LOCATION CONDITIONS OF ENERGY-INTENSIVE ENTERPRISES

There is an interdependent relationship between enterprises and the region in which they are located: On the one hand the conditions of this location influence turnover, costs, profits and thus the economic situation of the individual firm. On the other hand the economic situation of the regional firms is an important determinant of regional economic success and the wel-fare of the people living in that region. This happens directly because the firms stabilize re-gional income and employment; but there are also indirect effects running via income and input-output-linkages. Regional economic success and welfare in turn determine the regional tax receipts and the regions’ possibilities for positively influencing the location conditions. These interdependencies give an explanation for the high interest firms, politicians and re-searchers normally have in regional location conditions and their quality. The better a region’s information about these issues, the better its possibilities to promote its location advan