Abstract
Using Area Sector Analysis Process (ASAP) data collected from the Community and Business Survey, we generate a utility that captures trade-offs between community and business needs. We use the General Algebraic Modeling System (GAMS) to calculate the marginal impact of different business climate factors on the utility of 19 regions in Utah, Nevada, Arizona, and New Mexico. We find that quality education and health care, favorable tax compensation, quality of workforce, access to supplies and customers, and low crime rates have relatively larger marginal impacts on social planners’ development goals. High quality natural ecosystems, outdoor recreation, social and cultural opportunities, and affordable housing have relatively small impacts on development objectives. This paper provides a benchmark for policy makers and planners, suggesting that they focus on policies that encourage investment in assets with relatively larger marginal impacts.