Industrialization is an integral part of many rural community development programs across the country. Interest in attracting industry is often based on an ex ante assessment by local groups and officials of the positive benefits accruing to the community or area from industrialization. Obvious benefits to a local economy include increased output, income, and employment. Benefits occur in the form of purchases of labor and inputs by industry from endogenous sectors and the resulting local trade. A complete understanding of these benefits by local groups and officials in rural economies is essential for the planning of effective industrial development programs.