ED Futures Newsletter

Dear ED Futures Reader,

Here is the index for this past week's article. Hopefully there is something in here that aligns withn your interests.

4/22/2006
Economic Gardening
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4/22/2006
You Should Be Concerned
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4/22/2006
Ford Continues Its Losses
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4/21/2006
Industry Profile: Paints and Coatings
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4/20/2006
Industry Profile: Medical and Diagnostic Labs
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4/20/2006
Combating Ignorance
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4/20/2006
Financing Brownfields Redevelopment in Indiana
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4/19/2006
Arkansas' Mature Worker Initiative
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4/19/2006
Toyota Coming with Ethanol Cars
View

4/19/2006
Bank of America's New Small Business Investment
View

4/19/2006
Offshoring an Issue for Australia
View

4/18/2006
Latest Venture Capital Update
View

4/18/2006
Louisiana Launches New Marketing Campaign
View

4/18/2006
Mid-Michigan Lands WIRED Grant
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I have been doing some research on economic development organizations around the world. Here are a few from Mexico that I ran across. Take a look and see what they are up to. Note: You may want to brush up on your Spanish.

Mexican Economic Development Organizations:

Estado de Mexico
Compeche Economic Development
Chiapas Economic Development
San Nicolas de los Garza NL
San Felipe Economic Development
Tijuana Economic Development Corp.
Colima Economic Development
Nuevo Leon
Piedras Negras Industrial Park
Tres Naciones Industrial Park
Ciudad Obregon Economic Development
Durango Economic Development
Coahuila Economic Development
Economic Development Council of Sonora
DIMSA

Best wishes,

Don Iannone
Publisher
ED Futures Journal
Email: dtia@don-iannone.com
Telephone: 440.449.0753

Economic Gardening

In 1987, the City of Littleton, Colorado pioneered an entrepreneurial alternative to the traditional economic development practice of recruiting industries. This demonstration program, developed in conjunction with the Center for the New West, was called "economic gardening."

We have had many communities visit us and inquire about the program over the years. In an effort to provide a concise summary of our original thinking and the evolution of that thinking during the first years of the program, we present here a synopsis of our experience.

Read the rest of the story here.

You Should Be Concerned

The International Monetary Fund convened a first-of-its-kind meeting with top economic officials from more than 20 nations to discuss global trade imbalances, a tentative step toward persuading policymakers to join a coordinated effort against a serious potential threat to the world economy.

Following that meeting, top officials from Group of Seven major industrial nations also met and issued a statement hailing the "strong global economic expansion" but highlighting the need for reducing the imbalances, which "requires participation by all regions." In a special statement on the imbalances, the G-7 appended a list of necessary actions, ranging from shrinking the budget deficit in the United States to allowing China's currency to rise to increasing investment in energy-related infrastructure in oil-producing countries.

The meetings and statements reflected a growing sense of urgency among some policymakers to develop an international strategy for dealing with the enormous trade gaps and corresponding flows of money across borders. The IMF has drawn intense criticism from many economists and some prominent officials for being too timid in addressing the problem.

The critics contend that the U.S. trade deficit, which soared to $723.6 billion last year, and the huge surpluses in Asia and many oil-producing nations could lead to an international financial crisis of the sort that the IMF was supposed to prevent when it was created more than 60 years ago. The fear is that as foreigners accumulate vast holdings of dollars from the goods they are selling to Americans, a sudden loss of confidence in the U.S. economy might spark a crash of the dollar and financial markets worldwide.

Read more here.

Ford Continues Its Losses

Ford Motor, posting an even larger loss than rival General Motors, lost $1.2 billion during the first quarter as it recorded $2.5 billion in charges for its latest restructuring plan.
It was Ford's biggest quarterly deficit since the fourth quarter of 2001, when it reported a $5.07 billion loss after taking $4.1 billion in charges for a previous restructuring plan.

Read more here.

Combating Ignorance

Many people do not understand economic development. Each of us has a job in ensuring people we know understand the basics of economic development. In this sense, we must combat ignorance about the field.

Here is some useful advice on combating ignorance in general. It is a useful starting point. The source is the University of Arizona College of Agriculture.

"Ignorance happens to everyone. Knowing what you don't know is important for everyone. Unfortunately, there is not a lot written (that I can find) on this subject. Most is someone from a particular viewpoint that is calling those with other views as "ignorant". This shows how neglected this field is, but it is immensely important in future studies to know what you don't know, so you can get on with finding out new information and accepting new ideas. You may also want to review "knowing what you don't know" for additional approaches.

Assumptions

Often assumptions are not stated. This leads others to speculate on what assumptions really were used or the reader inserts their own assumptions. Were the assumption s avoided because the author did not know how to address assumptions, or because their own values were such that the item seemed like a fact. Did the reader do the same thing, and read their own "facts" into the reading. Knowing how to separate fact from guessing is essential, otherwise the writer and the reader may attach different meanings to the same content..

Ignorance Questions

What do you know you know?
What do you know you do not know?
What are the things you don't know you don't know?
What do you think you know but you really don't know?
Taboos and forbidden knowledge - what is untouchable?
Denials - what is too painful to know and therefore you don't know?
What are the dangers of not knowing something and what are the benefits?
Under what conditions (e.g., state of mind, location) to you do your best "thinking, reflecting, pondering"?

Possible Actions

Ask experts what they know and what they don't know
Read statements by visionaries about what they think the future may bring
Do a literature search on what is unknown in your field of study (includes topics of great controversy)
Speculate on how the unknown might become known
Read what others have defined as " the most important discoveries in the next 50 years)

Questions to ask yourself

What is the most important question in your discipline or field of study?
What makes that question so important?
What can you do to learn more about the question?"

Financing Brownfields Redevelopment in Indiana

Here is an example of good approach to financing the cleanup and redevevelopment of brownfield sites: Indiana Finance Authority.

In 1997, the IFA became the administrator of Indiana's Brownfield Revolving Loan Fund. The initial $10 million fund capitalization, and subsequent appropriations and transfers by the Indiana General Assembly, has greatly enhanced brownfield assessment and cleanup efforts in Indiana. In cooperation with the Indiana Department of Environmental Management (IDEM), local governments, developers, environmental consultants and other interested parties, IFA’s brownfields financing incentives play an important role in supporting brownfield projects statewide.

Arkansas' Mature Worker Initiative

Arkansas' "Mature Worker Initiative" is an effort to stem a shrinking workforce caused by retirement of many Baby Boomers.

AR Gov. Mike Huckabee said the program recognizes the value of older, experienced workers who otherwise may soon be retiring. Huckabee cited U.S. Bureau of Labor Statistics data that shows 43 percent of the existing workforce will reach retirement eligibility by 2012. The report said younger generations are 15 percent smaller than their Baby Boom predecessors.

Many younger people also are not qualified as replacements, Huckabee said." More frightening is the fact that the people that we're losing are the most seasoned, experienced, knowledgeable people of how their particular jobs are done," he said.Arkansas is one of four states partnering with AARP as pilot locations for the initiative. Arizona, Iowa and Mississippi are the other states participating in the program.

More here.

Toyota Coming with Ethanol Cars

Toyota Motor Corp. plans to sell ethanol-powered vehicles in the United States by 2008, following the lead of domestics General Motors Corp. and Ford Motor Co. the Financial Times reported recently.

Toyota, a market leader in gasoline-electric hybrid vehicles, has resisted the technology amid worries about the impact of highly corrosive ethanol on rubber seals in the engine, the Financial Times said.

U.S. auto makers have produced about 6 million flexible-fuel vehicles, with many running on E85, or a fuel blend consisting of 85 percent ethanol, or ethyl alcohol, and 15 percent gasoline.

More here.

Bank of America's New Small Business Investment

Bank of America Corp. will invest $10 million in the Opportunity Finance Network to spark small-business development. The Opportunity Finance Network will use the funds to provide loans and investments to financial intermediaries known as community development financial institutions.

The intermediaries will lend to, and invest the funds in, small businesses in low- and moderate-income communities to create growth opportunities for business owners and local residents.
Financing will be distributed with an initial focus on California, expanding later to other markets.

The Opportunity Finance Network, formerly known as the National Community Capital Association, works through a financial network of 167 companies that finance job growth, affordable housing and community services.

More here.

Offshoring an Issue for Australia

Australian manufacturers are set to send about 30,000 jobs offshore in the next 12 months as global pressures intensify.

A new survey of 800 manufacturers and 200 corporate chiefs by the Australian Industry Group has found the amount of activity conducted by Australian businesses offshore is set to rise from 15 per cent to 25 per cent over the next year.

The high exchange rate and the rise of China as an economic powerhouse are adding pressure to businesses already facing pain from falling prices and market share.

More here.

Latest Venture Capital Update

Private equity fundraising had another very strong showing in the first quarter of the year with ninety-three funds raising a combined $31.4 billion, according to Thomson Venture Economics and the National Venture Capital Association (NVCA). Fifty-one venture funds accounted for $6.5 billion of the total while forty-two buyout vehicles raised $24.9 billion. While these figures show a decline from the fourth quarter, they are a significant increase over the first quarter of 2005.

Venture dollars raised in the first quarter declined by 13.1% over the fourth quarter when sixty-three funds attracted $7.5 billion, but gained by 21.2% over the first quarter of last year when fifty-nine funds took in $5.4 billion. On the buyout side the respective differences were more pronounced. This quarter’s $24.9 billion represents a 22.1% fall off from last quarter’s $31.9 billion, the largest amount of money ever raised by buyout funds in a quarter. However, this quarter outpaced by 76.8% the first quarter of 2005 when forty-nine funds raised $14 billion.

Read more here.

Louisiana Launches New Marketing Campaign

Louisiana EconomicDevelopment (LED) has launched an integrated marketing campaign designed tofocus business leaders around the globe on the unprecedented opportunityfor investment in Louisiana.

The campaign, dubbed "clean sheet," featuresthe most aggressive business incentives package in U.S. history, nowavailable to businesses expanding, rebuilding or relocating in Louisiana.

More here.

Mid-Michigan Lands WIRED Grant

Michigan State University President Lou Anna K. Simon today announced the kickoff of the Mid-Michigan Innovation Alliance that will implement a three-year $15 million WIRED grant awarded to the area by the U.S. Department of Labor. Simon also announced that David C. Hollister, CEO of the Prima Civitas Foundation, will coordinate the alliance and implement the WIRED grant.

The Workforce Innovation in Regional Economic Development (WIRED) grant awarded to the Mid-Michigan Innovation Alliance in February is one of 13 grants awarded nationally by the U.S. Department of Labor. A key element of the mid-Michigan proposal is to refocus automotive supplier firms once tied to the automotive industry to emerging and growing manufacturing markets as well as the development of an alternative energy sector, including preparing workers for jobs in the bio-based, post-petroleum economy.

More here.

ED Futures Newsletter

Dear ED Futures Subscriber:

More practical stuff in this issue: management tips; industry profiles; and the latest ED news. Click on the links and enjoy.

Brushing Up on Communications
Sunday, April 16, 2006

Get Organized to Do Your Work
Sunday, April 16, 2006

Google Offers New Free Online Calendar
Sunday, April 16, 2006

Economic Confidence: Where's Yours?
Saturday, April 15, 2006

Defining Business Incubation
Saturday, April 15, 2006

Wasting Time: Let Me Count the Ways
Saturday, April 15, 2006

Ford Still Standing in St. Thomas, Ontario
Friday, April 14, 2006

Tennessee's Fast-Track Infrastructure Program
Friday, April 14, 2006

Expansion Management on What It Takes to Develop Biotech
Friday, April 14, 2006

Target Industry: Specialty Retail
Thursday, April 13, 2006

Industry Profile: Timber Operations
Wednesday, April 12, 2006

The Municipal Government Industry: Is There Such a Thing?
Tuesday, April 11, 2006

Best wishes,

Don Iannone
Publisher, ED Futures Journal
Email: dtia@don-iannone.com
Telephone: 440.449.0753

State and Local Tax Burden Data

Want to know how the overall tax burden in your state compares to others? The Tax Foundation has the answer. Click here to see the 1970-2006 charts.

Which states top the list based upon state and local taxes?

Maine
New York
Ohio
Minnesota
Hawaii

Useful IRS Data

Your federal income taxes are due today. That much you know.

Did you know that IRS makes available some useful statisitics that can help economic development analysis and planning?

To learn more, click here. You will need several XL spreadsheets containing data on both business and individual tax returns.

Get Organized to Do Your Work

25 Office Organizing Tips
By Janet Taylor

1) Clean out each desk drawer, to free up even more valuable storage space.

2) Clear off the top of your desk, then wipe off the surface of the desktop.

) Keep essential items on your desktop (computer, phone, fax, card file).

4) If you work with more than one person create an in box for each person.

5) Have a master to-do list for each day at your desk.

6) Pre-Sort the mail. To-File, To-Read, To-Contact(write or call).

7) Use a variety of containers to organize office supplies, paper clips and pens.

8) Use a variety of desktop organizers or trays to organize papers that come across your desk.

9) Create a separate drawer for personal paperwork, items, etc.

10) Use storage boxes to store dated files.

11) Purchase magazine boxes to store booklets, magazines, catalogs you want to keep.

12) Create a file for magazine articles or scan them into your computer.

13) Filing system should be simple easy and manageable.

14) Color-coding your files makes it faster to find information.

15) Do not over stuff folders. It may be time to toss some of the information in the folder .

16) Never overload filing drawer. It will make it difficult to retrieve information in the drawers.

17) Sub-divide larger files with interior file folders.

18) Tab hanging file folders in the front.

19) Return calls in batches. Leave specific messages and the time you called if the person you’re trying to reach isn’t available.

20) Empty workspace of everything but the project you’re working on to cut down on distractions.

21) Keep an assortment of all-occasion cards and stamps in your desk.

22) Keep takeout menus from favorite restaurants so you can order ahead and pick up dinner on your way home.

23) When using more than one checking account, color coded checks are an easy way to identify each account.

24) At the end of each project or event, organize paperwork and file or store it.

25) Straighten desk at the end of the day and especially at the end of the week so that you can start each morning with a clear desk.

Google Offers New Free Online Calendar

Search giant Google has announced a free, Web-based 'shareable' calendar service called, appropriately enough, Google Calendar, which allows users to post up events and share them with others.

Just one tiny bit of advice. Be careful what you make public that anyone can access. People can use your own information against you.