Sunday, February 09, 2003
Business climate really means "business costs", and California is finding out that relative business costs matter in a global economy.
When business costs get out of line, companies expand elsewhere. The situation is particularly difficult now. With soft markets and stiff competition, companies have a tougher time raising revenues. So, managing a state's business costs matter more than ever.
But EDPros need to keep things in perspective. Business costs are not the only "driver" of business expansion. In fact, a recent report by Economy.com calculates that about one-fifth of all employment gains across the 50 states since the mid-1980s can be explained by differences in the costs of business.
A recent article in the LA Times explores the consequences of California's business climate. (Registration required.)
posted by Ed Morrison |
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Some Background on EDPro Weblog
The purpose of this weblog is to help economic development professionals -- EDPros -- keep up with the changes sweeping our profession. Strap on your goggles. It's a whole new game. There are no experts any more. The only place to learn about economic development is from other EDPros who are doing it.
One other point: the prevaling approach (paradigm, if you like) in economic development is shifting from competition to collaboration. There are a lot of reaasons underlying this shift, but here's the important insight: You, your community, and your region will do better by collaborating and sharing information.
If you are using a news reader, here is the link to syndicate this site:
Here's the link if you are a bloglines subscriber:
Speaking and workshops on Open Source Economic Development
As the idea of Open Source Economic Development starts spreading, more people are asking about it. Visit the I-Open web site to learn more. My colleagues and I are happy to explain the basic concepts in a talk or a workshop. E-mail Susan Alshuler if you'd like to learn more about workshops and speaking.
Background on Ed Morrison
Download some background information on me here.
California finding out that business costs matter
