The economic challenges facing Rhode Island, already serious, have grown more so thanks to the turmoil in the U.S. financial system. But we should remember that the state has some good things going for it. One is its compact size, which can help hold down transportation costs. Another is a widely shared appreciation of the state’s historical character and physical beauty. Fortunately, the “smart-growth” movement has caught on here, and has been shaping planning and development efforts for some time.

This year, the nonprofit organization Grow Smart Rhode Island reached its 10th anniversary, as good a sign as any that the values associated with sustainability are part of the general outlook. Through advocacy and training, Grow Smart has helped communities find alternatives to sprawl. And it is by no means alone in the effort.

The smart-growth idea includes restoring the state’s urban and village centers, so that older buildings are reused, and people live closer to shopping and transportation. Encouraging population density and mixed-use development means the state’s unspoiled areas can remain so, and be enjoyed by all. At the same time, the environment wins when people spend less time in cars. So does public health: People who walk and bike more have a natural fitness advantage. Smart growth also encourages “green” construction strategies that conserve natural resources, from building materials to water to heating fuel.

One of the state’s best tools for promoting smart growth has been its historic tax credit. The envy of other states, the six-year-old credit helped developers transform old mill and commercial buildings into vibrant living and work spaces, lifting the state’s appeal to newcomers. Recently a new “KeepSpace” initiative was launched by Rhode Island Housing. It will allot $10 million to building projects that make efficient use of land, water and energy. (Meanwhile, one caveat: In some places a bad version of “smart growth” can end up introducing what is in effect “snob zoning.”)

The housing-foreclosure crisis has underscored the value of smart growth, which emphasizes affordable, energy-efficient housing and accessible public transportation. Perhaps even more, the nation’s search for a new energy policy, including reduced reliance on fossil fuels, elevates the smart-growth agenda. The less we need automobiles, the more easily we’ll cut our dependence on oil. We’ll also be more credible on the need to address climate change.

Surely painful economic adjustments lie ahead. But as much as possible, Rhode Island should continue to play to its strengths. These include the smart-growth way of thinking and investing.