Lynn Johannson, Advisor, Sustainability and ESG
January 4th, 2024
Lynn Johannson, President of E2 Management Corporation and Catalyst for THE Collaboration
In a care[...]
Reversing Canada’s Digital Economy Productivity Decline
Productivity | Nov 5, 2024
AI image
Modernizing Canada's Productivity Strategy for a Digital Economy
Jim Balsillie, co-founder of the Council of Canadian Innovators has dropped another OpEd on Canada's elephant in the room or the 'P-word' for productivity which continues to decline as living costs continue to rise. As many think tanks have attempted to describe including NCFA, Balsillie doubles down in the article that the root of Canada's productivity problems is from Canada relying on outdated economic models that no longer apply to a knowledge-based world. One where intangible assets, data, intellectual property and algorithms that cross borders, have higher leverage value compared to outdated thinking like investing in more machinery or pushing for greater local competition.
See: Can Canada Harvest the Next Wave of Productivity Growth?
He argues that in today’s global market, value and competitive advantage come from controlling data and deploying innovative algorithms, and if Canada wants to genuinely improve it's productivity, it needs policies that support the modern drivers of economic success. As his oped points out, there have been no shortage of reports and think tanks commenting on Canada's productivity and innovation woes. Many quickly talk about Canada's intellectual property and commercialization gap.
If you want a solid intro to 'intangible assets' there are several great reports such as: [Report] A New North Star: Canadian Competitiveness in an Intangibles Economy (Apr 2019) that describe the issues in a Canadian context by Sean Speer and Robert Asselin. This article contemplates some practical and innovative approaches to help improve Canada's productivity decline without relying on traditional frameworks.
Moving Beyond Traditional Frameworks
1. Develop National AI Computing Infrastructure
Build a dedicated, publicly accessible AI cloud infrastructure that would give small businesses, startups, and researchers access to powerful computing resources, making it easier for them to develop advanced AI solutions. Such dedicated resources would be like investing in roads or bridges for the good of all, and would accelerate innovation without companies incurring massive costs on AI equipment and setup.
2. Create Data Trusts (for specific industries or purposes)
Data is the new oil in today's economy but its value is capped as it's often locked away in silos. Canada could create data trusts with pools of high quality (cleaned, tagged) of anonymized data for specific verticals like healthcare, agriculture, or logistics. By sharing data within a secure and regulated framework, companies of all sizes could gain valuable insights and work to drive productivity and innovation.
See: How to Build Canada’s Competitiveness Amidst the Rise of an Intangibles Economy and Greater Geopolitical Complexity
3. Encourage Collaborative AI and Automation
Instead of competing for tech resources and duplicating many of the same costs, Canada could incentivize companies to collaborate on AI and automation development through shared AI innovation hubs to create tools and AI driven agents that will improve productivity.
4. Invest in Skills and Forward Looking Education
Canadian workers need flexible skills to adapt to technology-driven changes. Investing in a skills based educational model focused in areas like digital literacy, systems thinking, and AI fluency would help prepare workers to thrive in a knowledge based economy. Online platforms, companies and universities need to keep the workforce agile and savvy to stay ahead. Government could co-invest in micro programs to support.
5. Use AI to Streamline Government
Government agencies could use predictive analytics and AI to streamline processes, speeding up approvals in areas like healthcare, infrastructure, and environmental compliance. Decisions would be data-driven and made much faster resulting in a more efficient and productive government that could support, enable and see projects including national ones to the finish line more confidently.
6. Collaborative Digital Innovation Sandboxes
Create several “innovation sandboxes” for specific industries where Canadian businesses could test digital products and new models in a smarter, relaxed and more agile regulatory environment.
See: IP Box: Would a special IP income tax rate boost Canada’s flagging innovation?
Industry and government including regulators could share data insights and work to help build and scale Canadian projects and productivity enhancing technologies faster.
Shaping Canada’s Future in a Knowledge Economy
All public and private hands on deck should work to address Canada's productivity challenge which obviously requires a major departure from traditional and outdated frameworks. By focusing on data, collaborative frameworks, deep tech and collaborative approaches towards innovation, Canada can better align its economy and policies with a national productivity strategy suitable for the 21st century.
The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, artificial intelligence, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org
 |  |  |
Support NCFA by Following us on Twitter!Follow @NCFACanada  |
Related Posts
FFCON20 fintech cage match: Financial planning vs literacy- LatAm in Focus – Podcast: The Future of Fintech in Argentina
- PayPal, SETI Institute, Buzz Aldrin and Space Leaders Launch PayPal Galactic
- David Duggan Joins National Crowdfunding Association of Canada Advisory
- Paying for coffee with crypto? Get ready, the future of payments is already here
- 7 Essential Backup Strategy Best Practices
Leave a Reply