Since the opinions expressed in this blog are those of The Wandering Eye and not of the Source, The Eye feels free to express the following opinion of the guest commentary by Bryce Ward, Ed Whitelaw and Andrew Kenny that appears in this week’s issue:
It’s crap.
Not, I hasten to add, the part about the wisdom of protecting the Metolius Basin; I couldn’t agree more with that.
The crap comes in when these three economists try to explain how Central Oregon’s natural beauty and outdoor lifestyle are bringing growth and prosperity to the region.
“To explain economic growth among states and counties, economists traditionally have pointed to such factors as deep-water ports, bustling, navigable rivers, massive transshipments across planes, trains, trucks and automobiles, and vigorous research universities spinning off undergrad and grad degrees as well as commercial ideas and ventures,” they write. “This view emphasizes employers, industries and the costs of production and distribution.”
But according to the New Economics as expounded by Messrs. Ward, Whitelaw and Kenny, all those factors don’t matter now. What matters is the acquisition of “human capital.” They write that “states and localities that have attracted skilled, educated, creative, and talented people – what economists call human capital – have prospered, while the other areas have struggled.”
And they cite statistics showing that Deschutes County has done better than the rest of the state in attracting high-quality human capital, including people with bachelor’s and post-grad degrees.
Why have we been able to attract this wonderful human capital? Because (bet you can guess where this is going) of Deschutes County’s, and the Pacific Northwest’s, “high quality of life which stems in no small way from the forested mountains and snow-capped peaks, clean streams and lakes, spectacular scenery and boundless recreation on millions of acres of public land.”
But then why, with all these attractions and all the terrific human capital they attract, does Central Oregon consistently lag behind the rest of the state and nation in wage levels?
The trio has an explanation for that too: People in Deschutes County “get lower wages and salaries, compared to their counterparts elsewhere. But the County’s residents – employed, underemployed, unemployed and even those disconnected from the labor market – receive a different paycheck, one not denominated in dollars, but in the benefits of those forested mountains, clean streams and other forms of – here’s more economics jargon – natural capital.”
Or, to put it more succinctly, it’s that good old “poverty with a view.”
I would, perhaps, be more inclined to accept Ward, Whitelaw and Kenny’s ideas if I hadn’t been hearing the same old bullsnot for the past quarter of a century.
Yes, we have some bright and talented people here (although I’m convinced that most of the really bright, talented and ambitious people still choose to locate in the big metro areas where they can make the big bucks). Yes, we have outdoor recreation. Yes, we have mountains and trees and rivers.
But where’s the payoff? When is the magician going to wave his wand and pull the rabbit out of the hat? When is all this human capital going to show some return in the form of higher pay and broader prosperity?
For about 25 years I’ve been listening to promises that “in the long run” the irresistible appeal of our glorious outdoor lifestyle is going to draw entrepreneurs who will create all sorts of wonderful enterprises that will provide thousands of good-paying jobs. So when the hell does “the long run” finally arrive?
I respect Ward, Whitelaw and Kenny’s right to their opinion and, as I said, I wholeheartedly agree with and applaud their defense of the Metolius. But when it comes to accepting their theory about how Central Oregon will achieve prosperity, my response is – to borrow a catchphrase from a popular movie of a few years ago – “show me the money.”
This article appears in Jul 2-8, 2009.
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This article is just a play off of your last one. You say “Show me the money”?…But how do you accomplish this from a liberal political strategy. I may not agree with you on your liberal policies, BUT, I am on here to read a different perspective. All I read was that you didn’t agree with these guys, and you didn’t give me an alternative to consider. Give me some substance.
The pronouncements of so-called experts who are able to ‘interpret’ i.e. SPIN data and studies to support their points of view never cease to amaze me. At all levels of our society–government, business, politics, entertainment, education, and economics–they are able to take any set of facts and use them to get the attention they feel they deserve.
My advice to them, is get down in the trenches with us who are living our lives in the real world and try to get some kind of understanding and experience of what we really do, feel fear and hope for on a day to day basis.
I’ll believe a politician when he has no health care at my expense, no guaranteed income at my expense, no expectation of continued employment at my expense, and no unlimited spending for his so-called needs at my expense.
I’ll believe other experts when I actually meet someone who agrees with them AND can show me that reality matches the fantasies that are being espoused.
I thought the late Seventies was the era of cynicism. Welcome to the Twenty-First Century. Now show me some–jobs, hope, money, etc.—
All the “human capital” comes here to play, rest and live the lifestyle. If they came here to work, the “long run” would be here by now. What these economic spin doctors NEVER say is that this so called “human capital” has made their money and they come here to retire and enjoy it.
Central Oregon was a hell of a lot more liveable before all this “human capital” showed up.
The wandering eye’s blogs are always fun to read but lately I have been left with a couple questions. First is why do you like to bash Central Oregon? If you don’t like the forests, streams, and white capped mountains then why are you still here? I recall several articles where in either the article it’s self or in the comments section you have made mention of you wanting to leave this area, so with every passing gripe I must ask myself why you are still here writing it.
I, much like yourself, am an implant from another state. I hate to break it to you but it sounds like I moved here for the “natural capital” much more then the job market. Let me ask you one final question, what was the attraction that Bend had a few years ago that made the town double in size? It wasn’t the surroundings, the job market, or the housing situation. So what was it, in your opinion….
“First is why do you like to bash Central Oregon?”
I don’t see it as “bashing” it so much as trying to counter all the bullspit that’s spewed about it being “paradise.”
“If you don’t like the forests, streams, and white capped mountains then why are you still here?”
I like ’em fine. It’s other stuff about Bend I don’t like.
“I recall several articles where in either the article it’s self or in the comments section you have made mention of you wanting to leave this area, so with every passing gripe I must ask myself why you are still here writing it.”
For financial reasons we are unable to leave now. As soon as it’s financially feasible for us to do it, we will leave. We came here 25 years ago when Bend was a very different place. It’s no longer the attractive small town we moved to and planned to spend the rest of our lives in. The natural beauty is still here, but it’s been overrun by man-made ugliness thanks to chaotic, sprawling development.
Plus we’re sick and tired of living in a place that has no spring and hardly any summer. And as we get older the endless winters bother us more and more. Who the hell wants to live in a place where you have to wear a sweater in July?
“Let me ask you one final question, what was the attraction that Bend had a few years ago that made the town double in size?”
The biggest growth in the city’s population came as the result of annexation of large unincorporated areas in the late 1980s or early ’90s (can’t remember the precise date). That doubled the city’s population literally overnight. Then a lot of people in California, Seattle and Portland cashed in the equity on their homes and moved here, because (a) they could get a lot more house for their money here and (b) there had been dozens of the media stories about Bend being one of the Top 10 Places to Retire, Top 10 Ski Towns, Top 10 Mountain Bike Towns, etc., etc., etc. (Incidentally those stories did not just happen because the media suddenly discovered Bend was wonderful — they were the result of a carefully planned, skillfully executed and quite expensive public relations campaign.) And then came the real estate bubble and things just went crazy.
Weekly Reader: Good point. I wonder how many of those people who came here in the last 10 years with bachelor’s and post-grad degrees are retirees? A pretty high number, I’d bet. And a great many others no doubt work for the federal government or in education. There just aren’t many opportunities in the private sector here for somebody with a bachelor’s degree or higher. Never have been and probably never will be.