OROVILLE — Talk about recovery and the future, and it's all about what happens to businesses.
That was a repeated message at the 2012 Economic Forecast Conference, held Thursday at Gold Country Casino Event Center. Economist Robert Eyler, chair of the Sonoma State University economics department, said what occurred in California from the stimulus programs was government creating temporary jobs.
It takes businesses to create permanent jobs, and helping businesses do that should be the big push, he said.
"We have to create a better environment for business. They'll be the ones to hire," Eyler said during the conference sponsored by the Center for Economic Development at Chico State University.
But Eyler pointed out California will push businesses away from the state with the corporate taxation proposals.
"Politically, (the state) is sending the wrong message to businesses," which includes corporations are bad and should be punished with taxes. That also discourages outside businesses from settling here.
Also bad for business are lenders who are pursuing conservative measures by holding onto money rather than lending.
A slight uptick in retail sales tax revenue, seen both in Chico and Oroville, is good news, but wage increases aren't enough to push consumers into more steady buying.
As far as the north state outlook, Eyler said recovery from previous downturns was hooked to housing construction, but not now.However, Butte Countyis in a better position than interior California, which is still lamenting the "poor me" housing-related standpoint.
Eyler said Butte County's entrepreneurial efforts can make a difference. Economist David Gallo, associated with the Center for Economic Development, crunched Butte, Glenn and Tehama counties' numbers, saying there has been a slight increase in jobs, especially in professional services, health and hospitality industries.
However, government remains a large employer in the north state, and continuing state budget troubles will mean further job losses in that sector.
Several speakers mentioned regional collaboration as a success strategy. Brian McGowan, now with Atlanta, Ga., Development Authority but formerly with Arnold Schwarzenegger's administration in economic development, said the new thinking has to be about exporting more, wasting less and innovation.
McGowan said California's difficulties aren't going away, and businesses and regions need to rely on themselves. McGowan, who said he was responsible for starting the iHub program in California, said new businesses have to be created to help this state's future.
Tom Murphy, former mayor of Pittsburgh, Pa., said old-fashioned thinking pits city against city, with only one a winner.
Regional cooperation means everyone wins, Murphy said. While a city may gain an employer, another city's residents may gain jobs.
Government can help in some situations, but success means a public-private partnership.
Using his own city as an example, Murphy said a region has to dream about what it wants to look like or be. Blighted waterfront areas in Pittsburgh were turned around into cultural and arts centers using public dollars, but the process wasn't easy.
But in return, the changes attracted private sector investors, new businesses and construction, and people who wanted to live and work in Pittsburgh.
chicoer.com
That was a repeated message at the 2012 Economic Forecast Conference, held Thursday at Gold Country Casino Event Center. Economist Robert Eyler, chair of the Sonoma State University economics department, said what occurred in California from the stimulus programs was government creating temporary jobs.
It takes businesses to create permanent jobs, and helping businesses do that should be the big push, he said.
"We have to create a better environment for business. They'll be the ones to hire," Eyler said during the conference sponsored by the Center for Economic Development at Chico State University.
But Eyler pointed out California will push businesses away from the state with the corporate taxation proposals.
"Politically, (the state) is sending the wrong message to businesses," which includes corporations are bad and should be punished with taxes. That also discourages outside businesses from settling here.
Also bad for business are lenders who are pursuing conservative measures by holding onto money rather than lending.
A slight uptick in retail sales tax revenue, seen both in Chico and Oroville, is good news, but wage increases aren't enough to push consumers into more steady buying.
As far as the north state outlook, Eyler said recovery from previous downturns was hooked to housing construction, but not now.However, Butte Countyis in a better position than interior California, which is still lamenting the "poor me" housing-related standpoint.
Eyler said Butte County's entrepreneurial efforts can make a difference. Economist David Gallo, associated with the Center for Economic Development, crunched Butte, Glenn and Tehama counties' numbers, saying there has been a slight increase in jobs, especially in professional services, health and hospitality industries.
However, government remains a large employer in the north state, and continuing state budget troubles will mean further job losses in that sector.
Several speakers mentioned regional collaboration as a success strategy. Brian McGowan, now with Atlanta, Ga., Development Authority but formerly with Arnold Schwarzenegger's administration in economic development, said the new thinking has to be about exporting more, wasting less and innovation.
McGowan said California's difficulties aren't going away, and businesses and regions need to rely on themselves. McGowan, who said he was responsible for starting the iHub program in California, said new businesses have to be created to help this state's future.
Tom Murphy, former mayor of Pittsburgh, Pa., said old-fashioned thinking pits city against city, with only one a winner.
Regional cooperation means everyone wins, Murphy said. While a city may gain an employer, another city's residents may gain jobs.
Government can help in some situations, but success means a public-private partnership.
Using his own city as an example, Murphy said a region has to dream about what it wants to look like or be. Blighted waterfront areas in Pittsburgh were turned around into cultural and arts centers using public dollars, but the process wasn't easy.
But in return, the changes attracted private sector investors, new businesses and construction, and people who wanted to live and work in Pittsburgh.
chicoer.com
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