Unbalanced economic development

(Ref. 305)
Problem Components
Policy issue area: Economics
Policy issue: Development
Description: Massive shift of people, jobs, resources, and capital from region to region.
Symptoms: Plant closings; dislocation of workers and their families; disruption of communities due to sudden population growth or shrinkage; widening regional income gaps (California and East Coast states gained most of economic growth in recent years).
Causes: Changes in industrial growth and decline, without mitigating business or government policies.
Cost of problem: -
Solution Components
Resources: Business; industry; management; workers; science (R&D); government funding.
Goal: Provide policies and programs that tend to mitigate the most adverse effects of large migrations of jobs, people and capital.
Program area: Economic development
Program-remedy: 1. Development of a comprehensive policy of regional development in cooperation with state and local governments, business, and the Federal government
2. National network of Centers for Excellence, to spread successful ideas among states
3. A National Investment Program, to channel pension fund assets to new projects.
Program-prevent: National economic and industrial policy with the goal of balanced economic development.
Cost of program: -
Beneficiaries: Participants of the economies of the regions affected.

Return to Exhibit H

Return to Contents