Studienarbeit aus dem Jahr 2007 im Fachbereich Geowissenschaften / Geographie - Wirtschaftsgeographie, Note: 1,3, Technische Universität Ilmenau (Finanzwissenschaft), Veranstaltung: Neue Politische Ökonomie, Sprache: Deutsch, Abstract: This paper explores the instrument of rental factories used by governmental bodies to promote regional investments and economic growth. Having the competition between locations concerning the attractiveness for companies as a starting point, this article presents and describes the fundamental informational asymmetry of investment decisions between investors and governmental bodies. The analysis continues with an in-depht investigation of rental factories as an instrument in the location competition. Finally, the paper concludes with an assessment of rental factories and their effect on economic welfare.
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