Quote:
Originally Posted by theman23
Capital investment has always been higher in the USA, which is probably less important in Canada because there is always some schmuck willing to work for less. I mean, we even try to advertise our low wages as our “competitive advantage”. There are also plenty of countries ahead of us who have far bette labour protections.
I think a lot of it is just obliviousness. Witness the multitude of posters on here who seem to think the economy is red hot because their home prices have skyrocketed when we have some of the worst performance metrics and projections in the OECD.
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Lets dive deeper. Most productive state in the US:
- Washington
- California
- Colorado
- Massachusetts
- New York
- Texas
Per a McKinsey’s study.
https://www.fastcompany.com/90851174...mckinsey-labor
These six states also supply one-third of the US’s jobs, and 40% of the overall U.S. GDP. Same study also identifies the key things holding the US back is lack of skilled workers, lack of investment and technology adoption.
If we did the same analysis in Canada we would find the most productive areas is Canada are Nunavut and the North West Territories. Followed by Alberta, Saskatchewan and NFLD. Then Ontario and BC tied.
All that tells us is for Canada productivity is associated with aspects of our economy that are more resource extraction based. It is much lower in economies that are manufacturing and services based. If we focused on growing our mining industry and minimized investment in growing tourism or manufacturing our productivity would climb.
Not certain that is a great plan.