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The Emergence of Cross-Border Regions Between Canada and the U.S

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The Emergence of Cross-Border Regions Between Canada and the U.S The Emergence of Cross-Border Regions Between Canada and the U.S. The Canada Institute at the Woodrow Wilson Center and The CSIS Smart Border North Working Group Washington, D.C., May 23, 2006 www.policyresearch.gc.ca Focus of presentation 1 Methodology 2 Research Findings 3 Key Characteristics of CBRs 4 Common Opportunities and Challenges 5 Considerations for Public Policies Why this Project? • Little attention paid to regional/sub-national dimensions of Canada-U.S. relationship • Broadening and deepening of regional linkages make research essential • How can the Government of Canada maximize opportunities from NA regional integration? Background At the outset, we must note: • Geography, history and demography have played an instrumental role in helping to shape and set the stage for the cross-border regional linkages we see today. Background Shared Geography Great Plains Great Lakes Yukon River Souris River Basin Red River Basin Nooksack River Rocky Mountains St. Lawrence River C o a s Lake Champlain t R a Pacific Coast n Gulf of Maine g e s . in ta n u Pujet Sound o } M Georgia Strait n Atlantic Coast : ia h Cascades c la Columbia River a p p A Background Shared Historical Contexts Oregon Territory: , pre-1846 N ew (US and Britain) fou ndl and c e b e u Q . East Coast,: pre-1776 (Britain) : Definition So, what is a Cross-border Region? • A Cross-Border Region: – Group of province(s)/states – Straddle the border – Critical mass of economic and organizational linkages, and cultural similarities • Boundaries can vary depending on the criteria or indicator used Methodology Three Lines of Research The Economy Socio-Cultural Values Cross-Border Organizations Methodology Three Instruments Research and Analysis • Measure economic linkages • Evaluate socio-cultural similarities • Document cross-border organizations Leader Survey and Executive Interviews (110 leaders) • Identify Canadian and American stakeholders • Enhance understanding of linkages • Assess opportunities and challenges Six Regional Roundtables (~ 200 leaders) • Review research findings • Discuss regional initiatives and lessons learned • Examine implications and roles for the Government of Canada Leader Survey Participating Organizations Government Associations Executive Council – Gov’t of AB Alberta Economic Development Calgary Economic Development Research Western Centre for Economic Research Business Canada West Foundation BC/Washington Environmental New Brunswick Ministry of Cooperation Council Intergovernmental and City of Seattle International Relations International Mobility US Consulate in Toronto and Trade Corridor Ontario Ministry of Economic Development and Trade Pacific NorthWest Economic Region Atlantic Institute for Market Studies Idaho Department of Commerce Atlantic Provinces Western Governors’ Association Chamber of Commerce Regina Chamber of Commerce Canadian-American Center Saskatchewan Trade and Export Partnership Gulf of Maine Council for Manitoba Ministry of Intergovernmental the Marine Environment Affairs and Trade Vermont Agency of Commerce North Dakota Economic and Community Development Development and Finance New England Governors’ Conf. New England – Canada Food and Agricultural Policy Research Institute Business Council CSG – Eastern Trade Council Council of Great Lakes Industries Institute for International Economics Institute for Competitiveness Canadian Institute – Woodrow and Prosperity Quebec -New York Wilson International Center Centre on North American Corridor Coalition for Scholars Politics and Society I –94 International Trade Alliance Regional Roundtables Six cities Sackville,Ottawa,VancouverWinnipegWaterlooMontreal ON NB NovemberFebruaryMarch 7,3, 16,14,28,23, 2006 20062005 The Economy Evidence on Cross-Border Links In border areas, Canada-U.S. economic activities are stronger and more involved The Economy Evidence on Cross-Border Links Canadian Trade Flows Adjusted for Size of State (GSP) New Hampshire Massachusetts Rhode Island Connecticut New Jersey Delaware Maryland Trade Levels Trade Growth 2004 1992-2004 Top-Third Top-Third Mid-Third Mid-Third Low-Third Low-Third The Economy Evidence on Cross-Border Links Canadian-owned Establishments Adjusted for Size of State (GSP) New Hampshire Massachusetts Rhode Island Connecticut New Jersey Delaware Maryland D.C. No. of Establishments Growth 1997 1987-97 Top-Third Top-Third Mid-Third Mid-Third Low-Third Low-Third The Economy Evidence on Cross-Border Links • We focus on four economic factors: Bilateral Trade Trade Breadth Trade Volume 3 Growth Provincial 11 Intensity 22 3 44 Exports • We find provincial-state groups: • fairly distinct • increasingly important • quite dynamic The Economy The West Bilateral Trade Trade Breadth 1 Trade 2 Volume 3 Growth 4 Provincial 1 Intensity 22 33 44 Exports BC Alberta 1234 1234 Alaska Wyoming Washington Montana Oregon Washington Idaho North Dakota North Dakota Minnesota Montana Illinois Arizona Iowa Vermont Vermont Hawaii Tennessee Nevada Idaho Top 5 Top 10 The Economy Alberta also part of Prairies-Great Plains Bilateral Trade Trade Breadth 1 Trade Volume Growth 4 Provincial 1 Intensity 22 33 44 Exports Alberta 1234 Wyoming Montana Washington North Dakota Minnesota Illinois Iowa Vermont Tennessee Idaho Top 5 Top 10 The Economy Prairies-Great Plains Bilateral Trade Trade Breadth 1 Trade Volume Growth 4 Provincial 1 Intensity 22 33 44 Exports Saskatchewan Manitoba 1234 1234 Montana South Dakota Wyoming North Dakota North Dakota Minnesota South Dakota Iowa Wisconsin Montana Oregon Wyoming Illinois Nebraska Iowa Wisconsin Minnesota Vermont Idaho Illinois Top 5 Top 10 The Economy Great Lakes-Heartland Bilateral Trade Trade Breadth 1 Trade Volume Growth 4 Provincial 1 Intensity 22 33 44 Exports Ontario 1234 Michigan Indiana Missouri Kentucky Ohio South Carolina West Virginia California Delaware Georgia Top 5 Top 10 The Economy East — Quebec-New England Bilateral Trade Trade Breadth 1 Trade Volume Growth 4 Provincial 1 Intensity 22 33 44 Exports Quebec 1324 Vermont West Virginia Utah New Hampshire Maine New York Connecticut Rhode Island South Dakota North Dakota Top 5 Top 10 The Economy East — Atlantica Bilateral Trade Trade Breadth 1 Trade Volume Growth 4 Provincial 1 Intensity 22 33 44 Exports New Brunswick Nova Scotia 1234 1234 Maine New Hampshire New Hampshire Massachusetts Connecticut South Carolina Rhode Island Rhode Island Massachusetts Maine Vermont Connecticut Texas Ohio Pennsylvania Oklahoma Arkansas Wisconsin Alaska Texas Top 5 Top 10 The Economy East — Atlantica Bilateral Trade Trade Breadth 1 Trade Volume Growth 4 Provincial 1 Intensity 22 33 44 Exports PEI NL 1234 1234 Maine New Jersey New Hampshire Rhode Island Rhode Island New Hampshire Massachusetts Massachusetts Idaho Maine Vermont Louisiana New York Texas Connecticut Connecticut Florida New York Hawaii California Top 5 Top 10 The Economy Further Evidence on Cross-Border Links • Correlations in economic activity • Key clusters straddling the border • Regional gateways for value-added activities The Economy Key Clusters Straddling the Border West: Atlantic: Coastal Transportation and Logistics Footwear Heavy Construction Services Forest Products Oil and Gas Products/Services Agricultural Products Agricultural Products Distribution Services Fishing and Fishing Products Fishing and Fishing Products Power Generation Transmission . : Quebec: - New England Great Lakes-Heartland Forest Products Leather Automotiv:e Footwear Building Fixtures Equipment Publishing and Printing Prairies/Great Plains and Services Furniture Metal Manufacturing Hi-tech, Pharmaceuticals Heavy Machinery The Economy All industries Ongoing Related Research . : : Forestry Mining Energy The Economy Major Highway Corridors . : The Economy Major North American Electricity Grids . : Socio-Cultural Values Importance of Similar Values, Beliefs, Ideology • Similar values, beliefs and ideology facilitate emergence of cross-border regions • PRI research reveals socio-cultural values often more similar at cross-border level • Key issue: Is there a regional sense of identity within cross-border regions? Socio-Cultural Values Closest Top Three Regions Northwest New England New England California Rocky Mountain East North Central Rocky Mountain New England West North Central South Atlantic East North Central Northwest California New England Rocky Mountain Mid-Atlantic Northwest East North Central Alberta Atlantic Canada Northwest New England Ontario Rocky West East Ontario B.C. Mountain North North Mid-Atlantic Sask.-Manitoba Central Central Atlantic Canada Atlantic Canada Ontario Ontario Alberta Sask.-Manitoba Socio-Cultural Values Gap analysis based on index of 32 values Atlantic BC Alberta Sask-Man Ontario Quebec Canada U.S. Regions Western 6.3 4.6 7.3 5.3 7.6 6.3 Southern 13.0 9.6 7.6 9.3 12.0 6.7 Mid-West 8.5 7.0 7.0 5.5 9.5 4.5 Northeast 8.0 7.5 6.0 5.5 8.0 4.0 Socio-Cultural Values Public Discourse “If it were a nation, PNWER…”. Socio-Cultural Values Public Discourse • “The legislature in Washington State actually passed a motion that supported Vancouver’s 2010 bid because they understood that 2010 is great for BC, it’s great for Vancouver, but it’s great Premier Campbell for Washington State.” October 2003 Socio-Cultural Values Public Discourse • “Alberta shares many ties with the U.S. — both in politics and in business. But our two jurisdictions are more than neighbours and business partners— we’re friends in the truest sense of the Premier Klein word.” March 2005 Socio-Cultural Values Public Discourse • “Our region is
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