Recommendation

Congress should create global knowledge investment zones to attract foreign direct investment.

Details

The federal government should enable a limited number of global knowledge investment zones in and around research agglomerations (e.g., Research Triangle, N.C.; Rochester, N.Y.; and Ames, Iowa) to attract high-value-added foreign direct investment. Communities would compete for the designation by offering incentives such as property-tax waivers, and firms eligible to relocate there would receive a generous mix of benefits to spur innovation and jobs, including special R&D tax credits, streamlined access to university technology, and visa preferences.

Keep reading:

▪ Stephen Ezell and Robert D. Atkinson, “Fifty Ways to Leave Your Competitiveness Woes Behind: A National Traded Sector Competitiveness Strategy” (ITIF, September 2012), https://itif.org/publications/2012/09/20/fifty-ways-leave-your-competitiveness-woes-behind-national-traded-sector.