Avoiding economic development nihilism

Because you gotta get it right once in a while

When I say that I work in ‘economic development’ in Atlantic Canada to a new acquaintance or extended family member the typical response will be something negative. I’m not kidding. No “that sounds interesting” or “what does that mean?” or “what do you do?” rather I get “I don’t like corporate welfare” or “How did that Bricklin thing work out?” or “Atcon”. Those in the know will raise examples of mining projects or industrial park projects gone awry. The old timers might invoke the pejorative term “industrial policy”.

It’s not all bad, folks. I know our minds tend to linger on failure more than success.

What about aquaculture? Government, industry and community leaders came together to leverage a provincial asset and now its a $200-$300 million export industry. What about blueberries? Yes, I know the sector is volatile but it has become an important source of farm cash receipts. What about maple syrup? What about business services centres - the sector people love to hate - still a $1.5 billion export industry (as of 2017 data). What about immigration? The naysayers were lined up around the block but we attracted 6,000 permanent residents in 2019- a threefold increase over a decade ago.

And if you think those examples are actually bad for New Brunswick, then you really can claim a proud version of economic development nihilism.

The point is that when industry, government, community leaders, PSE, R&D providers and other stakeholders get together good things can happen. Not so good too.

As we look to the future we will need more collaboration, not less. I don’t want government to deliberately manufacture new industries (or protect old ones) with heavy corporate subsidies, restriction of trade or other barriers to protect local industries. But if we have strengths in certain industries why not align our PSE to become a global leader in education in those industries? If we have specific geographic attributes or natural resource opportunities - why not work together to exploit them? If we need to grow the workforce by attracting people to our shores, why not work together rather than do nothing and hope for a good outcome? If we have entrepreneurial opportunities (like the demand for a dentist three days a week in Blackville) why not pursue them?

Think of me as a Mariana Mazzucato-lite.