Competitive Wisconsin, Inc. study finds Wisconsin’s competitiveness improved Annual benchmark report says state doing better compared to neighbors, but reveals slippage on critical performance criteria.
(MADISON) – Wisconsin’s competitive position improved compared to its neighbors for the first time since 2006, according to the annual report card Competitive Wisconsin, Inc. (CWI) commissions from the Wisconsin Taxpayers Alliance (WISTAX).
The study, “Measuring Success: Benchmarks for a Competitive Wisconsin,” (“Benchmarks”) relies on 34 measures, each of which is used, first, to gauge Wisconsin’s progress against its own past and, second, as a comparison with neighboring states and the nation as a whole. (Click here for the complete benchmarks report: CompetitiveWisconsin_Benchmarks2010.pdf)
On the upside, the study indicates that Wisconsin improved its regional composite competitive score from 40 in 2009 to 50 (on a possible score of 100) in 2010. Among measures showing progress were research and development spending, which rose from 1.8% to 2.0% of gross state output; high-tech employment, which grew to 3.7% of private employment; and high school graduation rates, which were up.
On the downside, Wisconsin grappled with yet another drop in new private businesses start-ups; rising electricity prices, and more hits on manufacturing jobs that shrunk that sector from 17.2% to 15.9% of employment. These difficulties came on top of a series of factors that hammered Wisconsin’s economy in 2009, when household income fell to 0.5% below the U.S. average; employment dropped 4.3%; unemployment climbed to 8.5%; and the broadest measure of economic well-being, per capita personal income (PCPI), declined for the first time since 1949.
“While Wisconsin’s improved regional competitiveness is welcome news, the reality of lost jobs and fewer business start-ups in 2009 underscores again the need to focus on helping our people get back to work,” said Sue Marks, CWI President and President and CEO of Pinstripe, Inc.
What data on education, workforce and quality of life revealed was neither all good nor all bad. The Benchmarks study confirmed that our workforce is one of the state’s greatest assets. But data also suggest that there may be trouble ahead. Generally, for example, students continued to perform well on national assessments, graduate in high numbers, and score well on college entrance exams (adjusted), averaging 22.4 (out of 36) , well above the U.S. (21.5) and all surrounding states, except Minnesota (23.2). But, Wisconsin continues to lag in the competition for college graduates. In 2009, for example, 25.7% of Wisconsin residents had a bachelor’s degree, below the U.S. (27.9%) and behind both Minnesota (31.5%) and Illinois (30.6%).
Some elements of Wisconsin’s quality of life attract college graduates and others to the state. Wisconsin has one of the nation’s highest rates of health insurance coverage. With only 9.6% lacking coverage, Wisconsin is well below the national average and all neighboring states, except Minnesota. Wisconsin is also relatively safe. Violent crime per 100,000 residents dropped in 2009 from 274 to 257. On the other hand, while home ownership here is high (70.4%) and remained above the national average (67.4%), all of Wisconsin’s neighbors, except Illinois, had higher rates.
“The 2010 Benchmarks study makes clear that Wisconsin must do better,” said Scott VanderSanden, President-elect of CWI and President of AT&T Wisconsin, “The bad news -fewer jobs and businesses – shows that our economy continues to be at risk. The good news suggests that we are making some progress, though it may be the result of poor performance in other states.”
Marks and VanderSanden both said that the report reinforces Wisconsin’s need to embrace the aggressive job creation and economic development strategy laid out in the widely distributed action plan entitled, BE BOLD: The Wisconsin Prosperity Strategy.
Competitive Wisconsin – BE BOLD
Competitive Wisconsin-a consortium of state leaders in agriculture, business, education, and labor-originated the “Measuring Success” report card after a 1997 gubernatorial commission urged the state to track its economic progress and the growth of quality jobs, education, and training. The report covers six categories: economic health, quality of life, workforce excellence, public sector, business climate, and environmental quality. In each area, state performance is compared with years past and with other states in the region. The report is prepared annually by the research staff at the Wisconsin Taxpayers Alliance, a nonprofit, nonpartisan organization devoted to public-policy research and citizen education.
The Wisconsin Taxpayers Alliance, founded in 1932, is the state’s oldest and most respected private government-research organization. Through its research, publications, civic lectures, and school talks, WISTAX aims to improve Wisconsin government through citizen education. Nonprofit, nonpartisan, and independently funded, WISTAX is not affiliated with any group-national, state, or local-and receives no government support.
Copies of the 52-page report are available directly from WISTAX for $3.00 (plus tax). Write WISTAX at 401 North Lawn Avenue, Madison, WI 53704-5033; email wistax@wistax.org; visit www.wistax.org; or phone 608.241.9789
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