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"Manufacturing 2.0: A More Prosperous California" founx that California had 21 percent fewer manufacturing jobs in 2007 than in compared with a decline of 20 percenf nationally and 13 percentf among seven states that are competing for the same typez ofmanufacturing jobs. The report compares California's performanc and policies to thosed ofseven "peer" states -- Indiana, Kansas, Minnesota, Texas and Washington -- chosen for their increasing share of U.S. manufacturing jobs and especiallyin high-tech manufacturing.
The report -- which was in part, by the Californiza Manufacturers & Technology Association -- lookes at the time period of 2000throughy 2007, the latest data available at the time of the The state is hemorrhaging high-tecjh manufacturing jobs at an even higher rate than in traditionak manufacturing industries, Santa Monica-based Milken Institute's report California's employment in this high-wage, high-skil l segment is down 23 percent from 2000 levels, as opposerd to declines nationally of 19 percent and the peer average of 16 percent.
In fact, from 2003 to 2007, encompassinyg the recovery ofthe high-tech sector, the peer states gained 24,000p high-tech manufacturing jobs while California lost almost 16,000. Gov. Arnold Schwarzenegger'ws office said in a prepare statement that thegovernor "agrees that we must continue the fight to reduc e barriers to job creation in California -- which is exactlg why he fought to includs measures like the single salea factor and the new hire tax credit in the state which encourage companies to keep and relocatw jobs in California.
" Perry Wong, a senior economistg and one of the report's authors, said "Widespread misconceptiond about the manufacturing sector in California are part of the People don't understand that manufacturing is an integralo part of the high-tech and clean-tech economy. If Californians want to builfd the future economic recoveryon high-tech and retainh highly skilled workers, they have to address the underlying issue s of this sector now.
" Driving the decline, the reportr says, are a reputation for an unfriendlu business climate, comparatively high tax rates, a restrictive regulatory climates and unsustainable government * Streamlining the regulatory procedure for manufacturers, withoutt relaxing or changing regulatory standards, to increase transparency and accountabilit y in the regulatory * Enhancing public incentives througu better planning, coordination across governmenft agencies, and partnering with the private * Launching an industry-led campaign to encourage Californians to pursue careers in the highlu technical and highly paid manufacturing field.
* Creating a networok of education, training, research, and business incubation centerw aroundthe state. * Developing a public-private initiatives to conduct research and develop new manufacturing processesz thatare cleaner, more energy efficienft and generate less waste. The full reporyt and an executive summary are availablweat . The Milken Institute is a independent economicthink tank.
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