While the recently released Tasmanian Chamber of Commerce and Industry report indicated Tasmania lead the nation in certain economic factors, there were other elements in which the state was not so successful.
Report author and Deloitte Access Economics chairman Chris Richardson said while Tasmania is the fastest growing state in the nation, there's a long way to catch up.
"There are all sorts of positives. But, there's still an interconnected set of challenges around the economy, education and health outcomes," he said.
"You cannot just wave a magic wand and make it all better, it's going to be a slow task.
"The trick is don't just enjoy the good times and actually make the investments and make the hard choices."
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Mr Richardson said while short term solutions could be implemented, he said focus should be on the future.
"The longer term stuff is mostly around getting better education outcomes and making sure that health is more about prevention rather than cure," he said.
"It's investing in getting education outcomes better and, to be fair, that's where the state's making the biggest strides at the fastest pace but there's still a way to go."
Launceston Chamber of Commerce chief executive Neil Grose said while health was quite rightly seen as an essential service, it was also a critical part of the economy and must be regarded as such.
"The health sector is seeing increasing levels of funding, which is all money going into the broader economy through employment, procurement of services and other capital works and could well be one of the factors that is contributing to economic growth rather than slowing it," he said.
"The report states that much of the economic growth in Tasmania is from government spending which, self-evidently, includes spending on health."
The report also cites local government reform as a key issue that continued to impact Tasmania's growth.
Mr Grose said rather than focusing on amalgamating some of Tasmania's 29 councils, a full modernisation of the Planning Act would assist local government in helping businesses invest and give greater confidence to those who would seek to inject private capital in Tasmania.
"Reducing the number of councils does not impact on the number of roads, bridges and so on which need to be maintained or constructed, nor would it reduce the rubbish bins to be emptied or stray dogs to be caught," he said.
"Local government reform is more complicated than a simple matter of amalgamating councils, it should be based on a broader review of local government boundaries that suit the socio-economic requirements of the community and the businesses that invest in those areas."