Cover: The Effects of Military Base Closures on Local Communities

The Effects of Military Base Closures on Local Communities

A Short-Term Perspective

Published 1996

by Michael Dardia, Kevin F. McCarthy, Jesse D. Malkin, Georges Vernez


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This study looked at three California communities, which are adjacent to three U.S. military bases that closed in the early 1990s. The following measures were used to evaluate the effects of base closures: size of local population and school enrollment; size of labor force, unemployment rates, taxable retail sales, and municipal revenues; and vacancy rates and sales prices of housing. Changes in these measures were compared to predicted changes, changes in similar communities where the bases had not closed, and changes in other communities in the same county. Researchers concluded that, although the closures had noticeable effects, they were (1) not as severe as predicted, (2) fairly localized, and (3) partially offset by other economic factors.

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