For three decades, the SSTI Digest has been the source for news, insights, and analysis about technology-based economic development. We bring together stories on federal and state policy, funding opportunities, program models, and research that matter to people working to strengthen regional innovation economies.

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Preserving U.S. Manufacturing Competitiveness Requires New Strategies

In the aftermath of an election cycle in which manufacturing emerged as a key point of contention in many races, several groups are taking stock of the state of U.S. manufacturing competitiveness. The 2012 edition of the Global Manufacturing Competitiveness Index, based on a survey of senior manufacturing executives, projects that the U.S. will fall from third most competitive nation to fifth over the next five years. In order to stave off declining competitiveness, authors of a McKinsey Global Institute report suggest that manufacturing be viewed as a critical driver of U.S. innovation, requiring flexible federal intervention as the lines between manufacturing and services become blurred.

No Farm Bill Means Less Ag Innovation, Rural Development

Based on scant column inches on the topic in blog posts and newsletters, few within the general economic development and innovation circles seem to have noted what expiration of the Farm Bill could mean for agricultural research, energy innovation and rural economic development. Programs supporting regional innovation strategies and R&D grants are caught in the debate over cuts to food stamps, crop subsidies and farmers' safety net after disasters like the nearly nationwide drought of this past summer. The result could mean greater competition for an ever shrinking pool of federal resources.

Programs typically authorized and reauthorized through the massive legislation every five years expired with the beginning of the current federal fiscal year, Oct 1. Titles VI and VII of the act are concerned with Rural Development and Research, respectively. Programs affected include:

Brookings Examines Potential Impact of Federal Public-Private Economic Development

Fostering regional innovation is imperative to strengthening our national economy and crafting public-private partnerships (PPPs) are a key strategy for catalyzing regional economic growth. While states should continue to lead regional innovation efforts, the federal government can play a critical supporting role. The Brookings Institution proposes the establishment of a PPP unit within the White House to coordinate Federal assistance. Examples of effective federal-regional PPP units already are active within the Department of Transportation and the White House Startup America Initiative.

Research Studies Find Skilled Immigrants Spur Innovation in Academia, Industry

Two recent academic research articles found that innovation at institutions of higher education and domestic firms are significantly impacted by an increase in the immigration of skilled and qualified immigrants. An article from Stuen et al. found the quality of immigrant students was the determining factor in their contribution to the production of knowledge at academic science and engineering laboratories. In an unpublished article from Kerr et al., the authors examined the impact of skilled immigrants on the employment structures and innovation rates of U.S. firms. The authors of these articles also provide several recommendations to increase the number skilled immigrants that include making student quality the key criterion for receiving a visa, repealing 2001 legislation that limited the number of student visas and business taking a more active role in advocating for immigrations polices (e.g., H-1B visa reform) that attracted skilled workers to the United States.

Host SSTI's 2013 Conference

SSTI would like to visit your city and bring 350 of our closest friends! Bids for the 2013 conference are due January 14. To request a conference information packet and discuss this exciting opportunity contact Noelle at sheets@ssti.org or 614-901-1690.

USAID Awards $130M for Universities to Spur Development Innovation Through S&T

With $130 million in funding from the U.S. Agency for International Development (USAID), seven universities will establish development labs to address global development challenges through science and technology in partnership with agency experts and policymakers. A new discipline of development science that combines math, science and engineering at the University of California-Berkeley and a Social Entrepreneur Accelerator at Duke University focused on health care delivery are among the projects supported as part of USAID's Higher Education Solutions Network. The network has up to five years to achieve its goals, and for every $10 of USAID funding, the universities and their partners are contributing an additional $6.60 to the network.

Each of the seven lead universities will establish a development lab related to their available resources and expertise. They include:

Global Entrepreneurship Week 2012 Underway

The world's fifth annual Global Entrepreneurship Week kicked off on Monday celebrating and encouraging innovators and entrepreneurs throughout the world. Founded by the U.S.-based Ewing Marion Kauffman Foundation and the UK-based Make Your Mark Campaign, the weeklong program now spans 115 countries with 37,000 activities that reach upwards of seven million people. Activities include a Global Cleantech Open Ideas Competition, Startup Weekend and the Global Student Entrepreneur Awards. More information about Global Entrepreneurship Week 2012 can be found at http://www.unleashingideas.org/.

Rhode Island Improves Economic Strength in Second Annual Benchmark Study

Rhode Island has released its 2012 Benchmarking the Rhode Island Knowledge Economy, a follow-up to the inaugural report published last year. Produced by the Greater Providence Chamber of Commerce and Rhode Island Science & Technology Advisory Council, Benchmarking is a comprehensive report of the state's innovation capacity and a method of measuring over time Rhode Island's innovation economy in comparison to the region and the country. The report looks at 19 categories for overall economic strength, including more traditional measures such as gross state product and per capita income, but also for measures of the state's innovation capacity, like patents issued, R&D performance, and the attainment of science and engineering degrees and their inclusion in the state workforce. Of the 19 metrics, Rhode Island improved their national ranking in 11 areas, including significant improvements in venture capital investments as a percent of gross state product, total R&D performance as a percent of gross state product, and math scores for 8th graders.

SSTI's 17th Annual Conference Will be Held in [Enter Your City Name Here] in 2013!

Yes, it could happen. SSTI's 17th Annual Conference in 2013will be the first conference since NASVF members became SSTI members expanding SSTI to include more than 350 organizational members nationally. It is our hope that this conference inspires more collaboration, creativity and economic success around the nation. Your organization could host SSTI's 17th Annual Conference during the fall of 2013. The nation's greatest thinkers and practitioners for building tech-based economies could descend on YOUR city to build momentum for and place a spotlight on the work you are doing. Please contact Noelle Sheets, director of membership services, at or 614-901-1690 to request a conference information packet and discuss this exciting opportunity today! Letters of intent are due Jan. 14.

TBED People & Orgs

SSTI is pleased to welcome Reese Neader to our team as a research associate. Reese is the former policy director for the Roosevelt Institute Campus Network and is a political science graduate from Denison University.

Renée Winsky has been appointed the executive director of the Chesapeake Innovation Center.

Mark Kvamme has resigned from JobsOhio effective Nov. 1. He is succeeded as president and CIO by John Minor, formerly the managing director at JobsOhio.

Reed Hall has been named the interim CEO of the Wisconsin Economic Development Corp. Hall will fill the position until a permanent CEO is selected to replace Paul Jadin, who announced in September he would be leaving the post.

More State Governments To Align Along Party Lines Following 2012 Elections

Earlier this week, 11 U.S. states (and Puerto Rico) held gubernatorial elections, and 44 states held elections for at least one house of their state legislative body. As a result, five states elected new governors, as did Puerto Rico. Partisan control of state legislatures changed in nine states. The results indicate a growing trend toward state governments unified under a single political party. Only 12 states now have divided state governments, in which one party controls the governorship and the other party controls at least one house in the legislature, according to the National Council of State Legislatures (NCSL). Before the election, a total of 20 state governments were split. NCSL notes that this is the lowest number of split state governments since 1952.

Congressional Science Committees Due For Post-Election Shake-up

Congressional elections earlier this week did not change control of the U.S. House of Representatives or Senate, however, science committees in both houses are set for significant turnover, according to the American Association for the Advancement of Science. The House Committee on Science, Space and Technology is slated to lose ten members, one-quarter of its membership, and is expected to gain a new chairperson. No member of the Senate Science, Commerce and Transportation Committee was defeated, but Republican Senators Kay Bailey Hutchison of Texas and Olympia Snowe of Maine are both retiring. Learn more...