The Atlantic Cities: Radiating Death: How Walmart Displaces Nearby Small Businesses
- "No matter which direction you go from Walmart, there's a very high rate of business closures in the immediate vicinity, and the further away you get there's less and less," says University of Illinois Chicago economics professor Joe Persky, one of the authors of the study, which was just published in Economic Development Quarterly.
- The per-mile closure rate increase for drugstores is almost 20 percent. For home furnishings, it's about 15 percent. For hardware stores, it's about 18 percent per mile. For toys, it's more than 25 percent per mile. The research also shows that during the study period, from 2006 to 2008, overall sales tax revenues went down in the two ZIP codes closest to or encompassing the Walmart.
- By 2008, the amount of jobs lost because of store closures was just about the same as those created by the Walmart store's opening. It was, Persky says, a wash. "You may have reasons to want Walmart and you may have reasons not to want Walmart, but economic development is not one of those reasons," Persky says. "And yet that's been, in many cases, the primary argument for bringing Walmart to the city."