Economists Think a National Securities Regulator OK Despite Improbable Benefits
02-Mar-2010CALGARY – Economists and financial analysts in western Canada are largely in favour of a federal initiative to replace provincial regulatory bodies with a national securities regulator but are at best cautiously optimistic about what it will mean for their province, according to the latest survey exclusively of western Canadian economic and financial analysts.
The results of the Winter 2010 Survey of Western Economic Expectations conducted jointly by Canada West Foundation and the Western Centre for Economic Research at the University of Alberta's School of Business showed that 69.1% of respondents were in favour of the federal initiative, but only 40.6% felt that it would improve their province’s ability to raise capital.
The electronic survey was completed by over 300 economists and financial analysts in British Columbia, Alberta, Saskatchewan and Manitoba between January 25 and February 12. Support for the initiative was highest in British Columbia, with over eight out of 10 BC respondents in favour of the national securities regulator, compared to six in Manitoba and Saskatchewan and seven in Alberta. BC also had the highest rate of people who felt the initiative would lead to greater capital, with approximately half the respondents saying it would be a great or moderate improvement.
Overall, only nine percent of respondents thought that a national regulator would be a great improvement to their province’s ability to raise capital. The largest group, 31.6%, thought that it would be a moderate improvement. Just over one in 10 saw the initiative as hindering their province, with 9.6% seeing it as a moderate impediment and 3.3% as a great impediment. Far greater were the 26.9% who felt it would have no impact.
The respondents were also asked their opinion on the assertion by the governments of Quebec and Alberta that a national regulator would infringe on provincial jurisdiction. Overall 40.5% of respondents said “no,” with 28.2% saying “yes” and 31.2% saying they “don’t know.” Alberta had the highest number of yes answers, and was the only province where “yes” was not the least frequent response, but still had more answers of “no.” The second highest number of yes answers came from Saskatchewan, with Manitoba third and BC last.
The details of the responses from the three economic growth questions asked in the survey are provided in the attached background report. The survey’s findings regarding trade priorities for Canada will be released on March 9, and findings on western economists’ outlook for the Canadian and US economies were released on February 26, 2010.
The online Western Economic Expectations survey solicits views on the future economic performance of the western provinces and the country from over 2,000 economists and financial analysts who are closest to the working details of the Western Canadian economy.
The survey covers people who use economics in their work, in universities and colleges, industry associations, economic development agencies, the private sector and the public service across Western Canada.
The survey is conducted through a partnership between Alberta’s two premier economic and policy research centres, the Canada West Foundation in Calgary and the Western Centre for Economic Research at the University of Alberta School of Business in Edmonton. It is the only survey that solicits economic views from people in all four western provinces.
The survey is conducted electronically three times a year with the results released in October, February and June.
The Western Centre for Economic Research is an applied research centre within the University of Alberta School of Business. The centre monitors the performance of Western Canada's economy, its policies and programs, and implications for business enterprises. Drawing on a wide range of expertise, recent work of the WCER has included analyses of the Alberta resource economy, Western Canadian international trade, the effects of free trade agreements, barriers to trade and the role of small business in the West.
Canada West Foundation is the only think tank dedicated to being the objective, non-partisan voice for issues of vital concern to western Canadians. For 40 years, through its research and commentary, the Foundation has contributed to better government decisions and a stronger Canadian economy.
For additional information, please contact:
Jason Brisbois
780 492 4104
jason.brisbois@ualberta.ca
Dan Gibbins
Policy Analyst
Canada West Foundation
403-700-9535
Dan.gibbins@cwf.ca