Congrats El Paso: Ranked #9 on List of "Best-Performing Cities" 2010 (Houston: credit card, employment)

[TigerLily24]

In the top ten for largest metros. Congratulations

2010 Best-Performing Cities - 200 Largest Metros

[alov0303]

The institute ranked cities by "how well they are creating and sustaining jobs and economic growth. The components include job, wage and salary, and technology growth. In most years, these give a good indication of the underlying structural performance of regional economics." If that is the case I am not sure how we edged out houston/sugarland at #10 or Dallas at #17. Fort Bliss or UTEP? Also, I wouldn't think the borderland had a good regional economy.

I tried to download the report but they wanted $20. I am very curious as to see what data they are using.

[TigerLily24]

Originally Posted by alov0303

The institute ranked cities by "how well they are creating and sustaining jobs and economic growth. The components include job, wage and salary, and technology growth. In most years, these give a good indication of the underlying structural performance of regional economics." If that is the case I am not sure how we edged out houston/sugarland at #10 or Dallas at #17. Fort Bliss or UTEP? Also, I wouldn't think the borderland had a good regional economy.

I tried to download the report but they wanted $20. I am very curious as to see what data they are using.

The LC Sun News quoted this from the report referring to both El Paso's and Las Cruces' high rankings (Las Cruces ranked #8 on the smallest metro list):

"The Milken Institute reports that, "Researchers found that metros whose economies are heavy on service industries such as health care and on large government employers like military bases have been shielded from the job losses suffered by cities more closely tied to the housing and financial sectors.""

Las Cruces named one of 'Best-performing cities' - Las Cruces Sun-News

[alov0303]

I found an el paso times article with a similar discussion referencing a study by Portfolio.com: El Paso tops income growth: Mayor among skeptics, noting languishing wages - El Paso Times

highlights:
- per-capita income for El Paso +212% (1984 to 2009)
- G. Scott Thomas (projects editor for Portfolio.com) "Your income levels do remain extremely low, but the record in the past quarter-century has been one of strong growth toward improving that situation,"

Lowlights:
- El Paso ranks 99/100 in per capita income for the 100 largest cities.
- Mayor John Cook: "It was easy to make progress (in income growth) when you're so close to the bottom,"
- Bill Gilmer (senior economist and vice president of the El Paso branch of the Federal Reserve Bank of Dallas) " What has really helped El Paso, he said, is that its population has been growing at a slower rate than much of the Southwest, and that translates to a smaller pie being divided as income grows"

Why:
Concensus seems to lie in how El Paso grew. Tom Fullerton (economics professor at UTEP) and Cindy Ramos-Davidson (chief executive officer of the El Paso Hispanic Chamber of Commerce) both cited public works and infastructure relate growh, i.e. Fort Bliss, UTEP, and the Texas Tech medical school. I would throw in freeway construction as well ($146 million project: $146 Million Project To Begin In East El Paso - News Story - KFOX El Paso)

My personal opinion is that public works growth doesn't address the needs of El Paso in a meaningful way (high income employment) nor does it generate any sort of product that is sustainable. Relying on outside funded projects for employment is like living on Daddy's credit card in college. As Fort Bliss grows, employment in construction/customer service (Walmart/McDonalds) is increased and new residents are added to the city, but we we still don't have jobs to keep them or our UTEP graduates here. Though, UTEP/Texas Tech medical offer high income employment, they are funded through an outside government organization. We still don't have an industry that can bring in income via producible goods without a defacto hand out. Example from other cities: Dallas/Raleigh (banking), Seattle (Boeing, computer tech., etc.), Houston (energy), NY (banking, etc.), San Fransico (computer tech., banking, shipping, etc.), Indianapolis (medical, pharmacuticals, etc.), ...

Dallas - Banking, Houston - energy UTEP and the Texas Tech medical schools are similar but do have some benefit

[alov0303]

Originally Posted by TigerLily24

The LC Sun News quoted this from the report referring to both El Paso's and Las Cruces' high rankings (Las Cruces ranked #8 on the smallest metro list):

"The Milken Institute reports that, "Researchers found that metros whose economies are heavy on service industries such as health care and on large government employers like military bases have been shielded from the job losses suffered by cities more closely tied to the housing and financial sectors.""

Las Cruces named one of 'Best-performing cities' - Las Cruces Sun-News

good find - makes alot of sense

[atrabilius]

Originally Posted by alov0303

My personal opinion is that public works growth doesn't address the needs of El Paso in a meaningful way (high income employment) nor does it generate any sort of product that is sustainable. Relying on outside funded projects for employment is like living on Daddy's credit card in college. As Fort Bliss grows, employment in construction/customer service (Walmart/McDonalds) is increased and new residents are added to the city, but we we still don't have jobs to keep them or our UTEP graduates here. Though, UTEP/Texas Tech medical offer high income employment, they are funded through an outside government organization. We still don't have an industry that can bring in income via producible goods without a defacto hand out. Example from other cities: Dallas/Raleigh (banking), Seattle (Boeing, computer tech., etc.), Houston (energy), NY (banking, etc.), San Fransico (computer tech., banking, shipping, etc.), Indianapolis (medical, pharmacuticals, etc.), ...

Dallas - Banking, Houston - energy UTEP and the Texas Tech medical schools are similar but do have some benefit

These industries you mention create a lot of well-paying jobs, whereas El Paso has been attracting companies that have been producing goods and services for a long time...only it's industries like garment manufacture, food processing, agriculture, mining and smelting (the "mining" being mainly stone), assembly, and call centers. These jobs are often manual-labor-intensive, tend not to pay very well, and are highly susceptible to booms and busts and/or plant closures when the companies that own the plants move the jobs elsewhere looking to get cheaper and more docile labor.

Government projects, including military operations, eventually run their course, and the jobs they created go away, but corporations can be unreliable over the long term, too; they move or shut down operations, they downsize, they go out of business. Like in the Rust Belt.

I think you mean El Paso has to get the ability to generate lots of well-paying jobs locally.

[alov0303]

[quote=atrabilius;16279125

I think you mean El Paso has to get the ability to generate lots of well-paying jobs locally.[/QUOTE]

Yes. Utep and Texas medical schools are a good start but it's only a start.

[mistabinks]

Got to start somewhere. It is better than talk.