Beyond One-Size-Fits-All: Targeting Place-Based Policies for Canada’s Low-Carbon Transformation

In this Academic Research Seminar, Jacob Greenspon will present his paper “Beyond One-Size-Fits-All: Targeting Place-Based Policies for Canada’s Low-Carbon Transformation.”

Speaker: Jacob Greenspon, Doctoral candidate in Economics, University of Oxford and Research Manager, HKS Reimagining the Economy Project

Whether attending in person or virtually, please register in advance.

Paper Abstract: Negative labour demand shocks are often regionally concentrated. Policies that address their impacts are most effective and efficient when tailored to local circumstances. Using newly- assembled data on Canadian communities’ economic challenges and opportunities, I analyze place-based policy targeting in response to workforce disruptions from GHG reductions. I first motivate and outline the goals of policies that aim to address local labour demand shocks. I next characterize the Canadian communities with workforces susceptible to GHG reduction efforts. I then analyze the suitability in each community of three broad policy responses based on regional characteristics and insights from prior literature. First, to guide provision of income supports for early retirees, I document large differences in the age profiles of susceptible local workforces. Second, I argue retraining programs are most suitable for susceptible workers that have strong job transition opportunities and, based on a newly-developed measure, estimate substantial variation in the proportion of these workers across susceptible communities. Third, I analyze nine domains related to challenges and opportunities for local job creation: high-speed broadband access; physical infrastructure; small business services and financing; higher-education attainment; childcare and housing availability; renewable energy generation; critical minerals production; and publicly-funded research. I assess the relative priority of interventions in each domain and identify four clusters of susceptible communities with similar priorities. I conclude with a discussion of how these results can be incorporated into collaborative federal and local policymaking processes.

The Growth Lab’s Research Seminar series is a weekly seminar that brings together researchers from across the academic spectrum who share an interest in growth and development.