This issue has driven me absolutely nuts since I first arrived in Canada from Silicon Valley. It did not take me long to figure out that things did not work they way they did in California, and that there wasn’t much of a true entrepreneurial economy here. Since then, I have also been appointed to the Canada Foundation for Innovation grant process, providing me with insight into how R&D funding works in Canada. I have seen many issues in Canada that have impaired the nation’s ability to develop an entrepreneurial culture, among them is the inherent Canadian conservatism and short term horizon of investors unfamiliar with technology venture investment. But none has been worse than Canada’s decades-long neglect of adequate funding for research and development nationwide.
This is another post in my Industry Analysis series on the Alberta Bitumen Bubble and The Canadian Economy, and Canada’s strategic options. In a clear sign that the Harper government’s anxiety over the tars sands is increasing exponentially, the rhetoric from the Conservative government has become ever more shrill and less rational in tone. Rumors have abounded for some time that Harper himself is in fervent denial of climate change, but his PR handlers have cautioned him not to personally come “out of the proverbial closet” on climate change because it would cost Conservatives votes, the thing they care most about. But this stance appears to be changing, as Canada’s “natural resource curse”, consequent economic downturn, Canada’s failure to invest in innovation, and national productivity crisis converge on the Harper government. An ominous parallel can be drawn with South African President Thabo Mbeki’s official denial that HIV did not cause AIDS, which became an international embarrassment for South Africa. implications for all Canadians are immense.