986. "Industrial Policy and the States: How Will They Pay?" Journal of the American Planning Association 52 (3): 310.

(c) Taylor & Francis. Posted by permission.


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