NewsLink V9, N2, Winter 2005

BHI takes findings on interstate competitiveness to State House

PLAYING TO WIN - State Representative George Peterson delivers opening remarks at BHI's recent State House conference on competitiveness as Director of Research John Barrett (L). Mass. Department of Business and Technology Renee Fry and BHI Senior Economist Jonathan Haughton ewait to offer their remarks on how to promote the right mix of policies to keep the Bay State on top.

REGULATORY ROADBLOCKS - American Alarm and Communications President Richard Sampson underscores the need to streamline the state's bureaucracy at BHI's conference on April 25

 

 

While it consistently ranks as a major league high-technology state and center of finance, Massachusetts must persistently “play to win” if it wants to sustain economic growth and a high level of per capita income. That’s the message delivered by several participants at The Beacon Hill Institute’s “Playing to Win in Massachusetts” conference on April 25 at the State House.

Building upon BHI’s trendsetting Metro and State Competitiveness Reports, the conference identified the prospective “obstacles to our competitiveness”: namely housing, transportation, human capital and business and government collaboration. The event sought to bring together a forward-thinking group of academics, business leaders, legislative aides and elected officials.

“Competitiveness is a long-term concept,” said Senior Economist Jonathan Haughton. “The fundamentals here remain (strong) but those could be nullified quite quickly by the high cost of housing.”

Director of Research John Barrett underscored the importance of developing and retaining the region’s advantage in human capital as policymakers worry about the increasing rate of “brain drain” due in part to housing costs. He also spoke of the need for public and private partnerships.

Renee Fry, Director of the Department of Business and Technology, noted that while the business climate in Massachusetts has improved dramatically over the last decade, the Bay State still is tagged with the “Taxachusetts” label. Some longstanding issues like higher unemployment insurance costs need to be addressed. She spoke of ongoing efforts by the Romney administration to increase affordable housing by offering towns incentives.

Jonathan Seelig, Managing Director of Globespan Capital Partners, a venture capital firm in Boston, noted the strength of the state’s diversified private sector that drives the state’s competitiveness. When it comes to human resources, technology, business incubation Massachusetts does well but it needs to improve its tax and fiscal policies. However, Seeling noted that some firms are finding it difficult to recruit medium skilled workers and managers because of housing and transportation challenges.

Michael George, CEO of Bowstreet Software and a Suffolk University trustee, spoke of the state’s strengths such as a highly skilled workforce when his company needed to expand. In 2003, his firm moved to Tewksbury from New Hampshire, which was attractive because it offered lower cost housing.

 

 

 

 

   

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