The upstate economy has turned the corner and will continue to add tens of thousands of new private-sector jobs as a result of recent state tax cuts, a new study by Governor Pataki's chief economist has concluded.

Poor upstate job growth for 25 years is the direct result of heavy state and local taxes, the study said.

"This study [shows that ] heavy and growing taxes and job creation do not mix," said Stephen Kagann, the Governor's chief economist.

The state and local governments responded to a faltering economy a decade ago by raising taxes to fund a growing government, turning "a recession into a rout," Kagann said.

Job losses are being reversed in recent years, largely because of state tax cuts, the report said. Progress upstate has been slow because the recession was deep, it added.

Click here for the press release on the study.