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Economic Development Arguments
November 2015
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(above) nearly $200 million investment, hundreds of skilled construction jobs , over 100 permanent high paying  jobs, recently completed in the USA.  
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Welcome to the latest issue of Economic Development Arguments by Paperitalo Publications. In this edition, we
discuss opportunities and capital investments.  

Sincerely,
Jim Thompson
jthompson@taii.com
Capital vs. Jobs
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Not that you necessarily have a choice, but if two opportunities present themselves to your community, one that has a large capital investment with relative few jobs and the other has a low capital investment and lots of jobs, which should you take?
 
That all depends on whether you have a short term or long term outlook for your community.
 
In my experience, the low investment/high employment numbers projects are more likely to move on you than are the high capital cost/low employment number projects.
 
In other words, the high capital cost projects will likely pay for your grandkids' new school buildings.  The low investment projects may give your children a job.
 
Paper mills are large investments.  It takes only a few skilled operators to keep them going.  However, the maintenance skills are required and there are more high paying maintenance jobs.
 
Plants that employ many people tend to have lower wages, and unless the ownership has some emotional ties to your community, they pick up and move to the next low wage place when the opportunity is correct.  
 
Large capital investments tend to stay put.
 
It may not be a choice you get to make, but keep these dichotomies in mind, the next time an opportunity comes to your community.

*****

And if we can help with your sticky problems, just email me at jthompson@taii.com.
Talo Analytic and Paperitalo Publications are uniquely able to help you

Jim Thompson, CEO of Talo Analytic International, Inc. has served as Independent Engineer for financial institutions on approximately $6.5 billion in pulp and paper projects in the United States in the last twenty years.  No one individual has done more of these projects (about twenty unique projects).

Paperitalo Publications, has the highest ranked publications in the pulp and paper industry worldwide, PaperMoney and Nip Impressions.  Additionally, Paperitalo Publications operates the only regular podcasts to the industry, Pulp & Paper Radio International.  If you want to market to this industry, there is no better value or more effective venue available.
  
Don't hesitate to contact us any time.

We have the expertise, over twenty years of it.  We know the markets, we know the players.  Feel free to contact us any time.
 
Talo Analytic International, Inc.
4018 Keeneland Court
Duluth, Georgia 30096
678-206-6010
 
 

 
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Bankers Engineer