Economic diversification for Alberta is easier said than done: economist

CALGARY (660 NEWS) – Albertans have been hearing about it for decades, we need to diversify the economy.

While it is more pronounced during a financial downturn for the oil and gas industry, it is often easier said than done.

ATB Financial Economist Todd Hirsch said this is certainly not the first time this issue has been brought up.

“I’ve been an economist in Alberta for more than 30 years and that has always been a struggle. How do you diversify Alberta’s economy?”

Hirsch noted the reality that diversification is not always an easy process, especially during times when the oil and gas industry is booming.

“Diversifying the province is not as easy as it might seem. There have been different attempts over the decades to diversify the province and none of them have been particularly successful.”

He did say we are in a better place now than we were.

“Compared to the 1980s when you look at the statistics of the makeup of Alberta’s economy, we are more diversified today than we were in the 1980s.”

He also believes we are continuing to advance on the economic diversification front.

“What we are seeing in 2018 and going into 2019 is probably the best chance of seeing more diversity because it is likely to happen organically.”

By organically, he means while the oil and gas sector struggles more people will be willing to try and change career paths.

He looks to areas like agriculture, tech, transportation and logistics and tourism as possible industries that people will be willing to switch to, but he does note those sectors don’t typically pay as much as oil and gas.

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