(article written for the University of Geneva Alumni community)
For decades, the economic development of regions has been depending on their capacity to attract and retain businesses which add value to their surroundings (the well known spill over effect). In the past, such firms were mainly composed of industries (and to some extent large financial companies) which required commanding construction sites, making them less prone to move once settled.
With the emergence of the knowledge economy, a shift has occurred. Creative people and entrepreneurs able to translate the latest developments in innovative products and services oriented companies have become the new actors considered as bringing new economic welfare. The fact that such innovative minds and skilful workers are mobile has spurred the competition between the regions to lure them. Lake Geneva and Boston are no exceptions but they compete on different levels. Boston provides access the US market and one of the highest concentration of high level academic institutions in the world. For knowledge savvy workers, an attractive proposition. The Lake Geneva area has other trumps in its sleeve: it can provide a central (and cultural neutral) access to the European market and a very high quality of life through its scenic beauty and world class infrastructure. Its research impact is among the highest in the world in terms of publication citation and technology transfer.
How does the future will look like ? Boston will undoubtedly remain a powerhouse of knowledge and worldwide attraction to the best minds but its infrastructure is lagging behind and work commuters are losing precious time stuck in traffic jam or in uncomfortable trains. The Lake Geneva region, through decades of regular investments in its infrastructure can provide an efficient public transportation system combined with a car sharing able to allow a smooth and punctual travel country wide. This will likely contribute to reinforce the attractiveness of the Swiss region and close the gap with its American cousin.
All is not well however, recent studies from the Swiss national bank points out a surge in housing pricing attributed to the growing pressure generated from immigrant workers in Lake Geneva area (http://bit.ly/5Z3hs6 ). A signal to “manage” with more acuity the immigration workers in order to make sure that general welfare of the local population is indeed improved and not worsened by such flow. Recent voting polls show a growing concern that need to be addressed to warrant a continued support for such important endeavours.