By Fred Morley
On the sixth day of Christmas
My network gave to me... the AAAE Christmas Party
The Atlantic Association of Applied Economists Annual Christmas Party featured speakers from the Parliamentary Budget Office talking about the 2010 Economic and Fiscal Assessment. The presentation was pretty riveting stuff…at least for us economists.
Ideas raised by AAAE colleagues always have a basis in economic reality and are always eminently practical. This must seem annoying to some. Some attending raised a new idea that is building momentum, that Halifax is a Hub City and important to all of Nova Scotia. Where have I heard that before?
Cities and in particular “Hub Cities” have an important role in driving economic growth around the world. After all, the world is urbanizing rapidly. Last year, for the first time, more people lived in cities than in rural areas. Halifax is Atlantic Canada's economic hub and has been identified by the Conference Board of Canada as one of only nine Canadian hub cities. This research identified hub cities as vital to driving economic growth in their province and, in the case of Halifax, the whole Atlantic Region.
Halifax will have half of Nova Scotia’s population within three or four years. It already represents half of economic activity. Halifax is more important to Nova Scotia than Toronto is to Ontario or Montreal is to Quebec. Every day, about 13,000 people drive to work in Halifax (HRM). If this group of people were a municipality, it would be the third largest in Nova Scotia. These workers take over half a billion dollars in income earned in Halifax back into their communities outside of HRM each year, generating millions in local spending and taxes for local governments. That’s just one of the things Hub Cities do.
Economic thinkers like Beale and Savoie (neither were at this particular session) seem to feel that Halifax needs to take on its natural role as the economic driver of the province. This means making strategic investments in the Hub like the new convention centre, the Halifax gateway, a vibrant regional centre and others.
Clearly we need to focus on the big idea that Halifax can be Nova Scotia’s Hub City and a main economic driver, not because it benefits Halifax—but because it benefits the whole province. Wishful thinking or visions of sugar plums can’t drive the economy of Nova Scotia. Only real economic engines can do that.
Fred Morley is the Executive Vice President and Chief Economist at the Greater Halifax Partnership.
Halifax is also important to Montreal like in Nova Scotia. Well, Halifax is important to everyone.
Posted by: web shopping online | Tuesday, December 21, 2010 at 06:10 AM