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Edward Blakely

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Edward Blakely

  1. 1. Diversifying and Developing Beyond a Tourist Based Economy <ul><li>Professor Edward J Blakely </li></ul><ul><li>University of Sydney </li></ul><ul><li>Planning Research Centre </li></ul>
  2. 2. Blue Mountains
  3. 3. Moving from natural resources and tourism to a new economic base <ul><li>Challenges </li></ul><ul><li>Fragile Environment </li></ul><ul><li>Age Structure </li></ul><ul><li>Government Stricture and Structure </li></ul><ul><li>Narrow economic options </li></ul><ul><li>Connectivity </li></ul><ul><li>Asset Assembly </li></ul>
  4. 4. Competitive Ingredients Workers attractive to global capital and firms High number of specialized university educated imaginative people in arts, sciences and management disciplines Creative/skilled Workforce Exceptionally vital and diverse populations that attract jobs and firms High levels of immigration and cultural tolerance with regard to race, national origins and related factors Population Muti-culturalism Very diverse industries that have domestic and international exports Agglomeration of reinforcing firms that collaborate as well as compete for global market share Economic Diversity
  5. 5. Opportunities for Transformation <ul><li>2.Assets </li></ul><ul><li>Quality of Life </li></ul><ul><li>Visitor Attraction </li></ul><ul><li>Special Assets-water, nature </li></ul><ul><li>Incubator capacity </li></ul><ul><li>Social Capital </li></ul><ul><li>Community Character </li></ul>
  6. 7. The New Dimensions for Competitive Cities <ul><li>Planning a central Issue </li></ul><ul><li>Citizen engagement in community development </li></ul>Resident have a strong sense of pride and engage in maintaining the character of the community Highly engaged Citizenry <ul><li>Youth Stay in community </li></ul><ul><li>In migration of skilled people </li></ul><ul><li>Creation of new firms </li></ul>Employers and employees want to come stay and create new opportunities in the community Creative, Competitive and Skilled Workforce Workforce <ul><li>Diverse Housing Types </li></ul><ul><li>Appropriate Density </li></ul><ul><li>Environmental stewardship </li></ul><ul><li>Community character </li></ul>Communities that reflect diverse Lifestyle, economic and social diversity Livable and Accessible Neighborhoods and Strong Civic Image
  7. 8. Moving From Tourism <ul><li>Creativity Centered-not product centered </li></ul><ul><li>Design based over development based </li></ul><ul><li>Human Capacity over power and energy </li></ul><ul><li>Natural Resources as sustainable base </li></ul><ul><li>Place and critical vs incidental </li></ul><ul><li>Place creates the economy vs economy designed to fit the economy </li></ul><ul><li>Agglomeration of clusters vs clusters as base </li></ul>
  8. 9. New Economic Development Theory Ingredients <ul><li>Intellectual capital </li></ul><ul><li>Human capital </li></ul><ul><li>Financial capital </li></ul>Recipes <ul><li>New ideas </li></ul><ul><li>Entrepreneurs </li></ul><ul><li>Networks </li></ul>Results <ul><li>Productivity </li></ul><ul><li>Prosperity </li></ul><ul><li>Cluster vitality </li></ul>
  9. 10. Shifting Industries Low cost Knowledge Quantity Quality Stability Speed Capital equipment Flexibility Control Networks
  10. 11. New Approach Based on Community Capital <ul><li>Interactive—doesn’t occur in a straight line. </li></ul><ul><li>Group creativity—not dependent on a few. </li></ul><ul><li>Tacit knowledge—depends on “know-how.” </li></ul><ul><li>Networks—ideas flow more freely. </li></ul><ul><li>Competition/collaboration—both are needed. </li></ul>
  11. 13. Generating vs Attracting <ul><li>Skill and Directions inventory </li></ul><ul><li>Knowledge led. </li></ul><ul><li>Marshalling and combining assets. </li></ul><ul><li>Location is still important as the economic venue </li></ul>
  12. 14. Local Assets
  13. 15. Building the Post Tourism Base <ul><li>Lifestyle Dimension. </li></ul><ul><li>Comparative Advantages </li></ul><ul><li>Creative Capital </li></ul><ul><li>Institutional form and base </li></ul><ul><li>Strategic linkages with other places for markets or assets </li></ul><ul><li>Nimble </li></ul>
  14. 16. Quality of Life
  15. 17. Live Work
  16. 18. Framework for the Innovation Process
  17. 19. Regional Leadership Makes the Difference in Innovative Regions <ul><li>Build fundamental assets. </li></ul><ul><li>Connect entrepreneurs to assets. </li></ul><ul><li>Promote a culture of innovation. </li></ul><ul><li>Make quality of life an asset. </li></ul>
  18. 20. Human Capital Techno-Infrastructure Nodes &Catalyst
  19. 21. Regional Leadership Makes the Difference in Innovative Regions <ul><li>Talent </li></ul><ul><li>Technology </li></ul><ul><li>Capital </li></ul><ul><li>Supportive Infrastructure </li></ul><ul><ul><ul><li>Transportation </li></ul></ul></ul><ul><ul><ul><li>Housing </li></ul></ul></ul><ul><ul><ul><li>Advanced telecommunications </li></ul></ul></ul>
  20. 22. Cornerstones of Regional Innovation
  21. 23. The Economic Community Economy Community
  22. 24. The Innovation Economy Values <ul><li>Economic Regions </li></ul><ul><li>Distinctive Quality of Life </li></ul><ul><li>Vital Centers </li></ul><ul><li>Choice for Living and Working </li></ul><ul><li>Speed and Adaptability </li></ul><ul><li>The Natural Environment </li></ul>
  23. 25. Growing Sectors <ul><li>Publications </li></ul><ul><li>Communications </li></ul><ul><li>Higher Education and Conferences </li></ul><ul><li>Theatre and Arts </li></ul><ul><li>Rehabilitation </li></ul><ul><li>Health </li></ul><ul><li>Research “think tank” </li></ul><ul><li>Environment as an industry </li></ul>
  24. 26. Innovation Economy Values Economic Regions <ul><li>The shift to a new economy, and the changing nature of work, place a premium on regions as important places. </li></ul><ul><li>Geography is important to clusters because firms and people gain from being in the same place. </li></ul><ul><li>Clusters gain their power through the force of face-to-face creative collaboration. </li></ul>
  25. 27. Innovation Economy Values Distinctive Quality of Life <ul><li>The new economy values quality of life more than the old economy, because it values people more than the old economy. </li></ul><ul><li>Livability and quality concerns are only becoming more important with economic change. </li></ul>
  26. 28. New Realities <ul><li>1. Technology is a given </li></ul><ul><li>2. Globalism is here to stay </li></ul><ul><li>3. Knowledge builds wealth </li></ul><ul><li>4. There’s no such thing as a smooth ride </li></ul><ul><li>5. Competition is relentless </li></ul><ul><li>6. Alliances are the way to get things done </li></ul><ul><li>7. People are the key to success </li></ul><ul><li>8. Place matters </li></ul>
  27. 29. Next Wave May be a Convergence 1990s Convergence Next Convergence Internet Revolution HARDWARE SOFTWARE MEDIA NANO BIO INFO ? Revolution
  28. 31. Examples of Convergence
  29. 32. Preparing for the Next Waves: State and Regional Responses <ul><li>Do leaders understand the opportunity? </li></ul><ul><li>What must we do to ensure it happens here? </li></ul><ul><li>What are the requirements? </li></ul><ul><li>How can local people and communities benefit? </li></ul><ul><li>Can we avoid some of the pitfalls of past waves? </li></ul>
  30. 33. Capacity Resource San Jose Costa Rica, Berkeley Calif, Los Angeles, Stockholm are incubators or highly innovative talent Firms organizations lead by creative economic and social entrepreneurs with readily available venture capital Innovation/ entrepreneurship Atlanta, Boston, Washington DC, Pittsburgh, Brussels with able local leadership in public and private sectors Ability to mobilize public and private actors for a common agenda Strategic Capacity Frankfurt, Chicago, Denver that are global cities primarily because of their internal and external communication and air transport systems High quality and reliable telecommunications, airports, seaports and efficient cross regional connectivity by public and private transportation systems Connectivity
  31. 34. New Infrastructure Required for Knowledge Based vs Machine Based Community <ul><li>Place Creating and Generating Infrastructure </li></ul><ul><li>Human Capital Building Infrastructure </li></ul><ul><li>Tele-mobility Infrastructure </li></ul><ul><li>Social Capital Infrastructure </li></ul><ul><li>New Governance Infrastructure </li></ul>
  32. 35. Understanding Brain Pool The region needs to retain 20 - 34 year old population
  33. 36. Chart- …..Typology of SLAs in Sydney GMR Strong and Weak Performing SLAs Sydney Remainder 0.96 0.98 1 1.02 1.04 1.06 1.08 1.1 1.12 0.034 0.044 0.054 0.064 0.074 Specialisation index, 1991 Hunter's Hill South Sydney Penrith Sydney Inner Cessnock Lane Cove Black Town SE Taxable income location quotient (1991 to 2001) Paramatta Fair Field Camden Baulkham Hills Mosman
  34. 37. FIGURE: HOW INDUSTRY AGGLOMERATION AFFECTS SLA TAXABLE INCOME AND SLA POPULATION <ul><li> </li></ul><ul><li>Reduces space for residential services in SLA; and or </li></ul><ul><li>Reduces attractiveness of SLA as a place of residence </li></ul><ul><li> </li></ul><ul><li>Increases number of industries in SLA; and / or </li></ul><ul><li>More large employer firms in SLA </li></ul><ul><li> </li></ul><ul><li>May increase number of people living in SLA closer to jobs; and/ or </li></ul><ul><li>May increase commuting into SLA; </li></ul><ul><li>Higher out-migration from SLA </li></ul><ul><li> </li></ul><ul><li>Increases number of jobs in SLA; and or </li></ul><ul><li>Increases average income earned and wealth level in SLA </li></ul> Hypothesised net impact on SLA taxable income POSITIVE  Hypothesised net impact on resident population NEGATIVE
  35. 38. Typology of SLAs : Strongly and Weakly Performing SLAs <ul><li>TYPE C SLAs </li></ul><ul><ul><li>Weakly performing static SLAs </li></ul></ul><ul><li>TYPE ‘D’ SLAs </li></ul><ul><ul><li>Very weak SLAs in ‘Economic free fall’ </li></ul></ul>LOW POPULATION GROWTH <ul><li>TYPE ‘A’ SLAs </li></ul><ul><ul><li>Globally exposed strongly performing SLAs </li></ul></ul><ul><li>TYPE ‘B’ SLAs </li></ul><ul><ul><li>Modest performing ‘transitional’ SLAs </li></ul></ul>HIGH POPULATION GROWTH HIGH INCOME GROWTH LOW INCOME GROWTH
  36. 39. cont - Typology of SLAs : Strongly and Weakly Performing SLAs 1 Port Stephens, 2 Burwood, 3 Ryde, 4 Lake Macquarie, 5 Strathfield, 6 Newcastle - Remainder 7 Blue Mountains, 8 Penrith 9 Parramatta, 10 Campbelltown Construction Logistics <ul><li>TYPE ‘B’ SLAs </li></ul><ul><li>Modest performing ‘transitional SLAs </li></ul>HIGH POPULATION GROWTH SLAs of this type Drivers of growth LOW INCOME GROWTH
  37. 40. cont - Typology of SLAs : Strongly and Weakly Performing SLAs 1 Blacktown – North 2 Liverpool, 3 Wollondilly, 4 Sutherland Shire- West, 5 Hawkesbury, 6 Wyong, 7 Camden, 8 Pittwater, 9 Baulkham Hills, 10 Gosford, 11 Cessnock, 12 Sutherland Shire – East Health & Community Services Tourism Business services <ul><li>TYPE ‘C’ SLAs </li></ul><ul><li>Weakly performing static SLAs </li></ul>LOW POPULATION GROWTH SLAs of this type Drivers of growth HIGH INCOME GROWTH
  38. 41. cont - Typology of SLAs : Strongly and Weakly Performing SLAs 1 Wollongong 2 Blacktown South East 3 Blacktown 4 South West 5 Holroyd, 6 Rockdale 7 Bankstown, 8 Botany Bay, 9 Fairfield, 10 Canterbury, 11 Auburn, 12 Hurstville, 13 Kogarah, 14 Warringah, 15 Maitland, 16 Marrickville 17 Ashfield Manufacturing Transport Retail <ul><li>TYPE ‘D’ SLAs </li></ul><ul><li>Very weak SLAs in ‘Economic free fall’ </li></ul>LOW POPULATION GROWTH SLAs of this type Drivers of growth LOW INCOME GROWTH
  39. 42. Blue Mountains Opportunities <ul><li>Printing and Publishing </li></ul><ul><li>Holistic Health </li></ul><ul><li>Professional Education </li></ul><ul><li>Visual and Performing Arts </li></ul><ul><li>Transit Hub </li></ul><ul><li>Creative Incubator </li></ul><ul><li>Software Development (health and education) </li></ul><ul><li>Natural Resource Management </li></ul>
  40. 43. Market Demographics <ul><li>Re-use of existing space for the New Economy </li></ul><ul><li>Existing Strip Shopping areas </li></ul><ul><li>Re-examination of roles and hierarchies of centres </li></ul><ul><li>Role of New populations in creating and sustaining new economic and commercial activities </li></ul>
  41. 44. Building On What We Have <ul><li>Existing building framework—not more building— </li></ul>
  42. 45. Housing for the future
  43. 46. Mobilecommunity---Community owned and operated wireless networks
  44. 47. Software Development Knowledge Space Live-work Space Work-Communi-space
  45. 48. Professional Education
  46. 49. Holistic Health <ul><li>Social Institution Building as critical development component </li></ul><ul><li>Health Living Centres </li></ul><ul><li>Non Western Health Schools </li></ul><ul><li>Adult Continuing Health Learning </li></ul><ul><li>Health Publishing and Libraries </li></ul>
  47. 50. Small Publishing and Writer Centre
  48. 51. Creative Industry Incubator
  49. 52. Visual and performing Arts Retreat
  50. 53. Natural Resource Management
  51. 54. New Dry Port Transit Hub with Flex-space
  52. 55. Blue Mountain Direction <ul><li>Human and Natural Capacity </li></ul><ul><li>Magnet Infrastructure </li></ul><ul><li>Regional Alliances </li></ul><ul><li>Distinctive Features </li></ul>
  53. 56. Market Positioning Models Maps New Urban Form Bikeways from mean streets
  54. 58. New Institutional Infrastructure --- Government Joint Powers & Public/Private Venture Authorities <ul><li>Local Governments forming regional infrastructure financing authorities to design & develop or redevelop digitalcom and new employment infrastructures </li></ul><ul><li>Public-Private Venture Corporations to provide both soft and hard infrastructure </li></ul>
  55. 59. Diversity and Sustainability
  56. 61. University as Collaborative Builder <ul><ul><ul><li>University to University relations </li></ul></ul></ul><ul><ul><ul><li>University to key constituents as verifier </li></ul></ul></ul><ul><ul><ul><li>University to Civic Leaders as unbiased actor </li></ul></ul></ul><ul><ul><ul><li>University to government as honest broker </li></ul></ul></ul>
  57. 62. It takes many different professionals
  58. 64. Process of the Plan <ul><li>Focus Externally </li></ul><ul><li>*Who and What is the Competition? </li></ul>
  59. 65. Good Healthy Communities <ul><li>Pedestrian-oriented, mixed use design </li></ul><ul><li>Frequent bus service </li></ul><ul><li>Preservation of mature shade trees </li></ul><ul><li>Renewable energy </li></ul><ul><li>Recycled building materials </li></ul>
  60. 66. Local Government Leadership

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