[applause] [inaudible conversations] [inaudible conversations] still neck good morning. Client delighted to welcome view but also those the view is in twitter that this is the web cast to take question is later use the largest places. I am a senior fellow here at the metropolitan policy aide program read it is my privilege to kickoff this auspicious event and for several reasons to welcome and helped launch day book into the world it is a red letter day for the excellent new book the smartest places on earth to rush to do pick up a copy so on the way out please do that. And those experienced economic observers not a standard inside the beltway but what some of us think are the fundamental elements of national wellbeing. Ranging from aerospace to Renewable Energy and the Technology Ecosystems critical as part of their focus with of collaboration that they accelerate that the region themselves can become incubators and to travel for decades have now come back to embrace the great healer and of micro. But none of this is part of the most auspicious parts of the session. Bet it is the good news to deliver. Imagine that. At the moment when did the commentators is industrial with the conventional wisdom is driven and the reinvention being driven to increase focus of hightechnology. Of with mass production of nanotechnology with that reinvention playbook to open in innovation and hubs with returning with the optimistic view that theyre becoming launch pads i find that extremely exciting. With that stereo gary decline. But indeed this is especially noteworthy while working at the royal bank with the emerging markets declaring the onset of the emerging markets at that time the beginning of the American Century now back so i would introduce a to a steam doctors to also participate in a Panel Discussion by my centennial scholar who will introduce the of panel but no antron will present the story and the coauthor who sits on the panel and a brookings trustee the Public Policy advisory and the principal founder and ceo of emerging markets and Investment Firm specializing in emerging markets a supporter of both the Metro Program for his part until his recent retirement the monetary and Financial Affairs of the Financial Times of college. [applause] thanks for the introduction but i will start rising it could not have written those books and only hope was with the presentation but the past couple of years it was influential with our thinking. Talking about bruce or 80 or mark and were standing on your shoulders thank you for that very much wising to those political candidates on the left and right to dont you get depressed . This sounds like the country has run out of steam of innovation the better times are behind us and all we have our problems but i will start but if you look in their Rearview Mirror that saying is look bleak with 7 Million People the there are 10 million jobs in hightech. 4 million jobs were created. And as good as you can see that line at the end it starts to reverse. And with those emergingmarket debt also means there were doing things more productively as opposed to a devastating impact that we, out of but that is not the whole story. And to have a very similar experience. I have been doing this 30 years with entrepreneur and ceos i hear them complain about american competition. I have not heard that in 30 years. Why . Yes costs were going up and gas was cheap but the most important thing is they could not keep up with american innovation. So we visited one dozen cities all over the United States and there is my daughter. We came to a very different conclusion. And the Northern European countries are not on the decline in fact, they are regaining competitiveness. Why is there a new paradigm . For the last. [applause] years we have been trying to compete to make things as cheap as possible. That is a losing battle. Certainly against china in the emerging markets but we learned after the crisis it is much better to compete to make things as smart as possible. Innovation. But todays problems require more disciplinary solutions. One of the trustees of the brookings Shirley Jackson of the Polytechnic Institute said nothing is being invented any more. It is no longer top down but bottomup youre no longer in your garage but collaborative and not to in isolated Research Centers but in fibrin to urban districts that is where they like to work we have seen. Second to, we are creating a whole new branch of this old expertise now we have added new production methods, new materials, and on top of that we combined the stuff that we were really good dash information technology. Wireless. And the ability, we didnt have that before, to use big data to analyze this to help us. All of that is connected through tiny chip and that is the sensor. That makes various things possible that were never possible before. The future is all about connecting and connected this. The self driving car will be a revolution in transportation. My picture disappeared. Variable devices. It is incredibly important to the future of health care is to wear them or in justin m. The smart period Smart Farming the we can tell you about. All of this is not possible as the smart economy the culmination of the economy. You might think we lost all these industries but think again. We now have new production methods and robots with the Second Generation robots and from North Carolina a way to invent 3d printing 1,000 times plus to also be used in production and also finding a way to make batteries it is all possible to bring back Industries Like socks and shirts and shoes. A Crystal Clear already making olympic shoes with robots. So the other interesting thing that we found is this Collaborative Innovation is no longer limited to places like Silicon Valley or cambridge has spread all over the country more than dirty green belts more than 15 greenbelts throughout europe. So i will illustrate. All of you have heard of the chippy thought it is one of the smartest places on earth. But what did we find . For old Tire Companies are gone. Overnight. Zero loss of a lot of jobs in a lifethreatening challenge it always is based on a lifethreatening challenge. And then the second element argos who got people together because they had no other choice to collaborate in what is key was a worldclass Polymer Research for light contact lenses that change color if you have diabetes. Or Road Conditions that change with the self driving cars or other examples examples thousand little Polymer Companies that have more people working for them than before. That is what i mean. You have a lifethreatening university centric a lifethreatening situation is always university centric. Requires some multi disciplinary approach of the necessity to share brain power. They have a connector and the infrastructure that attracts and retains the that is Affordable Housing that is why people move from Silicon Valley to other places like pittsburgh or akron. And finally you need access to capital. This is key in albany new york there is leadership of a former christian fighter from lebanon who became the great physicist at the forefront of Semiconductor Research and though google has thousands of employees working in one of the most modern plants in the world. I have seen that clean room and that Little Machine cost 1 billion. In albany new york. The Research Triangle is your purpose i will tell you on the sidelines no more cigarettes are made in this factory is now an incubator. In Portland Oregon gave 500 million with the until that was already there in now to bring back from the mountain to the city to make my dutch heart warm. So from light bulbs to this were the citys and now you have the technical universe that is an open innovation platform. We will talk about that later. So over 30 places twothirds are a former rust belt they describe in detail than of those they are building on forgotten strength. It could not be brookings without policy recommendations. So we will go through them. There are a bunch but i will go through to of embargo two of them. At 21st economy but we are miss measuring Google Search we have to find a better way to do statistics. The second is terribly important why cannot people find jobs . We have to develop programs of training for jobs that are based on a really good model of the dirty works study model and we have to reword the sharing of the brain power to support those innovation in districts and have support United States still does twothirds of the Biggest Research but we have to keep or we will lose out. Venturecapital should have the leeway not to meet profit the next day from investing in social media but more leeway to invest for the long term. In conclusion we are optimistic and think the United States does have a very good future. Innovation is not dead competitiveness is not dead. In fact, we are beginning it. Maybe the best way to sum up is looking outside is the longer winter in america. [laughter] spring is coming back. Thank you. [laughter] [applause] i am from brookings. It is an absolute pleasure to moderate this panel and an absolute pleasure in this season of despair to be optimistic of the future of our country in us future of many similes situated cities in europe. It has done all of us a Great Service if it takes the couple of dutchman who have been here for a while to remind us what we have. We have to other people on the panel that would give a brief introduction to of the Top Economic Development people in the United States with university of pittsburgh was on a tour last week if you want to feel optimistic about america apart and that working in northeast ohio and head of the research with the iconic science part of the United States. So there at the cutting edge so about four years ago we took a trip to the netherlands. And you took us to where i have never been before. We saw a remarkable day of the turnaround story that originally it is portland based. They came into troubles that philips announced to shift the manufacturing. So it was a horrible scenario. Because it is a phenomenon. We are proud inari are critical. [laughter] but there are people of a fairly ambitious plan. You make from that region of those that build hightech machinery. But how do you do it . It is too complex and to share the brainpower but there was the problem at that time. And with the nearby communities to be close vertically and her prickly and to build that Disciplinary Team and there wasnt one connection and the ceo would open up the silo of the research lab that was similar to have much resistance