Economic Development Investments of Ten States: A Descriptive Analysis

Abstract

Like the U.S. economy, the Kansas economy is in a state of transition, with the Kansas economy performing below national averages. To encourage growth, the state of Kansas initiated an economic development strategy in 1986. Kansas is not alone in its efforts to encourage economic growth through economic development programs. Other states are also funding economic development initiatives to encourage economic growth. To determine how funding for Kansas economic development compares to funding in other states, Kansas' economic development programs' expenditures (FY 1989) and appropriations (FY 1990) were compared with expendi­tures and appropriations made by selected states.

The purpose of the study was to determine (1) the overall spending for eco­nomic development programs in Kansas and selected states and (2) the distribution of funds across six areas of economic development program activity. This enabled us to determine how economic development foundations were being funded in Kansas and other states. Data were collected for individual programs. The diversity of programs made it difficult to compare states at the level of individual programs, so programs were categorized by function or activity and a descriptive analysis of program categories was done. Thus, the main focus of analysis was on broad categories of economic development programs.