{2291526b 6efa 43fb 89da Cd31a9c1e1bb}Town of Perth Final Report

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    Economic Base Analysisfor the

    Town of Perth & District

    Prepared by:

    December 12th, 2002(Updated on May 15th, 2003)

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    IntroductionMatthew Fischer & Assoc. Inc. is an independent consulting firm founded in 1997 toserve Canadian economic development agencies. It was contracted by the Town ofPerth to conduct an Economic Base Analysis to help the community target its economicdevelopment programs more precisely. We are grateful to Industry Canada forproviding partial funding for this study under the PEMD Investment program.

    An Economic Base Analysis is a statistical tool that uses employment data fromStatistics Canadas Labour Force Survey to profile the composition of the localeconomy. The analysis requires comparable data over a specified time period tomeasure changes in the economy.

    In the course of our consultations with community leaders it became quickly apparentthat Perth is part of regional economy that includes the adjacent Townships of TayValley (formerly Bathurst, Burgess & Sherbrooke) and Drummond/North Elmsley. The

    three communities together have a combined population of 18,113 (2001 Census) and asubstantial number of the township residents work and shop in Perth. It is also clearthat there is a substantial amount of movement (for both work and shopping) betweenthe Perth area, Smiths Falls and the Ottawa region.

    As a result, to get an accurate picture of the economy we must look beyond the bordersof the Town of Perth and consider the regional marketplace.

    We face a significant challenge when the study area is not a Census MetropolitanArea as defined by Statistics Canada. As is the case in Perth and district, many of thestatistical measures we rely on are not collected (or published) except as part of a

    census and unfortunately the relevant data from 2001 Census will not be available untilthe spring of 2003. Therefore we must rely on 1996 Census Data for the Town of Perthand the surrounding region.

    Fortunately, with the help of the Labour Market Analyst at the Kingston HRDC office wehave found comparable data for the 1991/1996 period for the Town of Perth, SmithsFalls and Carlton Place. We believe this provides the most accurate profile of theregional economy.

    Matthew Fischer, BA, CED, Ec.D., President

    182 Willow Ridge RoadILDERTON, ON N0M 2A0Tel: (519) 666-3668 Fax: (519) 666-3670Email: [email protected]

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    Introduction to Economic DevelopmentEconomic development is not one simple, discrete activity. It is actually a number ofseparate programs and initiatives, each with multiple stakeholders, specifically selectedas part of a comprehensive strategy to address the unique needs and opportunities ofthe community. These initiatives can include:

    Elements of a Comprehensive Economic Development Program New Business Attraction Business Retention & Expansion Small Business & Entrepreneurial Development Tourism Facility Development & Tourism Promotion Downtown & Commercial Development Special Projects

    (such as: Creating a Business Incubator or Tourism Attraction)

    From a study of the best practices of scores of international and domestic economicdevelopment agencies, we have developed six maxims that serve to guide communityeconomic development programs.

    Maxims of Economic Development1. Existing businesses will account for as much as 90% of

    economic growth in the community. They deserve priorityattention in an economic development program.

    2. 70% to 85% of new Foreign Investment is follow-on investmentby MNEs (Multi-National Enterprises) already established inCanada. Foreign-owned subsidiaries in the community should be the

    primary focus of an international business attraction program.3. In every community, there will be too many opportunities to

    effectively pursue. To be successful, strategically select a fewinitiatives and recruit a broad base of community support to pursuethem.

    4. Targeting is critical to an economic development plan. Establishrealistic targets based on the communitys Comparative Advantagesfor specific industry sectors or types of businesses.

    5. Personal contact is the most effective means of communicatinga communitys attributes to a potential investor.

    6. An introduction or personal referral from a trusted source is the

    most effective entree to a decision-maker. A developmentofficers personal network, at home and abroad, is his/her mostvaluable asset.

    Each community is unique, having evolved its own set of industries and sectors throughthe individual decisions of investors and entrepreneurs based on the influences ofgeography, history and political forces in the community over the years.

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    To more effectively target a communitys economic development program, it isimportant to understand the strengths and weaknesses of the local economy and toidentify the communitys competitive advantages for particular industries andbusinesses.

    An Economic Base Analysis is a useful tool that provides a solid statistical measurefor each individual sector of the local economy, thereby establishing a foundation for thecommunitys economic development strategy.

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    Perth and the surrounding Townships combine to form a single regional market withPerth acting as the commercial/service centre. In addition the area is becomingincreasingly attractive to commuters working in Kanata and the western part of theOttawa Region.

    The 2001 Census records the population of Perth and its neighbouring communities asfollows:

    Population 2001 Census 1996 2001Town of Perth 5,902 6,003Tay Valley Twp. 5,180 5,440Drummond / North Elmsley Twp. 6,187 6,670

    17,269 18,113

    The Planning Department of the Town of Perth prepared the following map to illustrate

    the primary and secondary trading area for the community.

    Regional Market Area

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    Due to the popularity of the Rideau Lakes District as a vacation area, there is a hugeseasonal influx that has a significant impact on retail sales in the community.

    Perth has a diversified manufacturing base of 28 companies with a total estimated

    employment of 1,560, including some well-known names.

    Manufacturing Firms (employing >100)Company Product EmploymentBrown Shoe Company Shoes 3253M Canada Tape Products 250Perth Soap Liquid & Bar Soap 165Albany International Paper Making Weaves 150OMYA Processing Calcium Calcite 150Central Wire Manufacture Fine Wire 100Grenville Castings Drive-shaft/Axle Assemblies 100

    Based on the 1996 Census, (the most recent data available) the Town of Perth had aslightly higher rate of unemployment than Ontario, however as shown in the followingtable, unemployment was skewed with fewer males unemployed in Perth and morefemales than the Ontario norm. Participation rates were lower than Ontarios and theaverage income in Perth was approximately 15% lower.

    1996 Census Town of Perth Employment & IncomeLabour ForceCharacteristics

    PerthTotal

    PerthMale

    PerthFemale

    Ont.Total

    Ont.Male

    Ont.Female

    Unemployment rate 9.4% 6.2% 12.2% 9.1% 8.7% 9.6%

    Participation rate 56.5% 63.5% 50.8% 66.3% 73.0% 60.0%Avg Total Income(persons reporting income) $23,428 $29,602 $18,355 $27,309

    $33,599 $21,048

    Comparing the education characteristics of Perth residents to Ontario we find that onaverage Perth residents are less well educated. This is not unexpected given thegenerally rural nature of the area (college or university experience is not demanded asfrequently). 12.7% of Perth residents have completed university compared to Ontarios18.8% and 43.7% of Perth residents have a trades or college certificate or diplomacompared to 45.9% across Ontario.

    1996 Census Town of Perth Education AttainmentEducationalCharacteristics

    PerthTotal

    PerthMale

    PerthFemale

    Ont.Total

    Ont.Male

    Ont.Female

    Population >25 yrswith Grade 8

    11.0% 8.4% 13.3% 11.7% 11.0% 12.3%

    Population > 25 yrswith High School

    64.9% 68.6% 61.8% 69.4% 70.4% 68.4%

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    Population >25 yrswith Trade/College

    43.7% 47.8% 40.8% 45.9% 49.1% 43.0%

    Population >25 yrswith University

    12.7% 14.3% 11.6% 18.8% 20.5% 17.2%

    Interestingly, a report by HRDC Ontario Region found at:http://www.on.hrdc-drhc.gc.ca/english/lmi/eaid/ore/cen96/eo/510lm_e.html

    profiled the labour market characteristics of Economic Region 510, during the period ofthis study and reported that Lanark County (in which Perth is located) significantlyoutperformed the other counties in ER 510 between 1991 and 1996. Among otherthings, the report measured changes in Labour Force, Employment and Unemployment.It is summarised in this table. Note that total employment rose in Lanark County by1,825 jobs or 7.1% while across the region it declined 2,965 jobs for a loss of 0.6%.

    Economic Region 510 - Labour Market Change from 1991 to 1996

    Source: HRDC Ontario RegionLabour

    Force % Employed %

    Unemployed %

    Stormont DundasGlengarry

    -545 -1.0% -1,660 -3.3% 1,125 24.8%

    Prescott Russell 2,765 7.9% 1,995 6.1% 765 33.3%Leeds Grenville 2.033 4.5% 990 2.3% 1,050 34.4%Ottawa Carleton 890 0.2% -6,100 -1.7% 7,000 25.4%Lanark 2,310 8.4% 1,825 7.1% 485 23.8%ER 510 7,460 1.3% -2,965 -0.6% 10,420 26.4%

    A companion report on the population changes in ER 510 found at:http://www.on.hrdc-drhc.gc.ca/english/lmi/eaid/ore/cen96/eo/510pop_e.htmlshowed that although Lanark County is the smallest of the counties in ER510, in termsof population growth Lanark outperformed all but Prescott Russell, especiallyamong the all important 15/24 and 25/54 year old age groups, the prime working yearsfor the labour force.

    Economic Region 510 - Population Changes from 1991 to 1996Source: HRDC Ontario Region

    ActualChange

    %Change

    % Change15/24 yrs

    % Change25/54 yrs

    % Change55+ yrs

    Stormont DundasGlengarry 3,460 3.2% -0.1% 3.9% 5.6%

    Prescott Russell 6,825 10.2% 4.7% 11.6% 9.4%Leeds Grenville 6,050 6.7% -0.5% 8.7% 6.8%Ottawa Carleton 42,995 6.3% -2.9% 6.3% 10.3%Lanark 5,040 9.2% 4.6% 10.8% 8.4%ER 510 64,370 6.4% -1.6% 6.9% 9.1%

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    Economic Base Analysis

    Effective economic development programs are grounded on a clear understanding ofthe strengths and weaknesses of the local economy and of how the local economy isperforming in the regional context. An Economic Base Analysis provides such afoundation.

    The analysis consists of two components: a Location Quotient Analysis profiling thecurrent composition of the economy - and a Shift Share Analysis measuring the relativechanges that have taken place during the period of the study.

    Location Quotient AnalysisA Location Quotient analysis is a measure of the relative concentration of each sectorin the local economy compared to a reference area, in this case the Province of Ontario.The Location Quotient Analysis also shows which industry sectors are Basic(attracting new money to the community through the export of products or services) andNon-Basic (re-circulating money within the community through retail expenditures orprovision of personal services).

    A Location Quotient is the ratio of employment by industry to total communityemployment compared to the reference area.

    Where the LQ = 1.00, the ratio of employment in that industry to totalemployment in the community is the same as that for the Province.

    Where the LQ > 1.00, employment in that industry is more concentratedin the community than in the Province. If the LQ for a particular industryis high (LQ > 1.25), it implies the community possesses a competitiveadvantage for that industry and that it is likely serving customers outsidethe local market (exporting).

    Where the LQ < 1.00, employment is less concentrated than in theProvince. When an industry is significantly less concentrated (LQ 1.25 Positive Positive2. Accelerating 0.75 1.25 Positive Positive3. Rising < 0.75 Positive Positive

    Medium

    4. Evolving > 1.25 Negative Positive5. Transitional 0.75 1.25 Negative Positive

    6. Moderate < 0.75 Negative Positive7. Promising > 1.25 Positive Negative8. Yielding 0.75 1.25 Positive Negative9. Modest < 0.75 Positive Negative

    Low

    10. Challenging > 1.25 Negative Negative11. Vulnerable 0.75 1.25 Negative Negative12. Marginal < 0.75 Negative Negative

    We have applied Dr. Carvalhos classification system to the economic base analysis forPerth and district and produced the following table. The names Dr. Carvalho assignedto each category in the classification system are still under development, so instead wehave used a numerical value for each of the 12 categories, with 1 being the highesteconomic performance.

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    Carvalho ScaleEconomic Performance Classification - Perth & Area 1991/1996

    Industrial SectorClassification

    HighAccommodation & Food Service 2Other Services 2Wholesale Trade 2Education Services 2Real Estate & Insurance Brokers 3

    Medium

    Agriculture & Related 4Construction 4Government Services 4Manufacturing 5

    Forestry, Fishing, Mining, Oil/Gas 5Retail Trade 5Finance & Insurance 6Transportation & Warehousing 8Health Care & Social Services 8

    Low

    Business Services 9Communications & Other Utilities 11

    Reference: Dr. Emanuel Carvalho University of Waterloo

    These numbers reflect the composition of the local economy and growth factors as of1996. There have been a lot of changes in the intervening six years especiallyconsidering the widespread adoption of information technologies in all types ofbusinesses. Nonetheless, it would be rare to see a major shift in the overall direction ofthe economy without some obvious and significant force acting upon the community.Examples could include a significant new industry locating in the community or theclosure or downsizing of a large business. We have not been able to identify any suchevent in the community since 1996.

    The economic data from the 2001 census will be released in early 2003. We plan anupdate of this analysis at that time.

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    RecommendationsTargeting Perths Economic Development Program

    Economic development officers are understandably concerned with all sectors of the

    local economy, however economic development programs tend to concentrate on thosesectors and businesses producing exportable goods and services because they havethe greatest impact on the economy. These are sometimes called Basic Industries.

    For example, most retailers, hairdressers, video rental business and other personalservices businesses (sometimes called Non-Basic Industries) exist primarily to servecustomers in the immediate market area and therefore are limited in their growthpotential by the population of the trade area. They are nonetheless important to theeconomy because they re-circulate money within the local economy through theirpayroll and through their purchases of goods and services.

    On the other hand, businesses with exportable products or services, such asmanufacturing, consulting engineering and tourist establishments (which export byattracting customers to the community) inject new money into the local economy. Alsothey are not restricted by the size of the local market and therefore can growindependently of the local economy. These industries are most often the focus ofeconomic development programs.

    There can be both Basicand Non-Basicelements in a given sector. For example, amajor shopping centre, big box store, antique store or car dealership could be drawingcustomers from outside the area or could be catering to the needs of tourists. To thedegree this happens, they too are exporting or bringing outside revenues into the local

    economy.

    The purpose of this plan is to strategically focus community efforts on those sectorsoffering the greatest growth potential for the community.

    Tourism InfrastructureWe recommend that the first and most significant target for Perths economicdevelopment program be theAccommodation sector.

    In this discussion we draw a distinction between the two pillars of tourism programs: Destination Marketing

    Tourism Investment Development

    We believe the economic development office has a significant role to play in thedevelopment of new attractions and services in effect attracting investment to buildthe tourist infrastructure of the community. However we believe the responsibility formarketing the community and its attractions/services to potential visitors is besthandled by those businesses benefiting directly from visitor expenditures. They have

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    direct control over the product and therefore are in the best position to adjust thepromotion program to the intended market.

    Between 1991 and 1996 there was strong employment growth in the accommodations

    sector (an increase of 625 jobs representing a 34.6% increase). We have notedhowever that in spite of the importance of the tourism industry in the Rideau LakesDistrict, the range of commercial accommodations in Perth (hotel and motel rooms) issurprisingly limited. From casual observation, we believe there is potential for additionalrooms in Perth.

    We envision potential interest in two different styles of accommodation: a highway commercial style of facility in a high visibility location on the Hwy 7

    corridor serving travellers, both business and personal, passing through Perth. a destination inn style facility, perhaps capitalising on the heritage architecture

    of the community, that would be attractive for get away vacations.

    Both styles should be studied in depth to understand the market demand and potentialinvestment opportunities.

    We are aware of at least one prospective investor examining the market for additionalhotel rooms in Perth and we believe the Town should continue to support andencourage this and other projects as they are brought forward.

    We are pleased to note that the Town and this prospective investor have jointlyundertaken a study looking at the tourism market in Perth and district (the public part ofthe study) and the feasibility of a proposed destination resort (the private portion of thestudy). This is an excellent example of a public/private partnership in economicdevelopment benefiting both the community and the prospective investor.

    Once again, from casual observation, it appears that the other component of this sector,the Food & Beverage Services, is well represented in the community. There are a widevariety of restaurants and cafes in town catering to every taste.

    Manufacturing

    The Manufacturing sector is the largest employer group in the community (almost 6,000employees in 1996) and although the Location Quotient shows only normalconcentrations (LQ 0.92), the relative growth during the 1991 to 1996 period wasextremely strong with a DSE of +497.

    We recommend that continued growth and development of the ManufacturingSector be a priority for the Town of Perth, with the primary focus of the EconomicDevelopment Program being Business Retention & Expansion (BR&E).

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    A priority for the BR&E program should be the foreign-owned enterprises in Perth.More than half the employment in Perths manufacturing sector is in three foreign-owned companies, 3M, Brown Shoes and O.M.Y.A. which together account for 810 ofthe 1560 manufacturing jobs in the community.

    Recall the 2nd Maxim of Economic Development that states:70% to 85% of new Foreign Investment is follow-on investment byMNEs (Multi-National Enterprises) already established in Canada.Foreign-owned subsidiaries in the community should be the primary focusof an international business attraction program.

    The Community Development Officer for the Town of Perth is actively networking withlocal businesses. We encourage this because it has been proven to be the mosteffective economic development program initiative. As part of this networking, theCommunity Development Officer will be seeking every opportunity for the Town of Perth

    to encourage additional capital investment by foreign-owned firms.

    The diversity of Perths existing manufacturing businesses makes targeting specifictypes of manufacturing enterprises more difficult because there is no concentration ofcore capabilities on which to build.

    Customer Contact Centres

    Beginning in the mid-90s a number of companies, led by the banks and financialinstitutions began establishing dedicated customer contact centres to improve customerservices available by telephone. The technique spread rapidly and soon an entirelynew industry was born. Ontario boasts of more than 3,000 customer contact centresemploying more than 150,000 people, approximately half the Canadian total.

    Canada has been proven to be very cost competitive and as a result a large number ofAmerican companies have moved north of the border, especially in the later part of thelast decade.

    There is a wide variety of customer contact centres, from the low-end telemarketingservices to extremely sophisticated technical support services. Many are extensions oflarge multinational companies for example 3M, Xerox, IBM, Royal Bank, Air Canada.Others are third party contractors providing services to different clients. The range ofservices provided by customer contact centres can be widely varied, such as hotelreservation services, CAA emergency 800 calls and 1-800-nurse which providesemergency and after-hours medical advise.

    Wages and salaries in most of these firms are competitive with other sales and serviceorganizations. The more sophisticated (example: technical support centres) offercompensation packages in the mid-$50Ks to $60Ks for skilled personnel.

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    Increasingly customer contact centres are seeking locations in smaller communities,where they hope to experience less competition for labour and where the turn-overrates are often much lower.

    It is recommended the Town of Perth partner with the Provincial marketing andpromotional activities of the Ontario Government and Bell Canada entitled CallOntario, established to attract North American Customer Contact Centres.

    Conclusion

    During the period 1991 to 1996, while the rest of Ontario was struggling its way out ofrecession, the Perth Area enjoyed excellent growth with all but five sectors (Forestry,Transportation, Communications & Utilities, Retail and Government) posting increasesin employment. Overall the Perth Area economy grew 2,005 additional jobs for a 5.3%

    growth rate during the period.

    With the exception of the miscellaneous category Other Services, the Accommodation& Food Services sector posted the largest absolute growth (625 jobs) and one of thehighest DSEs at +469. An L.Q. of 0.98 implies that the Perth area has a normalconcentration of tourist businesses despite being located in a vacation region. Thissuggests the sector be targeted as growth pole for the community.

    Manufacturing is another sector that enjoyed vigorous growth during the 1991/1996period (an increase of 375 jobs) despite a softening of the sector across the balance ofthe province. In fact the DSE for manufacturing (+497) is marginally higher than that for

    the Accommodations sector (+469) and the only reason it did not rank higher in theCarvalho Scale was because the across the province industry was in decline. Similarly,the Manufacturing sector has only normal levels of concentration (L.Q. 0.92) despite thesector being the largest employer in the community.

    These two sectors alone were responsible for 50% of the job growth (1,000 out of2,005) in the Perth Area between 1991 and 1996.

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    Appendix

    Population by Municipality for HRCC Areas ofPerth, Smiths Falls & Carleton Place

    Municipality 1991 1996%

    Change

    Beckwith Township 4,564 5,495 16.9%Carleton Place Town 7,432 8,450 12.0%Ramsay Township 3,624 4,451 18.6%Almonte Town 4,382 4,611 5.0%Darling Township 470 527 10.8%Pakenham Township 1,782 2,007 11.2%North Crosby Township 968 1,097 11.8%Westport Village 664 683 2.8%

    Newboro Village 282 291 3.1%North Burgess Township 1,021 1,269 19.5%South Sherbrooke Township 669 732 8.6%Bathurst Township 2,888 3,179 9.2%Drummond Township 2,771 3,185 13.0%Perth Town 5,576 5,886 5.3%Lanark Township 1,461 1,722 15.2%Lanark Village 890 865 -2.9%Lavant, Dalhousie & North SherbrookeTownship

    1,381 1,515 8.8%

    Oso Township 1,361 1,413 3.7%

    Olden Township 811 906 10.5%Kennebec Township 765 968 21.0%Clarendon & Miller Township 473 545 13.2%Palmerston & North & South CannontoTownship

    393 406 3.2%

    North Elmsley Township 2,833 3,018 6.1%South Crosby Township 1,677 1,910 12.2%Bastard & South Burgess Township 2,610 2,692 3.0%Kitley Township 2,191 2,461 11.0%South Elmsley Township 3,065 3,574 14.2%Wolford Township 1,438 1,603 10.3%

    Merrickville Village 989 1,027 3.7%Montague Township 3,620 3,802 4.8%Smiths Falls Town 9,439 9,131 -3.4%Total 72,490 79,421 8.7%

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    Labour Force by Major IndustryPerth, Smiths Falls, Carleton Place 1991/1996

    Industry Sector 1991 1996

    Change%

    Change

    Agriculture & Related 1,825 1,870 45 2.4%Fishing, Trapping, Forestry & Mining 230 220 -10Manufacturing 5,620 5,995 375 6.3%Construction 2,785 2,855 70 2.5%Transportation & Warehousing 1,435 1,320 -115 -8.7%Communication & Other Utilities 1,190 1,080 -110 -10.2%Wholesale Trade 1,075 1,565 490 31.3%Retail Trade 4,860 4,755 -105 -2.2%Finance & Insurance 835 1.005 170 16.9%Real Estate & Insurance Brokers 480 585 105 17.9%Business Services 1,930 2,045 115 5.6%Government Services 3,750 3,050 -700 -23.0%Educational Services 2,005 2,310 305 13.2%Health Care & Social Services 4,100 4,185 85 2.0%Accommodation & Food/Bev. Services 1,805 2,403 625 25.7%Other Services 2,195 2,835 640 22.6%Total 36,100 38,105 2,005 5.3%

    Source: HRDC Based on 1991 - 1996 Census

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    Labour Force by Major IndustryProvince of Ontario 1991/1996

    Industry Sector 1991 1996

    Change%

    Change

    Agriculture & Related 139,880 131,060 -8,820 -6.31%Fishing, Trapping, Forestry & Mining 50,290 39,375 -10,915 -21.70%Manufacturing 942,995 922,570 -20,425 -2.17%Construction 358,890 290,430 -68,460 -19.08%Transportation & Warehousing 187,830 198,555 10,725 5.71%Communication & Other Utilities 188,630 173,040 -15,590 -8.26%Wholesale Trade 233,910 278,220 44,310 18.94%Retail Trade 700,920 662,815 -38,105 -5.44%Finance & Insurance 253,140 228,880 -24260 -9.58%Real Estate & Insurance Brokers 100,090 111,895 11,805 11.79%Business Services 367,200 411,070 43,870 11.95%Government Services 411,455 304,640 -106,815 -25.96%Educational Services 365,230 369,325 4,095 1.12%Health Care & Social Services 457,115 513,615 56,500 12.36%Accommodation & Food/Bev. Services 322,955 350,945 27,990 8.67%Other Services 355,310 414,980 59,670 16.79%Total 5435840 5401415 -34,425 -0.63%

    Source: HRDC Based on 1991 - 1996 Census

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    UPDATE

    May 15, 2003

    With the release of the economic data from the 2001 Census we have been able toupdate the location quotient calculations with more current information.

    We have been able to obtain data on the Employment by Industry from 2001Census for Perth and Lanark County with which we have calculated LocationQuotients specifically for Perth compared to both Lanark County and theProvince of Ontario. This data will not be directly comparable to the 1996Location Quotient analysis in the body of the report because it was based on alarger area (Perth, Smiths Falls and Carleton Place).

    For the updated Shift/Share Analysis we relied on data supplied by StatisticsCanada from the Labour Force Survey covering Economic Region 510 lessOttawa. Although this region is substantially larger that the Town of Perth, it wasthe smallest jurisdiction for which we could obtain comparable, historical data.

    The updated analysis serves to reinforce the recommendations from theoriginally analysis focusing on Tourism Development and Manufacturing aspriority sectors for the Town of Perth Economic Development Department.

    Respectfully submitted:

    Matthew Fischer, Ec.D.President

    182 Willow Ridge Road, RR #3Ilderton, ON N0M 2A0Tel: (519) 666-3668Fax: (519) 666-3670Email: [email protected]

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    Location Quotient Analysis - 2001Perth Compared to Ontario & Lanark

    Employment by Industrial Sector Ontario Lanark PerthAgriculture, Forestry, Fishing & Hunting 123,675 935 20

    Mining, Oil & Gas 21,110 185 35

    Utilities 46,325 250 55

    Construction 332,255 2,490 135

    Manufacturing 984,330 5,010 430

    Trade 950,730 4,555 455

    Transportation & Warehousing 280,150 1,385 100

    Information & Cultural Industries 171,750 705 40

    Finance & Insurance 292,555 715 75

    Real Estate & Rental & Leasing 108,890 465 15

    Professional, Scientific & Technical Services 429,100 1,965 150

    Management, Administration & Support 264,915 1,000 60

    Educational Services 371,200 1,510 135

    Health Care & Social Services 531,790 3,710 325

    Arts, Entertainment & Recreation 121,955 540 35

    Accommodation & Food/Beverage Services 380,055 2,125 260

    Other Services 273,125 1,420 90

    Public Administration 308,955 2,405 130

    Total 5,992,775 31,370 2,5452001 Census Data - Total Labout Force 15 years and Over by

    Industry

    Note: Significant Differences in LQ's between Perth/Ontario & Perth/Lanark found in Finance & Insurance, Educa

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    Economic Region 510 less Ottawa Source: Special Tabulation by Statistics Canada, Labour Statistics Division, Labour Force Survey

    Ontario Employment Per CEmployment by Industrial Sector 1996 2001 Change Chan

    Agriculture & Related 105,100 84,700 -20,400 -19.4

    Forestry, Fishing, Mining, Oil & Gas 45,700 37,800 -7,900 -17.2

    Utilities 50,000 49,700 -300 -0.6

    Construction 261,400 343,300 81,900 31.3

    Manufacturing 903,700 1,087,600 183,900 20.3

    Trade 783,400 923,700 140,300 17.9

    Transportation & Warehousing 243,800 276,200 32,400 13.2

    Finance, Insurance, Real Estate & Leasing 372,400 394,500 22,100 5.9

    Professional, Scientific & Technical Services 313,300 436,600 123,300 39.3

    Management, Administration & Support 180,600 249,400 68,800 38.1Educational Services 339,800 358,100 18,300 5.3

    Health Care & Social Services 503,000 552,500 49,500 9.8

    Information, Culture and Recreation 231,800 299,100 67,300 29.0

    Accommodation & Food/Beverage Services 314,600 341,600 27,000 8.5

    Other Services 242,300 253,900 11,600 4.7

    Public Administration 289,900 274,800 -15,100 -5.2

    Total 5,180,800 5,962,700 781,900 15.0

    Economic Region 510 less Ottawa Employment Per CEmployment by Industrial Sector 1996 2001 Change Chan

    Agriculture & Related 5,400 5,400 0 0.0

    Forestry, Fishing, Mining, Oil & Gas

    Utilities

    Construction 7,800 11,900 4,100 52.5

    Manufacturing 24,800 28,500 3,700 14.9

    Trade 17,600 19,300 1,700 9.6

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    Transportation & Warehousing 8,000 7,600 -400 -5.0

    Finance, Insurance, Real Estate & Leasing 5,600 4,400 -1,200 -21.4

    Professional, Scientific & Technical Services 3,700 7,100 3,400 91.8

    Management, Administration & Support 3,700 5,200 1,500 40.5

    Educational Services 8,100 7,900 -200 -2.4

    Health Care & Social Services 16,900 17,200 300 1.7

    Information, Culture and Recreation 5,500 4,200 -1,300 -23.6

    Accommodation & Food/Beverage Services 8,200 9,100 900 10.9

    Other Services 6,700 7,300 600 8.9

    Public Administration 10,500 8,800 -1,700 -16.1

    Total 133,900 145,100 11,200 8.3

    Shift Share Analysis EmploymentReferenceArea

    IndustrialMix Differen

    Employment by Industrial Sector Change Growth Effect EffectShiftEffect

    Agriculture & Related 0 815 -1,863 1,0Forestry, Fishing, Mining, Oil & Gas 0 0 0

    Utilities 0 0 0

    Construction 4,100 1,177 1,267 1,6

    Manufacturing 3,700 3,743 1,304 -1,3

    Trade 1,700 2,656 496 -1,4

    Transportation & Warehousing -400 1,207 -144 -1,4

    Finance, Insurance, Real Estate & Leasing -1,200 845 -513 -1,5

    Professional, Scientific & Technical Services 3,400 558 898 1,9

    Management, Administration & Support 1,500 558 851

    Educational Services -200 1,222 -786 -6

    Health Care & Social Services 300 2,551 -887 -1,3

    Information, Culture and Recreation -1,300 830 767 -2,8Accommodation & Food/Beverage Services 900 1,238 -534 1

    Other Services 600 1,011 -690 2

    Public Administration -1,700 1,585 -2,132 -1,1

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