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About Oregon daily emerald. (Eugene, Or.) 1920-2012 | View Entire Issue (Feb. 2, 1982)
Oregon's economy lacks diversity Attitudes, lack of facts to blame By Brad Barton Of #>• Em 9ft Id Several explanations have been given for the dearth of diversity in Oregon's economy Oregon’s anti-business image, several say, is a major impediment to growth “A principal barrier to eco nomic diversification is the mis erable image Oregon has with the national business commun ity," said Gov Vic Atiyeh while addressing the Legislature "We hear complaints that Oregon actively discourages people from coming here None of those assertions are true but the image persists.” he added Oregon's anti-business image "is as much an impediment to economic development as today's high interest rates." Atiyeh said The state s Legislative Re search Office late last year studied industrial relocation factors why does a company choose one site over another'’ The office's study concluded some people in Oregon seem negative about electronics firms moving to the state, and gave an example of a firm that received little encouragement from Portland officials when considering relocating there The Oregon un-greeting cards worked says economics prof Mike Grove The un-greet ing cards featured maxims such as "Oregonians don't tan. they rust " Eugene is ecologically conscious and has sort of a prima donna attitude, says Bill Wooten, Lane Economic Development Council s pro gram director Eugeneans would see ram pant economic development as a defoliation of what they prize most, he adds It really puts a chill in the air ” A lack of available information on Oregon's economy has been a serious problem as well "The way to go about diver sifying a economy is to first do studies that will give a clear picture of what the economy is like But these studies haven’t been done here, which is really incredible," Grove says "Business interests want to have statistical economic re search information of a com munity available when con sidering locating, and it just isn't there; therefore, people just don't know how diversified the economy is,” he adds Local "studies have suggest ed that the economy is healthy and diversification is not a great necessity Adding more small service businesses to compete with existing ones, as the studies have suggested, would hurt, rather than help, the economy," says Tom Moreland, Lane Economic Foundation board chairman Lack of coherent strategy has also hindered diversification in Oregon The public sector has a poor conception of its role in econ omic development, Wooten says, adding that public participation is lacking in the management and development of the economy The resources of the state have never been effectively utilized," Grove says "There are lots of economists in this state, but they have never been asked to do anything There seems to be the thought that Oregon is somehow above it all "* There was once a select in dustries program in the state government, but over the past several years the Legislature has concentrated on "assisting, preserving and maintaining'' industries already in Oregon, says Ed Gage of the state Economic Development Department Even though the state Senate agreed last year to begin recruiting specific industries, the program has been poorly funded, Gage says ' The biggest problem we ___^ Sunday, February 7th TWO SHOWS 7:00 and 9:00 p.m. -TICKETS $8.00 and $7.00 RESERVED Tickets available EMU Main Desk Emerald Valley Forrest Irtn Creswell Mazama Sporting Good* Valley River next to Bi-Mart Round-Tu-lt Gilts Cottage Grove Lights for Musir Springfield _____ _< ()Mt IARIY—HAVE DINNcR reservations recommended i ii i: i;>| IlKAM) VAUJl IOKKIS1 LWV I) \ll KIM KO.UK < K I s U 1 1 I . O K I ( » ( i x| H » » t I » 7 .. M M-KIM.I II Ml have here is the multiplicity of jurisdictions that don't trust each other and compete with each other for available funds,” says Wooten on local diver sification. "The principal an tagonists are the city, the coun ty and the Eugene and Springfield Chamber of Com merces They don't agree with each other and the public doesn't seem to agree with them, either ' Poor local planning has al lowed the development of ‘‘several dependently related industries, which is a problem — when the main industry (wood products) is depressed, related industries have the same prob lems,” Moreland says. The lack of a rational tax and regulation scheme as another big problem,'' Grove says "When taxes are structured on a land-value basis, people are more willing to sit on un developed land in order to keep their taxes low,” he adds Economic factors outside the /TNv _ state can also have a significant affect on Oregon’s develop ment "The price of the commodity on which our economy is based (wood products) is tied to the general interest rate of the na tion's economy," Grove says "When the Federal Reserve Board begins a monetary policy concerned primarily with stabilizing demand in the entire nation, the interest rate roller coaster hurts Oregon's econ omy." The huge federal deficit causes the government to com pete with the private sector for available money, driving up the interest rate and keeping in vestment funds out of the econ omy, Grove and Moreland agree "We get so concentrated on the idea that the restrictive monetary policy is causing the lumber industry's depression, but other fundamental reasons for the depression are masked by the high interest rates,” Grove warns "Changes in the cost structure of plywood production may very well make it much more economical to produce plywood in Georgia,” he says. The national economy is "sick," suffering from a decline in production and a loss of in vestment to foreign labor mar kets, Wooten says. When strin gent counter-measures were taken to combat inflation, Oregon was "really in for a crunch," he adds. Everybody’s got a hungry heart Satisfy it with an ODE Heart Throb. IS heart foN word* lor tl.SO H placed by 1 p m Fob. 11 at tho utuol location* • *EMU Main Desk • UO Bookstore • ODE. 300 EMU TEETH Ignore them and they will go away Teeth Cleaninq and Exam $25 Will Morningsun O.O.S. Thomas R. Huhn O.O.S. call for appointment 746-6517 1 Vi miles from campus next to the Bike Path 528 Mill St. Springfield FINE ARTS BOOK SALE 20% Off This week all titles from The Book Department’s stock of fine art books are reduced 20% from retail price. Select now from our wide selection in these art areas: calligraphy, decorative and basic design, graphics, printmaking, needlework, embroidery, sewing, quilting, weaving, knitting, crocheting, stained glass, bookbinding, sculpture, jewelry, origami, crafts, pottery, ceramics, porcelain, clip-art, drawing and painting. Upstairs in The Book Department February 1-6 b; * limited to stock on hand *cash register sales only *does not include text books