Conservative economic “stewardship”—it’s high time we put that myth to rest.
For too long, the Conservatives’ reputation for economic stewardship and commitment to innovation has gone unchallenged.
The stark reality, however, is that Canadian productivity has plummeted under the Harper government’s Conservatives, costing the Canadian economy billions of dollars. To make matters worse, Conservative cuts to research and development will discourage private-sector investment, which Canada needs to create jobs and prosperity. While the government touts the importance of a qualified workforce for our economy, the Conservatives’ lack of a science and innovation strategy will actually rob our labour force of workers with advanced degrees.
Rather than fostering economic growth, the short-sighted ideology of the Conservatives is a recipe for economic disaster.
Under the Harper government, multi-factor productivity in Canada has declined, and we remain caught in a two-decade game of catch up with the U.S. economy. This government’s economic mismanagement has cost Canadians tens of billions of dollars in lost productivity and missed opportunities.
Innovation has been touted as a remedy for Canada’s flagging productivity, but the government’s cuts to research and development (R&D) tax credits will do nothing to stimulate business investments in R&D. Between 2005 and 2010, private-sector investments in research and development (R&D) plummeted 17 per cent, according to a 2012 report by the Canadian Council of Academies. In the meantime, other OECD countries have increased private-sector spending by an average 17 per cent. China alone has more than doubled its R&D investments.
Testifying before the House Industry Committee, businesses and industry associations, including Research in Motion, Xerox Canada, and the Canadian Manufacturers and Exporters (CME), warned cuts to the Scientific Research and Experimental Development (SR&ED) Program would have disastrous effects on R&D investments and business innovation.
Furthermore, capital spending is no longer eligible for tax credits under SR&ED. This cut will restrict investments in machinery and equipment Canadian companies need to boost productivity. The CME predicts its member companies will reduce their R&D spending by as much as $1.5-billion, and will likely relocate some R&D activities and jobs to other countries.
A good steward would know that Canada’s productivity gap is a serious problem for our economy; the private sector knows this, the NDP understands this, unfortunately the Conservatives don’t seem to get it.
Investing in Canada’s world-class scientists and the research they produce is vital if we are to be competitive internationally. Instead of investing in science Conservatives muzzle, fire, or intimidate scientists and mothball world-class research facilities. These reckless policies are throwing away decades of investment, and allowing the skills, expertise, and, most importantly, the jobs of highly-qualified researchers go abroad.
At stake here is both Canada’s ability to bring ideas to market, and to maintain a scientific talent pool with sufficient breadth and depth in all regions of the country. Academic vice-presidents of Canada’s leading institutions have expressed concern that we are squandering the investments we have made in attracting leading scientists and researchers to Canada.
Reduced levels of funding for basic research mean fewer curiosity-driven research applications are funded by Canada’s three science research councils. By contrast, Germany has boosted support of curiosity-driven research by five per cent.
The Conservative government has made sweeping changes to the venerable National Research Council (NRC), all aimed at reducing or eliminating basic research. With over a thousand scientists in its employ, the shockwaves will reverberate through the scientific community. The president of the NRC admitted to the House Industry Committee that the NRC will no longer evaluate peer-reviewed publications as a standard for judging scientific excellence, although this is the standard everywhere else.
Researchers who are no longer publishing will be unable to advance their careers anywhere outside of the NRC. Furthermore, the NRC has resisted calls to table any plans whatsoever on its restructuring or on how many jobs will be lost with the transition. Once again, this leaves bright, promising researchers left looking off-shore for careers.
Ultimately, Conservative policies are devastating innovation, doing nothing to reverse sinking productivity and knee-cap Canada’s ability to compete successfully in the knowledge economy.
NDP MP Hélène LeBlanc, who represents LaSalle-Émard, Que., is her party’s industry critic. NDP MP Kennedy Stewart, who represents Burnaby-Douglas, B.C., is his party’s science and technology critic.
Original Article
Source: hilltimes.com
Author: NDP MP HéLèNE LEBLANC, NDP MP KENNEDY STEWART
For too long, the Conservatives’ reputation for economic stewardship and commitment to innovation has gone unchallenged.
The stark reality, however, is that Canadian productivity has plummeted under the Harper government’s Conservatives, costing the Canadian economy billions of dollars. To make matters worse, Conservative cuts to research and development will discourage private-sector investment, which Canada needs to create jobs and prosperity. While the government touts the importance of a qualified workforce for our economy, the Conservatives’ lack of a science and innovation strategy will actually rob our labour force of workers with advanced degrees.
Rather than fostering economic growth, the short-sighted ideology of the Conservatives is a recipe for economic disaster.
Under the Harper government, multi-factor productivity in Canada has declined, and we remain caught in a two-decade game of catch up with the U.S. economy. This government’s economic mismanagement has cost Canadians tens of billions of dollars in lost productivity and missed opportunities.
Innovation has been touted as a remedy for Canada’s flagging productivity, but the government’s cuts to research and development (R&D) tax credits will do nothing to stimulate business investments in R&D. Between 2005 and 2010, private-sector investments in research and development (R&D) plummeted 17 per cent, according to a 2012 report by the Canadian Council of Academies. In the meantime, other OECD countries have increased private-sector spending by an average 17 per cent. China alone has more than doubled its R&D investments.
Testifying before the House Industry Committee, businesses and industry associations, including Research in Motion, Xerox Canada, and the Canadian Manufacturers and Exporters (CME), warned cuts to the Scientific Research and Experimental Development (SR&ED) Program would have disastrous effects on R&D investments and business innovation.
Furthermore, capital spending is no longer eligible for tax credits under SR&ED. This cut will restrict investments in machinery and equipment Canadian companies need to boost productivity. The CME predicts its member companies will reduce their R&D spending by as much as $1.5-billion, and will likely relocate some R&D activities and jobs to other countries.
A good steward would know that Canada’s productivity gap is a serious problem for our economy; the private sector knows this, the NDP understands this, unfortunately the Conservatives don’t seem to get it.
Investing in Canada’s world-class scientists and the research they produce is vital if we are to be competitive internationally. Instead of investing in science Conservatives muzzle, fire, or intimidate scientists and mothball world-class research facilities. These reckless policies are throwing away decades of investment, and allowing the skills, expertise, and, most importantly, the jobs of highly-qualified researchers go abroad.
At stake here is both Canada’s ability to bring ideas to market, and to maintain a scientific talent pool with sufficient breadth and depth in all regions of the country. Academic vice-presidents of Canada’s leading institutions have expressed concern that we are squandering the investments we have made in attracting leading scientists and researchers to Canada.
Reduced levels of funding for basic research mean fewer curiosity-driven research applications are funded by Canada’s three science research councils. By contrast, Germany has boosted support of curiosity-driven research by five per cent.
The Conservative government has made sweeping changes to the venerable National Research Council (NRC), all aimed at reducing or eliminating basic research. With over a thousand scientists in its employ, the shockwaves will reverberate through the scientific community. The president of the NRC admitted to the House Industry Committee that the NRC will no longer evaluate peer-reviewed publications as a standard for judging scientific excellence, although this is the standard everywhere else.
Researchers who are no longer publishing will be unable to advance their careers anywhere outside of the NRC. Furthermore, the NRC has resisted calls to table any plans whatsoever on its restructuring or on how many jobs will be lost with the transition. Once again, this leaves bright, promising researchers left looking off-shore for careers.
Ultimately, Conservative policies are devastating innovation, doing nothing to reverse sinking productivity and knee-cap Canada’s ability to compete successfully in the knowledge economy.
NDP MP Hélène LeBlanc, who represents LaSalle-Émard, Que., is her party’s industry critic. NDP MP Kennedy Stewart, who represents Burnaby-Douglas, B.C., is his party’s science and technology critic.
Original Article
Source: hilltimes.com
Author: NDP MP HéLèNE LEBLANC, NDP MP KENNEDY STEWART
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