The long-term effects of Sacramento’s financial woes, meanwhile, could far outweigh the near-term effects. In particular, the expected deep cuts in education spending could thin the state’s human capital, potentially forcing California companies to look elsewhere for skilled workers as well as new plants or even headquarters. It’s the equivalent of "eating the seed corn," said Levy, chief economist at the Center for the Continuing Study of the California Economy in Palo Alto… "When you think about the genesis of Silicon Valley, it really started from its superior educational base" at Stanford and UC Berkeley, said Sedgwick, whose company makes the building blocks for photovoltaic cells. "That indicates that you don’t want to kill the goose that’s laying the golden eggs."

Read full article [here].
by Martin Zimmerman, Marc Lifsher and Andrea Chang, The Los Angeles Times.

Posted: May 23rd, 2009, by: admin. Categories: . Awaiting Comments.