News
Are Quebec Government Agencies Efficient?
New decentralization measures implemented by the Quebec government in the early 2000s have proven to be effective, according to a research study on the performance of government agencies of the Centre for Productivity and Prosperity. On average, agencies have increased their productivity by 2.9 % annually over the last decade.
In 2000, the government adopted Result-Based Management principles (RBM) to improve the performance of the agencies. RBM is based on private sector approaches. As a result, agencies were asked to prepare strategic as well as expenditure management plans. To increase accountability, they also had to define performance indicators and report their results on an annual basis.
Are our hospital logistics in good health?
As public and private sectors are striving for cost reductions, they are starting to pay more attention to support healthcare logistics activities. La productivité des activités de logistique hospitalière takes stock of current best practices and offers solutions to improve care centres performance in Quebec.
According to several studies, logistical activities such as purchasing, inventory management, replenishment of goods and services required for the delivery of medical services can represent up to 46% of hospital spendings.
Logistics: the key to success
Companies adopting good logistical practices display superior organizational performance. Yet, Quebec-based companies seem to neglect existing technologies that can support logistical activities. The research paper “Logistic behaviour of Quebec-based companies” summarizes the best logistical strategies and practices adopted by thirty managers from successful organizations in Quebec.
1. Review your logistical network. Organizations which are seeking low cost suppliers in developing countries or merger and acquisitions opportunities have to question their target markets, their partners and the outsourced activities.
Is Québec becoming the poorest province?
The income gap is widening between Quebec and the richest provinces in Canada while it is shrinking with the poorest. According to the research paper « Le point sur les écarts de revenu entre les Québécois et les Canadiens des autres provinces », if these trends remain, Quebec could soon rank at the bottom of the provinces’ list in terms of revenues.
From 1978 to 2009, all provinces realized net revenue gains compared with Quebec. The income gap between Quebec and Newfoundland (traditionally the poorest province) decreased by $6,663 in chained 2009 dollar per adult equivalent during this period. The gap between Quebec and Alberta (traditionally the richest province), on the contrary, increased by $12,607. Newfoundland residents, however, still earn $3,127 less per adult than Quebec residents in 2009; those living in Alberta, $17,947 more.
Less education in Québec means less wealth
The income gap between men in Quebec and their counterparts in other Canadian provinces tends to rise at the top of the income distribution, partly due to lower educational attainment, finds the study Inégalités de revenu et inégalités de consommation au Québec et au Canada from Daniel Parent.
Thirty years ago, the income gap between Canadians and Quebeckers was larger among populations at the bottom of the income distribution than at the top. Over time, the reverse has become true.
Thus, the richest 20% men in other Canadian provinces benefited from a 20 to 22% larger revenue than people of high social status in Quebec, after taxes and transfers in 2007. The poorest 20%, however, benefited from only a 10% higher revenue than their counterparts in Quebec, during the same period.
Part of the explanation lies in the fact that educational attainment in Quebec has increased, thereby contributing to a fall in the income gap in the lower part of the distribution, as revealed in Daniel Parent’s study.
The effect of fiscal policy on productivity
In their research study “Fiscal Policy, Productivity and External Adjustment: a Comparative Study”, the authors, Hafedh Bouakez, Foued Chihi and Michel Normandin evaluate the effects of unexpected tax cuts and increases in public spending on output, labour productivity, the current account and the real exchange rates in four industrialized countries, namely, Canada, the United States, Australia and the United Kingdom.
Technology shocks: a short term sacrifice stimulating long term growth?
Surprisingly, it seems that technology are not significantly contributing to economic growth in the short run, as the research study “What is the impact of technology shocks on the fluctuation of the Economy?” reveals. On the contrary, they appear to be detrimental to the economy’s performance.
Most studies on the subject used total factor productivity (TFP) as a proxy for technology shocks, namely the change in the output that cannot be explained by the change in the quantity of input used, such as workforce or physical capital. Researchers Nicolas Vincent, Nathan Bedock and Pierre-Olivier Lachance, on the other hand, decided to turn to patent data from 1978 to 2007 to measure these shocks.
Gasoline price controls in Québec: questionable benefits for consumers
Consumers in Quebec suffer from a more limited service in the province than elsewhere in Canada when they need to fill up, as there are less large gas stations. Large-scale chains offer more services such as electronic payments, car washes, or convenience stores. Other provinces benefit from these higher quality stations, while Quebec remains mainly dominated by smaller retailers.
Did you know
When the Canadian dollar rises, exporters companies experience a decrease in the revenue they obtain in US dollar, which deters them from investing in information and communications technologies.
