The Land Policy Institute is assisting the MSU Center for Economic Analysis with an assessment of Michigan.
June 18, 2015
The Land Policy Institute is assisting the MSU Center for Economic Analysis with an assessment of Michigan’s Renaissance Zones program. Michigan State University will submit an external evaluation report to the Michigan State Legislature. This report will include an assessment of: 1) The number of new jobs created, 2) percentage change in aggregate taxable value and state equalized value, 3) average wage of new jobs created, and 4) percentage change of adjusted gross income of residents.
For the MSU evaluation, existing metrics of job creation, change in wages, and change in taxable values of program outcomes will be combined with econometrically estimated associations to better understand the economic impacts of the Michigan Renaissance Zone program. The project will include a review of existing literature on the effectiveness of tax incentives and other incentive and non-incentive programs, with a focus on understanding and comparing the cost effectiveness of various economic development/growth programs. It will also include an evaluation of the Tool and Die Renaissance Zone program as a case study analysis of socioeconomic and industry impacts. Finally, data reported by the participating firms will be utilized to estimate economy-wide economic impacts using IMPLAN software. A final report will be submitted to the Michigan Economic Development Corporation (MEDC), which commissioned MSU for this study.