Economic development must transcend racial boundaries

Ronald Reagan once said, "We who live in free market societies believe that growth, prosperity and ultimately human fulfillment are created from the bottom up, not the government down. Only when the human spirit is allowed to invent and create, only when individuals are given a personal stake in deciding economic policies and benefiting from their success - only then can societies remain economically alive, dynamic, progressive and free. Trust the people."

While most people still view economic development as simply growing the economy, the truth is there is a much more personal component that reaches beyond the creation of wealth and jobs.

Advertisement

There is no way to separate job creation from work force retention or work force housing from transportation. Economic development is a combination of people, jobs, housing, transportation, environment, job training, education and a wide range of other components.

The ramifications are broad, and the most overlooked component in this equation is human capital or, simply put, people.

When you view economic development in terms of people, it is easy to view it as a means to an end, not an end in itself. The goal of economic development should not be development for development's sake, but economic growth to improve the quality of life for all people within a community.

Sadly, large economic disparities still exist between minority and majority segments of the population, even here in the Madison area.

This can be seen through the stark contrast found in the city's Quality of Life Report. This study found that majority and minority populations felt they enjoyed very different quality-of-life standards.

For example, while Madison's schools are ranked among the best in the nation, the dropout rates for black youth in the Madison Metropolitan School District during the 2002-2003 school year was more than three times that of their white counterparts.

In 1999, the median household income for whites in Dane County was $50,927, compared with $28,103 for African Americans.

These shocking disparities were the primary focus of the Economic Development Summit for Emerging Populations. The Nov. 8-9 summit, hosted at the Edgewater Hotel and planned by Floyd Rose, focused on what economic development means for people of color.

Unlike previous discussions, the summit's focus moved away from issues charged with political, emotional and historical baggage and concentrated on approaching economic development disparities more scientifically.

This year's summit was the first in a series that will take place annually throughout Wisconsin.

The methodology is based on sound scientific and research practices. The hope is that by addressing these disparities in a more objective and scientific way, practical solutions based on solid research will result. The series will attempt to address the causes, not the symptoms, of economic inequality.

How we ad-dress these disparities is crucial, and the end must be kept in the foreground of our community's collective mind. Economic development initiatives must address the needs of all segments of our community, transgressing racial, ethnic, gender, socio-economic, cultural, political and generational divides.

In the end, job creation, housing, transportation, environment, job training and education must serve the greater purpose of helping people.

The bottom line is that economic development is simply an investment in people. The Economic Development Summit for Emerging Populations is addressing this issue directly.