Quote:
|
Originally Posted by firebug
First off, I work in corporate finance as an investment banker so my answers are invariably tainted by my inherent capitalistic experiences.
1) The "skilled jobs" that are actively being recruited are exactly those that you mentioned in a previous post - millwrights, welders, construction etc. - not lawyers, accountants, or PHd's (although demand for these groups has increased as well)
2) Low corporate taxes should help diversify the economy should they not?
3) People, companies, provinces, countries, etc. should stick to their knitting and do what they do best. In Alberta right now that is oil & gas. Trying to attract other businesses into the region is wasted effort as they are able to find cheaper inputs (especially labour and capital) other places. Let the economy decide where is best for each company, person or industry.
When the sun is shining its time to cut hay!
4) Is that the gov'ts job or the individuals? I know that I am doing all that I can to prepare myself for the time when things are not as pleasant in AB as they are now. The goverment should worry about ensuring that the business environment will attract investment irregardless of commodity prices.
I am sure each of us will have a few more kicks at this can.
Best regards,
~bug
|
1) I'm not sure where we are going on point 1, I agree the demand for 'the trades' type jobs are what in most demand now. All I am saying is that the downside to an economy that is able to lure young people out of school is that you may have a less educated population down the road.
2) I don't see the evidence that a flat tax does anything in particular (in Alberta) to diversify the economy. If anything I think that many factors have come together to create a 'market failure', basically energy investments are so sweet right now that they are sucking the capital away from other sectors like young high-tech companies (which is also inefficient b/c we spend major $$$ that should be resulting in more high-tech companies). Furthermore, the 'flat-corporate tax' is a bald untruth as energy companies recieve tax subsidies for some of their exploration and exploitation costs. I think that a well-managed tax break for investing in non-energy high-tech companies would be a wise intervention, OR the goverment should stop nursing the energy industry, I think they can handle themselves at ~$60 a barrel.
3) As was said earlier by another poster, diversification makes sense. Especially long term strategic diversification, which the government is thinking and talking about...but aren't doing enough to initiate. I don't think that leaving economic policy to market forces is always smart, it is the easiest way to run things though.
4) I agree that the gov should be creating a good business climate, I also think that the gov has to make sure that whatever economy is left over when the energy sector dips (and it will), is strong and established and the time when we can afford to develop that is when the sun is shining.
________
WASHINGTON MEDICAL MARIJUANA