### Question
Can you define what qualified economic development purpose means?


### Answer
**Qualified economic development purpose** is defined as the following in *26 U.S.C. § 1400U*:

> expenditures for purposes of promoting development or other economic activity in a recovery zone, including—


(1) capital expenditures paid or incurred with respect to property located in such zone,


(2) expenditures for public infrastructure and construction of public facilities, and


(3) expenditures for job training and educational programs

#### Citation:
  - *26 U.S.C. § 1400U*
  - Heading: **Subtitle A-Income Taxes > CHAPTER 1-NORMAL TAXES AND SURTAXES > Subchapter Y-Short-Term Regional Benefits > PART III-RECOVERY ZONE BONDS**

