1. EVALUATING LOCAL IMPACT OF ETHANOL PLANTS.
- Subjects
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SHIFT-share analysis , *INVESTMENT analysis , *REGIONAL economics , *FACTORIES , *CHEMICAL plants , *ECONOMICS , *RATE of return , *RATIO analysis - Abstract
The article reports on the effects of ethanol plant to the local economy of the state of Iowa, which is considered as the national center of an ethanol plant construction boom. Researchers Swenson and Liesl Eathington found out that the job created by these plants varies to the percentage of the plant that is under local ownership. With no local ownership, the plant would either create or stimulate 133 jobs in the regional economy, with 29 more jobs created for every 25 percent increase in local ownership. In addition, higher levels of local ownership yield higher jobs impact for rural areas, while returns to investors are robust and competitive with other alternatives.
- Published
- 2006