Bismarck North Dakoda Case Study

The key concepts of the section Regional Economic Development are: localized economies and agglomeration, backwards-and-forward linkage, social capital, and spread effects. Localized Economy is when an industry clusters in an area giving the area economic advantage and growth. An example of this is when there is a large natural resource, like steel, is close to a manufacturing site, like railroad tracks. The agglomeration is the effect is the causes and effects between the manufacturer and other industries in the area. An example of this is when a manufacturing site falls the industries around them fall eventually as well. Backward linkage is when industries need to by something to make a product. A Foreword linkage is when companies sell their product to another company. This is like a table manufacturer being used by a restaurant nearby. Social capital is the people’s gain from the manufacturing in the area. This can be seen in taxes of the manufacturing employees that then help builds parks and better schools. Spread effect is when these social capitals grow to areas outside the original …show more content…
The Bismarck Tribune discusses the Dakota Access pipeline, that discusses the harm the pipeline can do to the lands typical way of life. The reason this pipeline is being built is that oil is so incredibly valuable to the country that Bismarck, North Dakota has a strong comparative advantage to build there over other locations in the United States(Nicholason,2017). The Bismarck Tribune also discusses a new manufacturing development in Bismarck, Bobcat Company. The company stated that Bismarck was the location and space to manufacture its compact loaders, that it provided the resources to the company. This is the comparative advantage that Bismarck has resources in order to manufacture these items. By being here the manufacturer has the ability to get resources for