This publication updates the January 2004 study, New Returns on Investment in the Knowledge Economy: Proposition 301 at Arizona State University, FY 2003. Both works were launched by the report, Seeds of Prosperity: Public Investment in Science and Technology Research (2003), by Morrison Institute for Public Policy. Morrison Institute will periodically publish new material to keep you informed of the status of Proposition 301 investments at Arizona State University.

Almost every state hopes to capitalize on the tremendous wealth and job creation that can be generated by high tech science research-and billions of public dollars are being spent. But everyone is just speculating about the lasting value of these investments. While traditional assessments of return on public investment in science and technology tend to track short-term impacts, such as salaries, patents, and licensing revenues, the main foundations for long-term development of a knowledge economy appear to rely on a number of less tangible accomplishments. For example: Connections - the networks that develop between researchers, entrepreneurs, and venture capitalists; Attention - the publicity generated by the research and its networks that attract businesses and talent to locate in a region; and Talent - the highly skilled workers that such research attracts and trains.

These three indicators of economic success-henceforth called the CAT measures-have yet to be quantified and applied in a useful manner. That is the purpose of this study. It will be conducted in three parts, each with a culminating report. The first part will analyze the FY03 science and technology research activities and results for ASU's Proposition 301 initiatives. The second will develop a methodology for quantifying and utilizing the Institute's CAT measures. The third will field test the CAT methodology on a selected aspect of ASU's Proposition 301-funded research, and analyze results to provide Arizona decision-makers with recommendations to guide future policy.

The state envisions actively promoting GSPED’s (Governor’s Strategic Partnership for Economic Development) vision of economic development, and linking workforce development efforts with GSPED. This means fundamentally changing the way the state does business. And, similar to most "new" initiatives, there are those who embrace the challenges implied and those who prefer the status quo. Prior to forging ahead with a new agenda to link economic and workforce development using GSPED as an organizing framework, the OWDP commissioned a statewide opinion poll to assess public attitudes toward these potentially controversial ideas. This briefing paper summarizes the results of the polling.

In the spring of 1998, the Office of Workforce Development Policy (OWDP) of the Arizona Department of Commerce commissioned a statewide opinion poll to assess public attitudes toward the state’s plan for economic development as implemented through GSPED — the Governor’s Strategic Partnership for Economic Development. The poll was designed to assess both the public’s understanding of GSPED and their reactions to using the concept of industry clusters as a tool for organizing both economic and workforce development efforts.

In the spring of 1998, the Office of Workforce Development Policy (OWDP) of the Arizona Department of Commerce commissioned a statewide opinion poll to assess public attitudes toward the state’s plan for economic development as implemented through GSPED — the Governor’s Strategic Partnership for Economic Development. The poll was designed to assess both the public’s understanding of GSPED and their reactions to using the concept of industry clusters as a tool for organizing both economic and workforce development efforts.

One question posed by members of the Governors’ Council on Workforce Development Policy pertained
to whether polling results vary by urban versus rural residency. Specifically, the question was raised as to whether the responses of rural residents differ from those who live in urban areas. Therefore, at the request of the Council, results of the polling were analyzed in order to answer the question: Does urban versus rural residency affect respondents' answers? The answer to this question is, in short, No.