Second Curve economies make new demands on local governments. The challenge is involves devising new ways for local governments to act as investors, not simply brokers. 

In the past, local governments often designed their economic development programs around different state and federal programs. The "brokered" funds and distributed them locally. 

Increasingly, local governments are committing their own general revenues to economic development. These commitments come in the form of direct investments or, more commonly, incentives in the form of "tax expenditures".

Working with the Department of Development in Cuyahoga County, I-Open is developing new approaches to local economic development. We are focused on finding the right balance between flexibility and accountability in the investment of local funds. We are exploring how a local government can stimulate innovation though investments in  collaboration, clusters, and innovation zones. 

You can learn more about the Cuyahoga County project from this page.