Economists and pundits are at odds over medium term prospects for the global economy. Pessimists see stagnant growth, rising inequality and growing unemployment and underemployment, widely held to be responsible for the rise of right-wing populists such as US President elect Donald Trump.
Meanwhile, techno optimists such as Erik Bryjolfsson and Andrew McAfee, the authors of The Second Machine Age, argue that the digital economy will drive rapid productivity growth and underpin the gradual emergence of a post scarcity economy capable of providing prosperity for all.
The federal government heeded the advice of the business dominated Economic Advisory Council and set out a new welcome mat for foreign investors in the recent Economic Statement . The threshold for review of foreign take-overs of Canadian companies will be raised from $600 Million to $1 Billion (up from just $369 Million in 2015); a new agency, the Invest in Canada Hub, will be set up with a mandate to woo foreign corporations; and reviews of the security implications of foreign take-overs are likely to be limited.
The Trudeau government's fiscal plan as updated in the Fall Economic Statement meets a number of progressive commitments, but also raises a lot of questions about what can be expected of the federal Budget to be tabled next March.
The Advisory Council on Economic Growth chaired by Domenic Barton has proposed to federal Finance Minister Bill Morneau the creation of an independent Canadian Infrastructure Development Bank (CIDB) to help finance $200 billion of public infrastructure projects over the next decade. There is an argument for improved financing tools, but no case for such a lever for massive and costly privatization.
The report of the Council reiterates the consensus view that investment in public infrastructure such as roads, mass transit, railways, ports, water and waste water treatment, clean energy and power grids has been too low, and that a major increase could drive immediate job creation while also boosting longer term economic growth.
On September 22 and 23, the Broadbent Institute hosted Progress Summit BC to chart a progressive path forward for the province in this critical election year.
In a marquee panel on the future of BC's economy, panelists were asked to answer the following question: What must change to ensure BC’s economy in 2030 secures shared and sustainable prosperity? Below are excerpts from each panelists' remarks.
On September 22 and 23, the Broadbent Institute hosted Progress Summit BC to chart a progressive path forward for the province in this critical election year. The Summit kicked off with a discussion about the co-operative economy in BC, and how that model can be expanded and advanced in the decades ahead. Watch the video of Vancity CEO Tamara Vrooman in conversation with Janet Austin, CEO of YWCA for Metro Vancouver.