With a mission to inform, empower, celebrate and advocate for British Columbia's current and aspiring business leaders, BCBusiness go behind the headlines and bring readers face to face with the key issues and people driving business in B.C.
Issue link: http://digital.canadawide.com/i/1441359
with luxury retailers. "But if you're in the middle category—if you're the Gap or Old Navy or whatever it is—you're getting slaughtered." However, experiences still matter, Davis says. Take Vancouver's Robson Street, which now has less typical retail and more Asian-style service businesses such as tea shops and dessert spots. "I think you're going to see a reconfiguration of retail in a big way." 21. For an economic boost, follow the money Tech may grab all the headlines, but Williams con- tends that other sectors are better equipped to deliver us from the pandemic. "You really need your big economic engines to pull you out of this, and our big economic engines are the natural resources indus- tries," he says. "For every hour worked in the natural resources sector across Canada, we get $330 of value added." In unconventional oil and gas, that number is $1,300—23 times the national average of $56. Given their broader economic benefits, it doesn't make sense to replace such industries with those that generate only $30 to $90 per hour worked, Wil- liams says. "So it's a really delicate balance, I think, for policy makers to address our carbon challenges but at the same time recognize Canada's comparative advantages on international trade." 22. Recovery: slow and steady wins the race? "We're entering into a very delicate time in the eco- nomic recovery," Williams says. "And so I think it's important for the federal government, for central banks, also for the provincial government, to avoid any more policy mistakes," he argues. "Change the game." Although some government interventions in the economy were necessary, they might not be appropriate now, he adds. "And so we need to be a bit more nimble, I think." Still, Peacock believes B.C. will enjoy solid growth this year, noting that the pandemic reces- sion was especially unusual in one way. In a typical downturn, spending on goods such as cars and appliances drop off while services remain fairly stable. But during 2020, services fell 7 percent while sales of goods grew. "I don't think that's been regained or even half regained in 2021 because of the ongoing closures," Peacock says. "So that lift does stretch out into 2022, along with the getting back of some international tourism. I don't think it's going to be a huge surge but rather a slow, steady grind. And that's going to help provide a boost." n "You really need your big economic engines to pull you out of this, and our big economic engines are the natural resources industries" –DAVID WILLIAMS, Business Council of B.C. 2022 B U S I N E S S and E C O N O M I C 58 BCBUSINESS JANUARY/FEBRUARY 2022