When I took office 18 months ago, with the support of Governor Kenny Guinn, the Nevada Commission on Economic Development (NCED) embarked upon an extremely aggressive, energetic, and, I believe, creative pursuit of economic diversification. As chair of the Commission, I am privileged to lead our state’s efforts to maintain its competitive edge in economic diversification. I strongly believe that we should market the state as a whole, identify our statewide resources, examine our strengths and weaknesses, and most important of all, bring together the public and private sectors to form bonds of communication that will lead us to work together to accomplish shared goals.
Economic diversification is extremely important to the long-term well being of our economy. This does not, of course, discount the importance of our primary industry – gaming and tourism – but rather it recognizes that developing other equally strong industry sectors serves as an economic stabilizer.
Rapid changes are occurring in the world of business each day. These changes are often called the new economy – signifying a financial system where change is rapid and competition is relentless. As a result, it is more important than ever before that Nevada diversify its economy by attracting businesses that complement our existing economic base, while focusing on expansion and retention of existing companies that fit our diversification vision.
At NCED we are working to create a state less dependent upon a single industry, and less vulnerable to economic slumps in a particular sector of the economy. At the Commission, we are working to establish an alignment among Nevada’s economic development partners because it will take all of us working cohesively to set Nevada on a course of sustained economic prosperity. It is important to remember that Nevada cannot succeed in its efforts without the support of the numerous public and private organizations that provide the foundation for a strong diverse economy. The best successes have been realized when government support and policy direction are combined with private-sector initiative.
To make this goal a reality, the Commission coordinates efforts with a statewide network of 13 regional development authorities, targeting businesses that are suitable for the Nevada business culture. Two such industries have materialized as major prospects – the multimedia industry and the high-tech industry. I believe the increasing demand for products of entertainment, and our unique place on the world stage, position Nevada to be a major producer and exporter of multimedia products in the 21st century.
A few months ago, we announced a comprehensive marketing plan that compiles all the existing state economic development programs and focuses our efforts in a unified direction as a state. I believe Nevada has the ability to compete with other states if we create original ideas, and use our own unique qualities to develop opportunities.
One such creative thought is to position Nevada as a safe haven for intellectual property. Intellectual property – ideas, designs, inventions, written works, and discoveries – constitute the new economy’s wealth. As entrepreneurs seek to commercialize knowledge and technology, protection of their creations takes on considerable importance.
In July, NCED was selected by the Kaufman Foundation to participate in a policy academy designed to help Nevada craft strategies and initiatives that will improve the entrepreneurial climate in our state. As one of eight states chosen to participate, Nevada is honored to have this opportunity to improve our ability to grow and maintain an entrepreneurial climate. This climate is a crucial element of our economic diversification strategy.
We are also working to create a high-tech strategy for Nevada. Over the past several months, we sponsored two workshops with members of the science, engineering and technology fields. Both gatherings culminated in a study being conducted by the Battelle Memorial Institute that is commissioned to create a strategy for future economic development efforts. We anticipate completion of the study this fall. It will then be presented to the Governor and the Legislature for consideration and subsequent implementation of agreed goals.
If Nevada can be flexible in creating a body of laws to protect intellectual properties, design and implement a high-tech strategy, and propose entrepreneurial-friendly policies, we can target and attract global industries to strengthen and stabilize our economic base. The basic building blocks currently exist. Our tax structure is already very appealing, and our pro-business structure cultivates the climate for successful businesses. By adding protections for creative works, by implementing innovative strategies and policies, and by working with our educational system, we increase our ability to be a magnet for the new economy.