Abstract:
In 1978 Governor Brendan Byrne began his second term by making the revitalization of New Jersey's decaying cities a top priority of his administration. This case examines attempts by the Byrne administration to put together an economic development strategy, focusing specifically on the proposal to create a free trade zone in Mount Olive Township. Part A provides a vehicle for discussing several issues surrounding economic growth policy: the process for developing such a policy, the tools for implementing it (taxation, public investment, regulation), and the means for managing it. Part B raises questions having to do with the state's leverage with developers, and provides the basis for mock in-class bargaining. The key question raised by the case is whether a state should put obstacles in the way of development in certain areas in order to divert development to others.
