Governors set course for New Economy

Culminating a year-long study of the New Economy, the National Governors'

Association released seven recommendations for governors during its annual

meeting this week in State College, Pa.

The reports focused on how states must realize that the high-tech industry

is driving state economies. The first report, "State Strategies for the

New Economy," came in February 1999, and successive reports were released

in installments over the year that followed.

The NGA "agenda" is:

* Invest in people. Build the states' intellectual infrastructure by

strengthening education, lifelong learning and work force skill programs.

* Build state-of-the-art infrastructure. Support knowledge-based industries

by enhancing state-of-the-art broadband and telecommuncation services as

well as traditional infrastructure such as ports, highways and airports.

* Treat citizens as customers. Re-engineer government to become flexible,

customer-focussed, responsive, accountable and performance-oriented through

the use of more privatization and partnerships with the private sector.

* Streamline taxes and regulations. Develop uniform regulatory and tax

systems to increase simplicity, elimate market distortions and protect customers.

* Nuture entrepreneurs. Recognize entrepreneurs as the drivers of the

new economy. Streamline business regulations, provide timely regulatory

and licensing decisions and assist firms in their search for more investment.

* Create high-tech magnets. Use university systems as high-tech business

magnets. Reform postsecondary education to be more closely aligned with

states' economies by creating university research centers enhancing distance

learning and linking academic research and commercialization.

* Preserve quality of life. Implement policies that preserve and enhance

a region's quality of life, including recreational opportunities, environmental

quality and community ammenities.

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