Realizing our prosperity potential
Ontario has the potential to achieve prosperity that matches results in the most vibrant economies in the world if its governments, businesses and individuals act on a set of ambitious recommendations made by the Ontario Task Force on Competitiveness, Productivity and Economic Progress.
In Realizing our prosperity potential, the Task Force continues to urge Ontarians to aspire to close the prosperity gap with the peer group. The Institute argues that Ontario can close the prosperity gap and realize its full economic potential. The key to this is higher productivity – the increased capability of Ontarians to add more value to the physical, human, and capital resources in the province. Last year, in its Second Annual Report, The Task Force concluded that more investment is an important element in raising productivity. This year’s report sets out areas where that investment is required:
- For businesses: larger investments in machinery, equipment and software
- For governments: striking the right balance between spending on current consumption, such as health care and social services and investing for future prosperity, such as infrastructure and education
- For individuals: investing more in themselves, such as in higher educational achievement
The Task Force also observes that Ontario’s market structures provide inadequate specialized support and competitive pressure to firms and individuals. Ontario’s industries are not benefiting from the kind of specialized support – such as university/industry collaboration and specialized research and training – that creates world-class advantage for companies and workers. Nor does Ontario have the structures that fuel the intense competitive pressure that comes from strong firm rivalry and sophisticated and demanding customers. Without this pressure to succeed, Ontario’s firms and industries will not strive to be counted among the best in the world.
Through its recommendations the Task Force is encouraging businesses, governments, and individuals to work together over the next few years to realize Ontario’s prosperity potential for generations to come.