A shortsighted view

Sunday, July 26, 2009 | 2:09 a.m.

Business news network CNBC last week released its annual survey of the best states for businesses, rating them in 10 broad categories ranging from the economy to “business friendliness.” Nevada, which is typically seen as one of the best states for business, ranked a woeful 47th.

Gov. Jim Gibbons may be enjoying the results. For months, he has been telling anyone who would listen that Nevada is not good for business. He cited the Legislature’s passage of a series of incremental tax increases, designed to keep the state from gutting vital services, as the death knell for efforts to bring new business to the state.

However, a close look at CNBC’s survey demonstrates the fallacy in Gibbons’ thinking.

Since last year, Nevada has improved in the cost of doing business and business friendliness, yet overall it dropped two places. That is ironic because the governor, who touts his mindless no-new-taxes mantra, believes those are about the only things that matter to businesses.

Nevada was downgraded for a number of other things. The state ranked 49th in education, 40th in technology and innovation and 29th in transportation and infrastructure. It is no wonder Nevada’s quality of life was ranked 34th. Of the 10 categories CNBC reviewed, Nevada scored in the top half of the nation in only two — workforce, 18th, and business friendliness, 20th.

Here’s something the governor should understand: Businesses, like residents, want good schools, roads and infrastructure, yet politicians like Gibbons don’t want to do what is necessary to lay a foundation for business and a high quality of life.

In fact, Gibbons would prefer to cut what paltry government services Nevada has, and that kind of thinking will only make the state a worse place to do business.

If Nevada wants to compete in the 21st century, it will have to provide a foundation of strong services to attract new businesses and diversify the economy. Otherwise, Nevada can expect to see its ranking — and its quality of life — continue to slide.