The transaction privilege tax (TPT), often referred to as the sales tax, is a major source of revenue for state and local governments in Arizona. The TPT is applied to numerous categories, such as contracting and utilities. The analysis in this paper is limited to the retail category, which accounts for half of the TPT collected by state government, and the restaurant and bar category, which contributes one-tenth of the TPT revenue.

Economic development leaders and public officials throughout the country are tending to the effects of a sour economy and huge state budget deficits when they would rather be creating quality jobs and new economy assets. According to the most prominent thinking on today’s knowledge economy, locally developed and exported technology will be the primary economic differentiator between future winners and losers. Thus, with long-term fiscal and economic health at stake, the 50-state race is on for advantages and leadership in science and technology. This report sheds light on these issues through an overview of Arizona’s standing in science and technology today, short case studies of four competitors in the west, as well as Arizona, and ideas for Arizona’s leaders to consider as they strive to give our state an edge.

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.

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.

The March 2006 responses to a statewide representative telephone survey show that a majority of Arizonans see science and technology research as a source of high-paying jobs and are every bit as interested in science and technology as leaders are. Arizonans "get" the benefits of a science and technology-based future and the power of science and technology to spawn desirable employment opportunities. Some cautions emerge as well, but even so, most Arizonans look to science and technology as integral to a bright economic future.

Fierce competition for workers is one of the top issues today in Arizona. Many people may be surprised to hear that anything related to the state’s economic situation is on a list of pressing issues. Arizona’s economy is and remains robust, the state is finding it difficult to supply workers in demand by industry. The result is a new but deep threat to our economic future. Businesses’ inability to find and retain the workers they need, where they will need them, may in fact be the spear that unexpectedly pierces the state’s prosperity.

Believing that voters might support transit if they felt like an integral part of the transit proposal decision-making process, the Phoenix Chamber of Commerce's Valleywide Transit Task Force set out in early 1995 to initiate a bottom-up process which would enable people to say, "here's what we want." The Task Force agreed that the first step in the process was to initiate a new dialogue. the Morrison Institute for Public Policy was asked to write a briefing paper, which would re-invigorate the transit debate. The resulting report, "Transit in the Valley: Where Do We Go From Here?" painted a bleak picture of the Valley's existing transit system and challenged many long-held conventional wisdoms. The dialogue had begun. The report was then presented to the citizens of 17 Valley cities and towns for their consideration in 16 public meetings sponsored by cities and their local Chambers of Commerce. In community forums conducted between October 1996 and February 1997, more than 500 Valley residents discussed the Valley's transit future. This document summarizes the questionnaire responses by 501 people who attended the forums.