The employment impacts for a high tech community of shifts in spending from defense/space to civilian purposes

This study examines the regional employment impacts of shifts in spending from the defense/space sector to the civilian sector. By examining this issue in the context of a region with a high concentration of existent defense/space related industries, this research provides policymakers with a better understanding of the employment impacts for such shifts in spending for regions highly dependent upon defense/space spending. Findings from this study indicate that even for an area with an industrial infrastructure to support the defense/space production, a shift in investment or spending from defense/space sector to the civilian sector results in an increase in overall regional employment. This finding is important since many community leaders assume that with higher concentrations of resident firms closely allied to the defense/space sector, there exists an infrastructure which favors additional investment or spending in the defense/space sector rather than equivalent civilian industries.