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1 March 2006 Roger L. Martin Ottawa, March 10, 2006

1 March 2006 Roger L. Martin Ottawa, March 10, 2006

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Page 1: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

1 March 2006

Roger L. MartinOttawa, March 10, 2006

Page 2: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

2 March 2006

MandateTo measure and monitor Ontario’s

competitiveness, productivity, and economic progress compared to other provinces and provinces and

the the US states states and to report to the public on a regular basis.

The Institute for Competitiveness & Prosperity

Page 3: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

3 March 2006

Rebalancing Priorities For Canada’s Prosperity

Prosperity perspective 2006

Continuing prosperity and productivity challenge

Rebalancing toward investment

Taxing smarter to motivate investment

Rebalancing market and governance structures

Recommendations for prosperity

Page 4: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

4 March 2006

Canada’s Economy Out Performs Most Others

Page 5: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

5 March 2006

Canada’s Prosperity Gap Has Widened

Page 6: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

6 March 2006

Stakeholders Can Consume Today and Invest for Future Prosperity

Page 7: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

7 March 2006

Investing Leads to Higher Prosperity

Page 8: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

8 March 2006

Consumption is the Benefit of Prior Investment

Page 9: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

9 March 2006

Rebalancing Priorities For Prosperity

Prosperity perspective 2006

Continuing prosperity and productivity challenge

Rebalancing toward investment

Taxing smarter to motivate investment

Rebalancing market and governance structures

Recommendations for prosperity

Page 10: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

10 March 2006

Canada’s Productivity Gap is the Major Source of its Prosperity Gap

Page 11: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

11 March 2006

The Institute Assesses Measurable Elements of GDP Per Capita

Page 12: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

12 March 2006

Canada’s Demographic Profile Will Continue To Be An Advantage

Page 13: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

13 March 2006

Canada’s Participation Rate Has Rebounded

Page 14: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

14 March 2006

Canada’s Employment Rate Has Improved

Page 15: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

15 March 2006

Canada Has Higher Utilization Of Working Aged Population

Page 16: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

16 March 2006

Canada Has A Persistent Gap In Hours Worked

Page 17: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

17 March 2006

Lower Productivity Drives Canada’s Prosperity Gap with US

Page 18: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

18 March 2006

Urbanization Drives Productivity

Page 19: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

19 March 2006

Rebalancing Priorities For Prosperity

Prosperity perspective 2006

Continuing prosperity and productivity challenge

Rebalancing toward investment

Taxing smarter to motivate investment

Rebalancing market and governance structures

Recommendations for prosperity

Page 20: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

20 March 2006

AIMS Drives Prosperity; Prosperity Drives AIMS

Page 21: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

21 March 2006

Ontarians Have Positive Attitudes Toward Competition and Prosperity

Page 22: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

22 March 2006

Canada’s Businesses Continue to Under Invest

Page 23: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

23 March 2006

Governments Shifted from Investment to Consumption

Page 24: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

24 March 2006

Canadians Under Invest in Post Secondary Education

Page 25: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

25 March 2006

Canada Trails in Degrees Conferred

Page 26: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

26 March 2006

Higher Education Leads to Higher Economic Returns

Page 27: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

27 March 2006

Rebalancing Priorities For Prosperity

Prosperity perspective 2006

Continuing prosperity and productivity challenge

Rebalancing toward investment

Taxing smarter to motivate investment

Rebalancing market and governance structures

Recommendations for prosperity

Page 28: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

28 March 2006

Some Taxes are Smarter than Others

Page 29: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

29 March 2006

Canada Has High Taxes on Business Investment

Page 30: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

30 March 2006

Rebalancing Priorities For Prosperity

Prosperity perspective 2006

Continuing prosperity and productivity challenge

Rebalancing toward investment

Taxing smarter to motivate investment

Rebalancing market and governance structures

Recommendations for prosperity

Page 31: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

31 March 2006

Effective Innovation System Has Pressure and Support Across 3 Components

Page 32: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

32 March 2006

Canada Trails Significantly in Business R&D

Page 33: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

33 March 2006

Venture Capital Experience in Canada Close to US

Page 34: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

34 March 2006

Canada’s Venture Capital Returns Have Been Weak

Page 35: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

35 March 2006

Canadian Start-ups Have Weak Access to Management Talent

Page 36: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

36 March 2006

Canada Trails in Business Degrees Conferred

Page 37: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

37 March 2006

Fiscal Federalism Has Narrowed Regional Income Gaps More in Canada than US

Page 38: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

38 March 2006

Regional Gaps in GDP Higher in Canada than US and Not Closing Faster

Page 39: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

39 March 2006

Rebalancing Priorities For Prosperity

Prosperity perspective 2006

Continuing prosperity and productivity challenge

Rebalancing toward investment

Taxing smarter to motivate investment

Rebalancing market and governance structures

Recommendations for prosperity

Page 40: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

40 March 2006

Canadians Need to Choose a New Path for Prosperity

Page 41: 1 March 2006 Roger L. Martin Ottawa, March 10, 2006

41 March 2006

Roger L. MartinOttawa, March 10, 2006