The Economic Impact of Investment in the Food Processing Industry in US Rural Counties: The Case of Scott County, Virginia

This thesis examines the economic impact of two alternative canning plant sizes in Scott County, Virginia. The impacts of a community cannery as well as a commercial cannery are analyzed with respect to changes in output, employment, and income. Several uses for the commercial cannery are considered, such as specialization in different product categories. In both cases, an input-output model is used to evaluate the effects of the operation of the cannery in the county.The results indicate that the impact of the commercial cannery is significantly larger than the community cannery. Specialization of the commercial cannery in the Canned Specialties sector has the largest impact with respect to industry output and labor income while specialization in the Sausages and Other Prepared Meats sector has the largest impact with respect to employment.