Too small to fail

A couple of weeks ago I looked at a pile of data relating to Ontario’s economy and fiscal situation.    I have been listening to Commonwealth Club of California podcasts on the state of the California economy.  These places are facing serious challenges – particularly California.  Sustained economic growth over time does end up breeding its own set of problems.  Because of the scale, the problems are amplified 10 fold.  In think in both cases – Ontario and California – there is optimism they can turn things around and bull forward on the strength of economic growth.  History says they are likely right.

On a scale basis, New Brunswick’s problems don’t look as daunting.  We’re just a little sliver of the economy down here and there are fiscal mechanisms to ensure we don’t fall off a cliff (i.e. equalization).  There are really no such mechanisms for Ontario.  Imagine if Ontario ended up needing 41% of its provincial budget through federal transfers?  It would be a problem.

New Brunswick just needs to find its footing in the economy and get focused on the opportunities that will drive investment and high value career opportunities.

1 thought on “Too small to fail

  1. You’re right. WE’ve all the powers of a province and some financial support to boot. As someone i respect said recently about self-sufficiency, the only things we lack are courage and imagination.

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