Similarities with Phoenix

Usually when I expound my theory to people that New Brunswick has to attract much more business investment from outside the province, the typical response is “Why would anyone want to invest in New Brunswick?” (I have also received this type of response from people in the economic development business in New Brunswick – the folks that should be the true believers – but that’s the subject for another blog).

They will say that New Brunswick is far from major population centres, an inhospitable climate, not on any major trade route, and with no particular attributes that can be leveraged into additional growth (like oil & gas in Alberta).

Funny, that sounds just like Phoenix. It is over 400 miles from the nearest major urban centre (Los Angeles) and has a very inhospitable climate – for business – it’s better for pleasure :-). In fact, Phoenix only became a city 75 years ago because of the harsh climate. Phoenix is not particularly on any major trade route and has almost no natural resources to leverage (no fish, no significant agriculture, no wood, not much mining). However, it’s population is up 60% in the past 15 years.

Go figure.

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One Response to Similarities with Phoenix

  1. Bayer says:

    Phoenix googles at 373 miles from Los Angeles, downtown to downtown. The attraction was that if you were a manufacturer fleeing Southern California, this was the nearest low wage city to support it. So its expansion fueled a boomtown that overbuilt housing, But the bubble destroyed more than half its real estate value and nearly all its construction dependent industry. In this business climate, no one is expanding.
    Manufacturing in the southern US depends on illegal and immigrant labor, and Arizona is now famous for their anti-hispanic laws. It is no longer attractive to manufacturers. Its prospects for growth are as flat and bleak as the desert. Same as Las Vegas.
    Google “Canadian investment in Phoenix” and you get 14 million results. (?) (!)

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