Need to "invest heavily in innovation and creativity"

Two New Brunswick based economists discuss the impact of the rising Canadian dollar on New Brunswick manufacturers in this article.

I won’t summarize the article as you can imagine their conclusions (more equipment/productivity, less reliance on the US market, etc.) but I will show you their conclusion:

“What we are going to see are huge sector shifts in the economy,” he predicts. “My guess is that it will push us further away from manufacturing, especially in rural areas like New Brunswick. It is going to take us coming up with some interesting ideas. We are going to invest heavily in innovation and creativity.”

So, two of the top economists in New Brunswick are concluding that we are going to lose manufacturing jobs in rural New Brunswick. The only way to counter this is ‘interesting ideas’, ‘innovation’ and ‘creativity’.

All you readers out there confident we can get that from our current government?

The manufacturing sector as an economic development driver has been a tenuous proposition for at least the last 20 years. Now add a 90 cent dollar and an 11% increase in electricity and you get a toxic mix.

My guess, the up to now slow depopulation of rural NB is about to step on the gas, so to speak.

You make hay while the sun shines, folks. Not after dark.

Reap what you sow and all that rot.

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0 Responses to Need to "invest heavily in innovation and creativity"

  1. scott says:

    A very good post. Definitely food for thought!

  2. Anonymous says:

    Well, to sound like a broken record, we pretty much KNOW what’s going on, we don’t need ‘new ideas’. We simply need to implement policies that favour rural areas. Is that going to get done? Of course not, it hasn’t since little louis was around.

    As your previous blog mentioned, thanks to whatsisname for coming up with the term ‘clusters’, but that’s just putting a name to a policy that everybody knew about-get people out of rural areas and into urban ones.

    When its national AND provincial policies to focus on ‘clusters’, then you know you’re screwed in a rural area. Not only will government not help you out, they WANT you ‘out’.

    There is no ‘necessity’ for it, WE wouldn’t pick that policy, but of course WE are not the government. HOPEFULLY this will change with a government that was elected primarily by rural voters. That’s one thing that irks me is that everybody thinks tories are some kind of ass backward, city hating, gun toting rubes. There is damn good reason these people hate liberals, but its NOT just about gun registries, that’s just a focal point, much as cartoons became a muslim focal point for griping about all kinds of things.

    Of course we don’t here about it, because most press WANTS people to think they are rubes who are somehow scary as all hell. But economic policy is what affects most people’s livelihood, not social policy-especially in rural areas.

    I’d like to find that old quote you got from the auto people in Ontario who said that ‘you aren’t part of the cluster’. Hopefully crap like that is as gone as the liberals.

    We KNOW how to invest in rural areas, its not rocket science. Manufacturing in Canada has been going up for, well, forever, but particularly over the last dozen years. However, what they’ve gone up in are the heaviest subsidized industries, namely oil and gas products and auto parts.

    As Mr. Savoie says about Canada, the exact same thing can be said about New Brunswick. The poorer areas simply don’t have the representation. That is something that’s getting worse, thanks to new riding borders that came in without ANY government debate. Notice how that committee’s recommendations were simply followed without question, in fact the government said it COULDN”T not change the borders because the committee said it. Meanwhile, as we know, just about every other committee is ignored if its findings don’t jive with Lord’s.

    It’s somewhat surprising that more people are talking about the federal senate, but nobody is talking about a provincial senate to represent the regions. As the feds dump more on the provinces, this will only get worse. Then, the battle changes to rural vs. urban in the provinces.

    Urbanization is NOT a necessity, dozens of countries have proven that, including the US. But it all depends on government. And like you say, does ANYBODY think this government is capable of….well, anything?

  3. Anonymous says:

    I can’t resist the opportunity to do some Irving bashing. Partly cuz its fun, but also they make it so damn easy (sadly).

    Go to statistics canada and check on bulk oil and gas shipments for the past year, they’ve been dropping like rocks, particularly fuel oil. Well, have you noticed that Irving primarily ONLY ships fuel. They don’t do ANY value added oil products-the only ones that are increasing.

    Meaning, their fuel policy is exactly the same as their forestry policies-sell cheap crap as long as you can get it. New Brunswickers subsidize it, they sell it til it runs out, then switch to another commodity. They don’t even have the common decency to expand into value added petroleum products-which at least provide JOBS. We KNOW that gas terminals sure don’t, but WE pay for them anyway.