By Nancy Wenande Yankton Thrive CEO
Over the past several years, I’ve noticed something interesting. The phrase “economic development” often generates mixed reactions. Mention a new employer, a business recruitment effort, an industrial expansion, a housing project tied to workforce growth, or a discussion about incentives, and opinions quickly emerge.
Some people become excited. Others become skeptical. Yet economic development should not be viewed with suspicion. Communities don’t grow by accident. In fact, every community that enjoys a strong quality of life depends on successful economic development. One reason economic development is sometimes misunderstood is because people often confuse it with community development.
Community development focuses on making a place where people want to live. Parks, trails, recreation, schools, arts, healthcare, childcare, housing, volunteerism, and quality-of-life amenities all contribute to community development. These investments matter because they help create vibrant and attractive communities.
Economic development serves a different purpose. Economic development is about creating and retaining primary jobs, expanding the tax base, supporting business growth, increasing incomes, attracting investment, and generating new wealth within a community.
In simple terms, economic development creates the resources that make community development possible. Without economic growth, communities eventually face difficult choices. Infrastructure ages. Public services become harder to maintain. Schools struggle with declining enrollment. Employers face workforce shortages. Young people leave in search of greater opportunities elsewhere.
No community can cut its way to prosperity. Communities grow stronger when they create opportunities. Those opportunities often begin with primary jobs.
A primary job is one that brings new dollars into a community. Manufacturers sell products outside the region. Professional service firms serve clients beyond local boundaries. Technology companies, healthcare providers, logistics firms, agricultural processors, and many other industries generate revenue from outside markets and bring those dollars home.
Those dollars do not stop with the employer. Employees purchase homes. Families shop locally. Businesses hire suppliers. Tax revenues support public services. Local entrepreneurs find new opportunities. Economic activity spreads throughout the community. That is the power of economic development.
Unfortunately, economic development is sometimes portrayed as helping only a select group of businesses or developers. While individual projects may receive the most public attention, the ultimate objective is much broader.
The goal is not simply to help one company succeed. The goal is to strengthen the economic foundation of an entire community.
When a manufacturer expands, the benefits extend beyond the factory walls. When a new business chooses to locate in a community, the impact reaches beyond the business itself. When workforce initiatives help employers fill critical positions, the gains extend beyond a single industry.
Economic growth creates opportunities that ripple throughout the local economy. That does not mean every project deserves support. But there is an important difference between questioning a strategy and questioning the value of economic development itself.
Communities that stop pursuing economic growth do not remain frozen in place. They fall behind. Other communities continue recruiting employers. They continue investing in workforce development. They continue preparing sites, expanding infrastructure, supporting entrepreneurs, and positioning themselves for future growth. The competition for jobs, investment, and talent does not pause because one community chooses not to participate.
Here in Yankton, much of what we value today exists because previous generations understood this reality. They invested in industrial development. They supported infrastructure projects. They recruited employers. They expanded opportunities. They recognized that long-term prosperity required more than maintaining the status quo. Their efforts created the foundation we benefit from today. Now it is our turn.
Economic development is not about chasing growth for growth’s sake. It is about ensuring that future generations have opportunities to build careers, raise families, start businesses, and create successful lives in the community they call home. It is about creating an economy that supports the quality of life we all want.
Community development and economic development are partners. One helps make a community desirable. The other helps make it sustainable. Both matter. But neither should be treated as something to apologize for. Communities don’t grow by accident.
It is the intentional work of creating opportunities, building prosperity, and securing a stronger future for the next generation. That is not something communities should fear. It is something communities should embrace.
