Civic Economics explores the pros and cons of chain retailing on local economies.
"When you spend $100 at the chain Borders Books & Music, your purchase creates only $13 worth of local economic activity. That same $100 spent at locally owned book or record store generates $45, or more than three times as much local economic activity. That's the conclusion of a new study conducted by Civic Economics and published by Livable City in Austin, Texas. The study, "Economic Impact Analysis: A Case Study," examines the local economic impact of two of Austin's venerable independent businesses---Waterloo Records, widely considered to be the best music store in the nation, and Book People, a beloved, 32-year-old bookstore. 'This analysis demonstrates a clear failure of public policy to steer desirable development at the site in question,' the study concludes. 'As presently configured, new development at the corner will yield a net loss to the local economy. Moreover, previous decisions have placed the city in the position of subsidizing such an outcome.'" [PDF, 1 MB]
Thanks to Dan Zack
FULL STORY: Local Merchants vs. Chain Retailers
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