The oil sands and the Dutch disease
July 30th, 2012 - 3:29pm
Dutch disease is a term to describe how the increased exploitation of natural resources in a country relates to a decline in other sectors of its economy, particularly the manufacturing sector. Studies have shown that the breakneck pace of the oil sands development has artificially inflated the Canadian dollar, making other types of industry less competitive. This creates an economic unbalance. I am not trying to be simplistic in criticizing the exploitation of our resources; however, I believe that resource exploitation must be done responsibly, taking both the economy and the environment into account. The price of the oil sands should be adjusted to reflect the cost of the environmental impact of extracting the oil. If this cost was included in the value, it would be extracted in a more sustainable manner and would contribute to stabilizing our economy.
The Conservative government must stop rewarding big oil at the expense of the environment, other sectors of the economy and future generations. The NDP is committed to ensuring that we manage our resources responsibly and sustainably.