New Report Examines Recent State Economic Development Initiatives

A new NGA Issue Brief examines a variety of economic development initiatives enacted by states from September 2003 through September 2004. Despite limited resources available for new programs, a number of initiatives were launched to improve job growth and job quality.

Most of the major new economic development initiatives focused on enhancing state and regional "clusters of innovation", fast-growing groups of businesses that share markets, labor, new ideas, and products. To enhance these clusters and exploit the unique advantages of the region’s labor pool, educational resources, and research capacity, most development initiatives emphasized one or more of the following strategies.

* Building a skilled workforce, by providing training and education to meet industry needs.

* Promoting research and development at local universities and in the private sector, by leveraging public funds and encouraging partnerships.

* Supporting local entrepreneurs by providing venture capital funds and incentives for job creation.

* Developing rural areas, by supporting innovations in agriculture and supporting small business development.

* Supporting tourism and cultural activities, through state funding and programs.

* Improving business attraction through revitalization activities and quality of life initiatives.

* Marketing the state through outreach campaigns and international missions and offices.

Related Links:

* NGA Center for Best Practices Issue Brief, ”Enhancing Competitiveness: A Review of Recent State Economic Development Initiatives” http://www.nga.org/center/divisions/1,1188,C_ISSUE_BRIEF^D_7817,00.html

Full Story: http://www.nga.org/center/frontAndCenter/1,1188,C_FRONT_CENTER%5ED_7869,00.html