Abstract
This paper develops a framework for analyzing the relevant costs of locating manufacturing firms at different sites in an urban area, through a case study of Boston, Massachusetts. An attempt is made to understand what specific inputs affect the variation in the costs of production over space. Furthermore, with the use of model firms from various industries, an attempt is made to rank these inputs in order of importance.
Highlights
This paper develops a framework for analyzing the relevant costs of lo cating manufacturing firms at different sites in anurbanarea, through a case study of Boston, Massachusetts
The prospects for central city and suburban development depend to an important extent on the future levels of manufact uring jobs
For the purposes of this paper, it is assumed that the real or full value tax applied to manufacturing firms in Boston is 5 percent, while 4 percent is taken as roughly representative of tax rates found in the suburban areas
Summary
This paper develops a framework for analyzing the relevant costs of lo cating manufacturing firms at different sites in anurbanarea, through a case study of Boston, Massachusetts. To gain a better understanding of the causes of the markedly different performance of central cities relative to their suburbs in manufacturing em ployment, it would be useful to have information on the motivations of new and established firms inmaking location decisions. Such a survey would, in effect, provide hypotheses and a check on the analysis of relevant urban lo cation costs presented in subsequent chapters. To develop a frame work which will allow for the quantification of the core's disadvantage versus the outlaying areas
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