West Virginia, whose population of 1.8 million has largely remained unchanged since 1990, is making headway in reversing the exodus of young people to competing states. Its "PROMISE" (Providing Real Opportunities for Maximizing In-state Student Excellence) scholarship program — established in 1999, but only funded since 2002 — covers college tuition and fees for all West Virginia high school graduates meeting basic academic requirements.       "One of the most important drivers of long-run economic growth is investment in our human capital," says George Hammond, a research economist at West Virginia University. Hammond contends that the state's greatest asset may be its loyal, diligent work force. "We frequently hear our employers say that when they invest in work force skills, they can count on their investment being around a long time," Hammond says.

West Virginia Development Office www.wvdo.com West Virginia Econ. Dev. Council www.wvedc.org West Virginia University Bureau of Business and Economic Research www.bber.wvu.edu

      High-quality labor has been a critical success factor at Toyota's transmission plant in Buffalo, W. Va. In April 2004, Toyota executives unveiled plans to add another 184,000 sq. ft. (17,094 sq. m.) and 50 jobs to the site. The $80-million investment is the facility's fourth expansion since opening in 1996.
      "For the past two years, The Harbour Report [an influential automotive industry publication] has rated our West Virginia plant the best engine plant in the country," says Dennis Cuneo, senior vice president of Toyota Motors North America. "People in West Virginia have adapted very well to the Toyota production system, and they work hard."
      The expansion marks Toyota's first gear-machining venture outside of Japan, a move demonstrative of the company's confidence in the Buffalo operation, adds Cuneo. "The machining of gears is one of the most intricate parts of the process," he says.
      Strong relationships between business leaders and state officials have also driven West Virginia's recent string of successes. "Our style of economic development has changed," says Gov. Wise, who regularly calls on companies inside and outside the state. That personal touch makes a difference, he says. "The real advantage of West Virginia is we're small, flexible and can move quickly."