Issue link: http://www.insightdigital.biz/i/74682
solely targets income and employment growth, without considering components of overall economic growth such as literacy, health care, life expectancy, consumption per capita and increasing tax base. Economic growth is like a pie with different segments; the Fed selectively chose certain portions to fit its case. "We've moved in a somewhat economy. Strain, yes, but Wisconsin won't shrink its manufacturing footprint – it' better job. They look to a knowledge- based economy and say in the future rapid innovation should be applied. That' different direction, doing more in manufacturing by adopting and adapting technical change that requires a more skilled workforce. In the Fox River Valley, we're moving to a broader- based economy from traditional manufacturing. That will continue. " No shrinking footprint "Our growth is vigorous," declares Lee Swindall, vice president of business and industry development at Wisconsin Economic Development Corp., "and we take singular exception to the conclusions in this report. in Wisconsin as a key core competency, with support from a well-trained workforce and the financial sector. Citing a statewide network of interdependencies, he says to diminish investment in manufacturing makes no sense. Manufacturing helped immunize Swindall sees manufacturing " " s in the DNA and blood of this state. "I think the Fed could have done a over the last decade. We do pretty well at that and are improving and will improve. So rebuttal is necessary. s true in Wisconsin now, especially The author's perspective Bill Testa, vice president and director of regional research, Federal Reserve Bank of Chicago, says that people see his findings differently, almost as a mirror of their perspectives. "Some prominent analysts believe that the finding that manufacturing's impact has been 'durable' or 'destiny' is a confirmation of their worldview that Midwest cities should aggressively take new directions. Alternatively, some read it superficially as saying areas should continue to develop around industry and manufacturing. the state from the worst effects of the recession and employment in that sector led by a wide margin in recovery. High- density manufacturing prevented greater job loss. Swindall says, "De-emphasizing manufacturing isn't necessary, but more and fresh investment in other industry sectors also is important. to manufacturing's presence. Swindall references ratios from 2:1 to 2:3 that every manufacturing job produces, versus 1:1 in other sectors. He cites Michigan' hit related to high concentration on automotive and proportionate support from first-, second- and third-tier suppliers. "We suffered nothing like that; either short-term or in lingering long-term damage to Michigan' s catastrophic s www.insightonmfg.com An array of indirect jobs thrives due " findings means something different to him. "I simply point out that because the region was (1) heavily steeped in manufacturing, and (2) its effects were so long-lasting, it's not possible or advisable for many places to ignore the needs and prospects for manufacturing in development programs. They must follow the middle road of doing both — developing and accommodating industry while trying to morph into something new. This isn't easy, since infrastructure and configuration in many cities were craſted and evolved around industry. Each must assess its situation and find its path between industry and services with that understanding in mind. The real intent of the essay and " " F ON THE WEB http://midwest.chicagofedblogs.org/ archives/2012/02/industrial_citi.html www.theatlanticcities.com/jobs- and-economy/2012/05/midwests- manufacturing-conundrum/1920/ www.newmfgalliance.org July 2012 • INSIGHT on Manufacturing | 15