Introduction Flashcards
Economic Developments strategies should be based on
needs, assets, and goals of the community
before establishing any new initiative a practitioner must
- study the historical growth and decay of the community over time, including how its natural resources, workforce, and leadership have evolved to meet the needs of the knowledge-based economy;
- discern the critical strengths, weaknesses, opportunities, threats, and challenges the community faces;
- understand existing business and development assistance programs;
- determine if there are existing programs to leverage, expand or modify to fit needs;
- understand the obstacles fro private sector growth and development; 5. build relationships with utilities, workforce development groups, chambers and other stakeholders to create a vision for the community
Economic Development Definition
a program, group of policies, or set of activities that seeks to improve the economic well-being and quality of life for a community by creating and/or retaining jobs that facilitate growth and create a stable tax base
Most common objectives of economic development
create jobs, wealth, or assets and the improvement of the quality of life
economic development efforts typically include the following:
Job Creation
Job Retention
Quality of Life
Job Creation
Traditional objective of economic development ; jobs created should support a desired standard of living and decent working conditions, and opportunity for advancement. Overall goal is to boost local income
Job Retention
Also referred to as BRE focuses on economic development resources on maintaining the current employment levels in a community through outreach campaigns. Most net new jobs created come from within the community which makes existing businesses a critical focus for econ dev
Quality of Life
represented by safety, education, quality and opportunity, poverty reduction, environmental quality, and cultural and recreational amenities. It makes living, working, and conducing business in a community worthwhile
Quality of Place
Places that are open to new ideas, encourage diversity, among residents and have abundant skill sets that are required to launch new business and new industry CREATIVE CLASS
Factors that can significantly affect the likelihood of success for economic development projects and programs no matter the community
- strategic plan with a widely accepted vision and measurable indicators of success and failure
- strong understanding of the local economy, its strengths, weaknesses, opportunities, and threats
- programs built on comparative advantages
- local leadership that stimulates cooperation an collaboration within community
- sustained financing over a long period of time
- management that strives for excellence in customer service
Economic Development Players
Local Government State Government Federal Government Special Authorities Public/Private Partnerships Chambers and Other Business Assoc. Universities and Research Partners Community Colleges workforce development organizations neighborhood groups utilities philanthropic organizations
Local Goverment
primary initiator of economic development programs and how they use state and federal funds. They have taxing, zoning, and eminent domain authority and can provide infrastructure, support commercial revitalization, and promote all business development
State Goverment
broader authority than local gov. they are the main provider of econ dev through state funds and receipt of federal dollars. Powers include taxing and setting compensation levels such as unemployment insurance, education, infrastructure, and transportation. States are involved in technology development, university linkages, special funding for business development, and export assistance
Federal Gov
provides funding and technical assistance through various agencies; regulatory powers include where to locate federal buildings and offices and effects economic development through legislation like the Community Reinvestment Act (CRA). Federal gov also has specific programs that focus on rural and urban issues
Special Authorities
usually legislated by state governments to construct and operate major public projects like an airport , stadium, port, or redevelopment authority. Boards are appointed by state and local officials. Powers typically include the ability to incur debt and acquire and develop property
Public/Private Partnerships
have greater flexibility than the public sector to conduct economic development activities since they don’t have to answer to such broad constituencies. In general they are formed around specific development projects like workforce training, venture capital, marketing, tech development, and technical assistance
