Kentucky it was!

[Baker, John]

        The early strips, at least, seem to make Dogpatch's Kentucky location clear. In addition to the initial reference to "Dogpatch, Kentucky" in the 9th strip, in August 1934, there is a similar reference on December 4, 1934; a newspaper story about Daisy Mae on February 12, 1936, is entitled "Perfect American Beauty Found in Kentucky Hills"; and Li'l Abner buys a train ticket to "Dogpatch, Kaintucky" on February 14, 1936.  There may be other references; these are just what I noticed with a quick look through the first two volumes of the collected daily strips.

John Baker