But there is more to New Jersey than isolated pockets of prosperity. As the Brookings report warns, statewide prosperity is at risk, despite traditionally strong showings in income level, educational attainment, home ownership and employment. However, the state lags the rest of the country in wage growth, is losing high-wage jobs, gaining low-wage jobs and has lost more high-tech jobs than any other state, Brookings' analysis reveals.
   The Brookings Institution encourages more production of moderately priced housing to attract workers and wants state officials to consider steps other states have taken to lower the cost of living for residents. These include introducing a low income housing tax credit, as 15 states have done. Massachusetts targets smart growth grants, and several governors have realigned resources and agencies that deal with housing to improve delivery of services.
   The report also seeks solutions to "crushing disparities in terms of race, class, and place" by increasing the incomes and assets of low-income, working families. But it is short on specific ways to do that.

The Brookings Institution New Jersey Future Matrix Development Group Stadtmauer Bailkin Biggins New Jersey Econ. Dev. Authority

   Finally, the analysis recommends considering "cabinet-level realignment as well as other interdepartmental and coordination reforms to bring together agencies and programs with strong potential synergy." This on one level sounds like nothing more than rearranging the deck chairs. But the point is to ensure that those agencies working to fix the factors that impede competitiveness have access to the governor. The governor alone can direct state agencies to address housing, work force and other areas needing attention.
   "New Jersey is doing a lot of the things other states are doing and some things other states are not doing," says George Hawkins, executive director of New Jersey Future, a research and public policy group that advocates smart growth as the best way to increase competitiveness. Hawkins wants state government to compile a set of sites ready to be developed that make use of public transportation and would incorporate affordable housing, utilities and other components of interest to private commercial investors.
   "We will have prepared the ground, and that to us is very doable on the part of state government," says Hawkins. "Government doesn't always think in terms of lining up all the right elements to bring about the best outcome, but we have a competition issue, and we have to do it."