How Smaller Cities Can Encourage Their Tech Economies

A new study from the Brookings Institution Center on Urban and Metropolitan Policy, Spreading the Wealth: Building a Tech Economy in Small and Medium-sized Regions, looks at the strategies five Washington regions other than Seattle employed to encourage the growth of their tech economies.

Contact: Sam Leiken
Social, Economic and Workforce Programs Division NGA Center for Best Practices

The paper identifies key lessons from the five case studies and recommendations that the authors believe have applicability across the country. The following suggestions are included in the executive summary:

* Invest in broadband and other telecommunications infrastructure necessary for technology development. Adequate broadband capacity is a prerequisite for IT growth. Meeting demand can be achieved in creative ways based on an expansion of utility systems used for power system management, augmentation of public sector systems, negotiations with existing telecommunications companies, or fostering startup telecommunications.

* Focus on "grow your own" strategies for technology development. Given the history of the techpole regions in this country, entrepreneurial development deserves far more attention relative to marketing and recruiting-based strategies. The establishment of robust networking, mentoring, and startup capital programs, combined with improvements to infrastructure, education, and real estate offerings are key to enhancing the competitiveness.

* Find ways to link research institutions to the local economy. Research institutions play an important role in fostering and supporting technology-based development through the generation of commercially viable ideas, training sophisticated workers, and problem-solving for local companies. Branch campuses, cooperative extensions, and other outreach programs can play an important role in bringing the benefits of the research university to smaller communities.

* Continually monitor and evaluate strategies and results. Regional leaders must carefully monitor and evaluate their efforts to ensure that the results achieved are commensurate with the resources invested to extend the benefits of technology into their communities. Understanding what is working and what isn’t is essential to ensuring that program and policies evolve appropriately over time.

* Work with state level research, education, and infrastructure efforts. Local technology development strategies need to be supported by state level polices and programs that are tailored to each local community. Leadership at the state level is also necessary to provide a sense of direction and project a positive outside image that can powerfully complement local efforts.

Related Links:

* Spreading the Wealth Report: http://www.brookings.edu/es/urban/publications/200310_sommers.htm

http://www.nga.org/center/frontAndCenter/1,1188,C_FRONT_CENTER%5ED_6078,00.html