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<br /> <br />THE SETTING 1:-1 <br /> <br />The population of the basin (2.54 million in 1966*) has been increasing <br />rapidly. Arizona's population (1.74 million) increased by more than 130 <br />percent from 1950 to 1966, more than five times the national rate. The <br />growth of earnings (204 percent in the interval 1950-1962) was more than <br />double the population growth (93 percent) during that period. <br />Throughout the basin, cities have grown up only in those areas that can <br />be irrigated, mined, or that hold special advantages as tourist or railroad <br />centers; recent population growth in these cities, however, reflects new <br />industry dependent on neither agriculture nor mineral resources. All the <br />larger cities are in the southern part of the basin. Phoenix, the largest <br />city, had an estimated metwpolitan-area population in 1966 of 838,000; <br />Tucson, 307,000; and Las Vegas, 232,000. Thl~ first two of these are <br />built, in part, in the valleys of streams that are nearly dry much of the <br />time and that cause heavy damage when they erratically and infrequently <br />claim their natural floodplains. Dry washes, urban flood hazard, and <br />federal protection projects go hand in hand. <br />Although not in the basin, the great and growing urban concentration <br />of the Los Angeles-San Diego-San Bernardino area (9.0 million) lies im- <br />mediately adjacent and is heavily dependent upon the Colorado River for <br />electric power and for water to supply homes and industry. Denver and <br />the Salt Lake basin also depend in part on diversions from the Colorado. <br /> <br />A GROWING ECONOMY <br /> <br />Farming, mining, and trade constituted the largest segments of the economy <br />many years ago. In recent years, the pattern of economic growth has <br />changed rapidly (Figure 5), featured by "footloose" industry. Phoenix il- <br />lustrates this new pattern. From 1960 to 1967, the population of the <br />metropolitan area increased 35 percent, mainly r'eflecting a net increase of <br />226 manufacturing firms (phoenix Newspapers, Inc., 1967). In 1967, the <br />single largest employer in the Phoenix area was an electronics firm. Of the <br />18 organizations having more than 1,000 employees, seven are electronics <br />firms, three are aircraft companies, three are public utilities, two are military <br />bases, one is an aluminum company, one is an apparel manufacturer, and one <br />is a printing and publishing establishment. Not one is directly related to <br />agriculture or dependent on water or other local natural resources. <br />The impact of new industry on the economy of the Phoenix area is shown <br />by the change in the income pattern from 1950 to 1966. In this period, in- <br /> <br />*Based on state and county estimates. <br />