| As part of its strategy to attract new businesses, in 1994 the State of Alabama won the Mercedes Benz bid to establish an automobile assembly plant in Vance, Tuscaloosa County, Alabama at the cost of $222 to $253 million worth of incentives. The study assessed the economic impact of the Mercedes Benz investment using IMPLAN. The IMPLAN industry code 49, industrial construction, and industry code 384, motor vehicle, were used to project the impact of the investment for the construction and production phases respectively. The results from four scenarios indicated that the investment would generate sizable direct and indirect employment, income, output, and tax revenue for the state economy. From the estimated revenue, the pay-out period for the cost of the... |
