Ley 42 de 1923

It is widely accepted that economies grow as a result of the actions of individuals and enterprises and that enterprises are the engines of economic development ȋŠ‹–‡Š‡ƒ†

Ƭ‡•Ž‡›ǡʹͲͲͷȌ. They bring together people, ideas, technology and capital to develop,

produce, and distribute goods and services. A Treasury briefing paper for the Hui

ƒ—ƒ–ƒ ȋ¢‘”‹ …‘‘‹… —‹–Ȍ ʹͲͲͷ ‘–‡† –hat economic development has

positive benefits for the material well-being of individuals but can also benefit society by enhancing social connectedness and cohesion and that the challenge in a diverse society is to find an approach to economic development that is inclusive, sustainable and dynamic ȋŠ‹–‡Š‡ƒ†Ƭ‡•Ž‡›ǡʹͲͲͷȌ.

¢‘”‹‡…‘‘‹…†‡˜‡Ž‘’‡–ƒ†–Š‡‰”‘™–Š‘ˆ–Š‡‡™‡ƒŽƒ†‡…‘‘›ƒ”‡…Ž‘•‡Ž› intertwined ȋŠ‹–‡Š‡ƒ†Ƭ‡•Ž‡›ǡʹͲͲͷȌǤ¢‘”‹‡…‘‘‹…†‡˜‡Ž‘’‡–‹•‹’‘”–ƒ–

‘– ‘Ž› –‘ ¢‘”‹ǡ but also to New Zealand’s overall economic performance;

improvements in one will have positive benefits for the other ȋ‘‘”ƒ„Ž‡‹–ƒŠƒ”’Ž‡•ǡ

ʹͲͳͳȌ. Both are underpinned by the same drivers: skills and talent, innovation and

technological change, investment, entrepreneurship, and sound institutions. For the New Zealand economy to achieve long-run potential growth, it must make the best use ‘ˆ ƒŽŽ ƒ˜ƒ‹Žƒ„Ž‡ ”‡•‘—”…‡•ǡ ‹…Ž—†‹‰ –Š‡ ’‘–‡–‹ƒŽ …‘–”‹„—–‹‘• ‘ˆ ¢‘”‹ ȋ̵—ŽŽ‹˜ƒ Ƭ

ƒƒǡʹͲͲͺȌ.

Š‡ ¢‘”‹economy has been described as highly integrated into the New Zealand

economy, having features such as demographics, cultural values, and traditional knowledge that make it distinctive ȋ¢‘”‹…‘‘‹…‡˜‡Ž‘’‡–ƒ‡ŽȌ. The concept

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‘ˆ ƒ ¢‘”‹ ‡…‘‘› ƒŽ•‘ ‹’Ž‹es economic and social development, economic growth,

and environmental responsibility to sustain improved standards of living based on economic growth, to achieve some form of social equity, and to manage the environment in a sustainable way ȋƒ”•™‘”–ŠǡBarclay-‡””ǡƬ‡‡†›ǡʹͲͲʹȌ.

‡› ‡šƒ’Ž‡• ‘ˆ ƒ––”‹„—–‡• —‹“—‡ –‘ –Š‡ ¢‘”‹ ‡…‘‘› ƒ”‡ ȋ¢‘”‹ …‘‘‹…

‡˜‡Ž‘’‡–ƒ‡ŽȌ:

x Š‡¢‘”‹population is young and is predicted to grow by 20% over the next 15

›‡ƒ”•Ǣ‹–Š‡ˆ—–—”‡¢‘”‹™‹ŽŽƒ‡—’ƒŽƒ”‰‡”’”‘portion of the workforce. To

”‡ƒŽ‹•‡ –Š‹• ’‘–‡–‹ƒŽǡ ¢‘”‹ ‡‡† –‘ „‡ ‡“—‹’’‡† ™‹–Š –Š‡ •‹ŽŽ• ƒ† ‡†—…ƒ–‹‘ that enable them to participate in New Zealand’s future workforce.

x Cultural values ƒ”‡ƒ—‹“—‡ˆ‡ƒ–—”‡‘ˆ–Š‡¢‘”‹‡…‘‘›™‹–Š–Š‡’‘–‡–‹ƒŽ–‘ ‹ˆŽ—‡…‡‰”‘™–ŠǤ¢‘”‹…—Ž–—”‡‰‡‡”ƒ–‡•ƒ••‡–•ǡ•—…Šƒ••‹ŽŽ•ƒ†’”‘†—…–•ǡƒ• well as insight that contribute to the social, environmental, and economic well- „‡‹‰‘–‘Ž›‘ˆ¢‘”‹…‘—‹–‹‡•ǡ„—–‘ˆ–Š‡™Š‘Ž‡‡…‘‘›Ǥ

x The intergenerational ˆ‘…—•‘ˆ‹™‹ƒ†¢‘”‹…‘ŽŽ‡…–‹˜‡‘”‰ƒ‹•ƒ–‹‘•ƒ†–Š‡ˆƒ…– these organisations have strategic goals that encompass a multiplicity of outcomes. Iwi and collectives may also have a stronger inclination to focus their portfolios on domestic assets and enterprises located in their rohe or areas of influence.

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¢‘”‹‡…‘‘‹…’”‘•’‡”‹–›

Š‡ʹͲͲͻ¢‘”‹…‘‘‹…ƒ•ˆ‘”…‡ȋ‡•–ƒ„Ž‹•Š‡†ƒ•ƒ”‡•—Ž–‘ˆ–Š‡—‹ƒ—ƒ–ƒʹͲͲͷȌ …‘…Ž—†‡† –Šƒ– ‡…‘‘‹… †‡˜‡Ž‘’‡– ’”‹‘”‹–‹‡• ˆ‘” ¢‘”‹ †‡’‡† ‘ ¢‘”‹ –ƒ‹‰ ƒ lead in the †‡˜‡Ž‘’‡– ‘ˆ –Š‡‹” ‡…‘‘‹… ƒ•’‹”ƒ–‹‘•Ǥ —”–Š‡”ǡ –Šƒ– ¢‘”‹ —•– „‡ ’‘•‹–‹‘‡† ‹ ™ƒ›• –Šƒ– ˆ‘•–‡” –Š‡ —‹“—‡ †‡˜‡Ž‘’‡–ƒŽ ‘’’‘”–—‹–‹‡• ‘ˆ –Š‡ ¢‘”‹ ‡…‘‘›Ǥ † –Š‡› ‘–‡† –Šƒ– ¢‘”‹ ‡…‘‘‹… ƒ…–‹˜‹–› …‘’”‹•‡• ƒ †‹˜‡”•‡ ”ƒ‰‡ ‘ˆ players – ˆ”‘ ¢‘”i individuals in the labour market, to the self-employed running

¢‘”‹ „—•‹‡••‡•ǡ –‘ ‹™‹ ƒ† ’ƒ-–”‹„ƒŽ ¢‘”‹ …‘‡”…‹ƒŽ ‡–‹–‹‡• ȋ¢‘”‹ …‘‘‹…

‡˜‡Ž‘’‡–ƒ•ˆ‘”…‡ǡʹͲͳͲƒȌ.

In a partial response, a range of recent initiatives and programmes has been introduced –‘ •—’’‘”– ¢‘”‹ ‡…‘‘‹… †‡˜‡Ž‘’‡–Ǥ ‘™‡˜‡”ǡ –Š‡ ƒ•ˆ‘”…‡ ‘–‡• –Šƒ– ǮŠ—ƒ capital’ is the greatest resource, and improving the skills, training and qualifications of

›‘—‰¢‘”‹‹•’ƒ”ƒ‘—–ȋ¢‘”‹…‘‘‹…‡˜‡Ž‘’‡–ƒ•ˆ‘”…‡ǡʹͲͳͲƒȌ. There is

ƒŽ•‘ •‹‰‹ˆ‹…ƒ– —–ƒ’’‡† ’‘–‡–‹ƒŽ ‹ –Š‡ ¢‘”‹ –‘—”‹• •‡…–‘” ƒ† ƒ ‡‡† ˆ‘” ‘”‡ …ƒ’ƒ„‹Ž‹–› ƒ† …ƒ’ƒ…‹–› ‹ ¢‘”‹ ‹‘˜ƒ–‹‘ǡ •’‡…‹ˆ‹…ƒŽŽ› ‹ ”‡•‡ƒ”…Šǡ •…‹‡…‡ǡ ƒ† technology ȋ¢‘”‹…‘‘‹…‡˜‡Ž‘’‡–ƒ•ˆ‘”…‡ǡʹͲͳͲƒȌ. Support is also required –‘–ƒ‡¢‘”‹‡–‡”’”‹•‡–‘–Š‡™‘”Ž†ǤŠ‹•…‘–‡š–—†‡”’‹•–Š‡”ƒ–‹‘ƒŽ‡ˆ‘”‹˜‡•–‹‰

‹¢‘”‹‡…‘‘‹…†‡˜‡Ž‘’‡–ȋ¢‘”‹…‘‘‹…‡˜‡Ž‘’‡–ƒ•ˆ‘”…‡ǡʹͲͳͲƒȌ.

Š‡ ¢‘”‹ ‡…‘‘› Šƒ• ƒ› †‹‡•‹‘•Ǥ Š‡ ¢‘”‹ …‘‘‹… ƒ•ˆ‘”…‡ ‡’‘”–

ȋʹͲͳͲƒȌ uses estimates generated by a model to project scenarios of the potential

„‡‡ˆ‹–•ƒ†‘’’‘”–—‹–‹‡•–‘–Š‡¢‘”‹‡…‘‘›‘ˆƒ”‡-focused science and innovation

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x Asset Base: Enterprises in the 2010 M¢‘”‹ ‡…‘‘› –‘–ƒŽ ̈́͵͸Ǥͻ „‹ŽŽ‹‘ǡ ƒ ‹…”‡ƒ•‡‘ˆ̈́ʹͲǤͶ„‹ŽŽ‹‘ˆ”‘–Š‡ʹͲͲ͸‡•–‹ƒ–‡‘ˆ̈́ͳ͸Ǥͷ„‹ŽŽ‹‘ǡƒ•ƒ”‡•—Ž–‘ˆ–Š‡ ˆ‘ŽŽ‘™‹‰‹ˆŽ—‡…‡•ǣ̈́ͳͳǤ͸„‹ŽŽ‹‘ƒ••‘…‹ƒ–‡†™‹–Š‘”‡…‘’”‡Š‡•‹˜‡†ƒ–ƒƒ† the adoption of different and more robust assumptionsǢ ̈́͵Ǥͳ „‹ŽŽ‹‘ ƒ••‘…‹ƒ–‡† ™‹–Š –Š‡ ͳͳΨ ”‹•‡ ‹ …ƒ’‹–ƒŽ ‰‘‘†• ’”‹…‡•Ǣ ƒ† ̈́ͷǤ͹ „‹ŽŽ‹‘ ƒ••‘…‹ƒ–‡† ™‹–Š ”‡ƒŽ ‰”‘™–Šˆ”‘ʹͲͲ͸–‘ʹͲͳͲ‹–Š‡•‹œ‡‘ˆ–Š‡ƒ••‡–„ƒ•‡‘ˆ–Š‡¢‘”‹‡…‘‘›‘ˆ ͳͺΨȋ‘”ͶǤ͵Ψ’‡”ƒ—ȌǤ

x Production and GDP: From the production side of the economy the value added „›¢‘”‹‡–‡”’”‹•‡•‹ʹͲͳͲ–‘–ƒŽŽ‡†̈́ͳͲǤ͵„‹ŽŽ‹‘Ǥ–‡”•ǡ–Š‡‘’‡”ƒ–‹‰ •—”’Ž—•‹…‘‡‘ˆ¢‘”‹‡–‡”’”‹•‡•–‘–ƒŽŽ‡†̈́͵Ǥ͵„‹ŽŽ‹‘ǡ™Š‹Ž‡…ƒ’‹–ƒŽ•’‡†‹‰ –‘–ƒŽŽ‡†̈́ͳǤͶ„‹ŽŽ‹‘Ǥ–‡”•ǡ–Š‡‡’Ž‘›‡–ƒ†…ƒ’‹–ƒŽ‹…‘‡‘ˆ¢‘”‹ Š‘—•‡Š‘Ž†•–‘–ƒŽŽ‡†̈́ͳͲǤͲ„‹ŽŽ‹‘ǡ™Š‹Ž‡•’‡†‹‰ƒ‘—–‡†–‘̈́ͳ͸Ǥ͸„‹ŽŽ‹‘Ǥ x ‡…–‘”‹…‘‡ƒ†‘—–Žƒ›•ǣŠ‡¢‘”‹‡–‡”’”‹•‡•‡…–‘””‡…‘”†‡†‰”‘••‘—–’—–‘ˆ ̈́ʹʹǤʹ„‹ŽŽ‹‘ǡ”‡•—Ž–‹‰‹ƒ–‘–ƒŽ‘’‡”ƒ–‹‰•—”’Ž—•‘ˆ̈́͵Ǥ͵„‹ŽŽ‹‘ƒ†‡–•ƒ˜ings ‘ˆ̈́ͲǤʹ„‹ŽŽ‹‘Ǥƒ–‹‘ƒŽ‡–•ƒ˜‹‰•‘ˆ–Š‡‡–‡”’”‹•‡•‡…–‘”–‘–ƒŽŽ‡†̈́ͳͲǤ͵„‹ŽŽ‹‘Ǥ Š‡ ¢‘”‹ Š‘—•‡Š‘Ž† •‡…–‘” ”‡…‘”†‡† ƒ –‘–ƒŽ ‹…‘‡ ‘ˆ ̈́ͳͶǤͺ „‹ŽŽ‹‘ ƒ† –‘–ƒŽ ‘—–Žƒ›• ‘ˆ ̈́ʹͲǤ͵ „‹ŽŽ‹‘ǡ ”‡•—Ž–‹‰ ‹ ‡– •ƒ˜‹‰• ‘ˆ– ̈́ͷǤͷ „‹ŽŽ‹‘Ǥ ƒ–‹‘ƒŽ ‡–

savings of the household sector totalled – ̈́͹Ǥͺ„‹ŽŽ‹‘Ǥ

Š‡ ‘’’‘”–—‹–‹‡• ‹†‡–‹ˆ‹‡† „› –Š‡ ƒ•ˆ‘”…‡ –‘ ‰”‘™ –Š‡ ¢‘”‹ ƒ••‡– „ƒ•‡ ‹…Ž—†‡ǣ investing in skills and training, and improved governance; strengthening and improving the tourism sector; increasing ‹˜‡•–‡– –‘ •—’’‘”– ¢‘”‹ ‹‘˜ƒ–‹‘Ǣ ƒ† –ƒ‹‰ ¢‘”‹ƒ••‡–•–‘–Š‡™‘”Ž†Ǥ

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Considerable effort has also been invested over several years, to strengthen the ‰‘˜‡”ƒ…‡ƒ†ƒƒ‰‡‡–…ƒ’ƒ„‹Ž‹–‹‡•‘ˆ¢‘”‹‘”‰ƒ‹•ƒ–‹‘•„›‰”‘—’••—…Šƒ•–Š‡ Federation of ¢‘”‹ —–Š‘”‹–‹‡• ƒ† ‡ —‹ ۍ‹”‹ǯ• ‹˜‡•–‡– ‹ –Š‡ –”‡‰–Š‡‹‰ ƒƒ‰‡‡– ƒ† ‘˜‡”ƒ…‡ ȋȌ ”‘‰”ƒ‡Ǥ Š‡ ‡˜ƒŽ—ƒ–‹‘ ‘ˆ –Š‡ Programme in 2009 recommended ȋ¢‘”‹…‘‘‹…‡˜‡Ž‘’‡–ƒ•ˆ‘”…‡ǡʹͲͳͲ„Ȍ:

x Tailoring a complete package for each organisation to be provided by an assessor with industry specific knowledge;

x Broadening the entry criteria;

x Formalising board development programmes such as the introduction of a “—ƒŽ‹ˆ‹…ƒ–‹‘ˆ‘”–”—•–‡‡•‘ˆ¢‘”‹‘”‰ƒ‹•ƒ–‹‘•Ǣƒ†

x Brokering relationships with other agencies that have a vested interest in „—‹Ž†‹‰–Š‡…ƒ’ƒ…‹–›ƒ†…ƒ’ƒ„‹Ž‹–›‘ˆ¢‘”‹‘”‰ƒ‹•ƒ–‹‘•Ǥ

Š‹Ž‡ ¢‘”‹ ’ƒ”–‹…‹’ƒ–‹‘ ‹ –Š‡ Ǯ‹‘˜ƒ–‹‘ ‡…‘‘›ǯ ȋ†‹•…—••‡† Žƒ–‡”Ȍ ‹• …—””‡–Ž›

‹‹ƒŽǡ –Š‡”‡ ƒ”‡ •‹‰‹ˆ‹…ƒ– ‘’’‘”–—‹–‹‡• ˆ‘” ¢‘”‹ –o introduce new technologies

„‘–Š‹‡š‹•–‹‰•‡…–‘”•ƒ†‡™•‡…–‘”•‘ˆ–Š‡¢‘”‹‡…‘‘›Ǥ ‘”‡šƒ’Ž‡ǡ¢‘”‹…ƒ gain from technological innovations in the use and management of agricultural, fisheries and tourism assets, change the types of products and services produced, and open up ‡™‘’’‘”–—‹–‹‡•ƒ†ƒ”‡–•ˆ‘”¢‘”‹„—•‹‡••‡•Ǥ

Š‡”‡Ž‡ƒ•‡‘ˆ–Š‡ƒ–‹‘ƒŽˆ”ƒ•–”—…–—”‡Žƒȋƒ”…ŠʹͲͳͲȌ’”‡’ƒ”‡†„›–Š‡ƒ–‹‘ƒŽ Infrastructure Unit of the Treasury represented an important signal from the

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government of the infrastructure challenges New Zealand faces and how these issues may be addressed ȋ¢‘”‹ …‘‘‹… ‡˜‡Ž‘’‡– ƒ•ˆ‘”…‡ǡ ʹͲͳͲ„Ȍ. Within the document the government identified its priorities:

1. —„Ž‹…•‡…–‘”‹˜‡•–‡–™‹–ŠƒƒŽŽ‘…ƒ–‹‘‘ˆ̈́͹Ǥͷ„‹ŽŽion over 5 years for new

capital spending;

2. Better management of public infrastructure assets including the consideration of a broader range of options for procuring assets; and

3. Regulatory reform to make it easier to get things happening and do business in the infrastructure space.

The Taskforce noted that these priorities send strong signals to iwi and provide impetus for iwi leaders to engage with government in the development of models for joint or co- investment arrangements between iwi partners and the Crown ȋ¢‘”‹ …‘‘‹…

‡˜‡Ž‘’‡–ƒ•ˆ‘”…‡ǡʹͲͳͲ„Ȍ. Further, this proposal presents attractive benefits for

both parties. For example:

x Economic partnerships between iwi and the Crown with iwi ownership of core Crown assets reflects long-term economic aspirations and long-term usage requirements on the part of iwi and the Crown respectively.

x A successful transaction and partnership will allow the derivation of long-term predictable income streams for iwi while providing the Crown with long-term committed funding.

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x Returns can be tailored to reflect the specialised nature of the particular asset and risk associated with income stream – where possible, the return can be structured to incentivise long-term cost containment/reduction and/or service performance.

¢‘”‹†‹˜‡”•‹–›ƒ††‹•–‹…–‹˜‡‡••

¢‘”‹‡…‘‘‹…ƒ…–‹˜‹–›‹•—†‡”–ƒ‡„›‹†‹˜‹†—ƒŽ•‹–Š‡Žƒ„‘—”ƒ”‡–ǡ’‡‘’Ž‡™Š‘ own their own businesses, and by iwi and pan-–”‹„ƒŽ ¢‘”‹ ‡–‹–‹‡• •—…Š ƒ• –”—•–•ǡ authorities and incorporations, and there is as much diversity within such activity as there is commonality ȋŠ‹–‡Š‡ƒ†Ƭ‡•Ž‡›ǡʹͲͲͷȌ. Given this diversity, it is likely that ƒ•–”ƒ–‡‰›ˆ‘”¢‘”‹‡…‘‘‹…†‡˜‡Ž‘’‡–™‹ŽŽ‡‡†–‘Šƒ˜‡ƒ›’ƒ–Š™ƒ›•ƒ†ƒ› vehicles. A strategy that focuses primarily ‘–Š‡†‡˜‡Ž‘’‡–‘ˆƒ¢‘”‹’Š›•‹…ƒŽƒ••‡–- base, for example, is unlikely to be the most effective route to economic prosperity for

ƒŽŽ¢‘”‹ȋǤ—”‹‡ǡʹͲͲͷ…Ȍ.

ƒ› ¢‘”‹ ‡–‹–‹‡•ǡ ’ƒ”–‹…—Žƒ”Ž› –Š‘•‡ ™‹–Š ƒ …‘‡”…‹ƒŽ ˆ—…–‹‘ǡ ˆƒ…‡ •’‡…‹ˆ‹… challenges with regard to governance, management and leadership. Typically unique to

¢‘”‹ǡ–Š‡•‡‹…Ž—†‡ȋ–ƒ–‹•–‹…•‡™‡ƒŽƒ†ǡʹͲͳʹȌ:

x ƒ””›‹‰–‹ƒ‰ƒ¢‘”‹™‹–Š‘†‡”„—•‹‡••…‘…‡’–•ƒ†‘„Œ‡…–‹˜‡•Ǥ

x …Š‹‡˜‹‰†—ƒŽŽ‡‰‹–‹ƒ…›‹–‡”•‘ˆ¢‘”‹…—•–‘ƒ”›˜ƒŽ—‡s and practices and

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x Achieving a balance between commercial management skills and traditional leadership skills.

x Balancing stakeholder involvement in decision-making with the need to minimise transaction costs and respond promptly to opportunities and risks.

x Weighting the demands of current members against the need to retain and improve capability to meet the requirements of future generations.

x Reconciling dual accountabilities to their constituency and the Crown, where these exist.

Further, collective ownership poses challenges for the economic development of

’Š›•‹…ƒŽƒ••‡–•Ǥšƒ’Ž‡•‘ˆ„ƒ””‹‡”•–‘–Š‡†‡˜‡Ž‘’‡–‘ˆ¢‘”‹Žƒ†ȋ͸Ψ– 1.5 million

hectares – ‘ˆ‡™‡ƒŽƒ†ǯ•–‘–ƒŽŽƒ†ƒ”‡ƒȌǡ…‹–‡†„›–Š‡‘–”‘ŽŽ‡”ƒ†—†‹–‘”eneral in 2004 include ȋ–ƒ–‹•–‹…•‡™‡ƒŽƒ†ǡʹͲͳʹȌ:

1. Multiple ownership. This can cause problems and increased costs in obtaining agreement about land use, and reduce the economic return to individual owners. 2. Governance and management. There is a lack of expertise in planning and making

†‡…‹•‹‘•ƒ„‘—––Š‡ƒ†‹‹•–”ƒ–‹‘‘ˆ¢‘”‹Žƒ†Ǥ

3. Access to informationǤƒ–ƒ‘–Š‡…—””‡–—•‡‘ˆ¢‘”‹Žƒ†‹•‘–…‘’”‡Š‡•‹˜‡ and is difficult and sometimes costly to obtain information about potential use. 4. Access to landǤ ¢‘”‹ Žƒ† …ƒ „‡ Šƒ”† –‘ ƒ……‡••ǡ ”‡†—…‹‰ ‘’–‹‘• ˆ‘” ‹–• —•‡Ǥ

Development becomes expensive or uneconomic, and lease options may be reduced.

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5. ƒ–‹‰‘ˆ¢‘”‹Žƒ†. Local authorities have differing practices for collecting rates

‘¢‘”‹Žƒ†Ǥ‘‡ have tried to sell it or place charging orders on it to recover

rates arrears.

Against this backdrop, the Taskforce has developed resource guides to crystallise and ƒ”–‹…—Žƒ–‡–Š‡†‹•…—••‹‘–Šƒ–Šƒ•–ƒ‡’Žƒ…‡ƒ„‘—–¢‘”‹’ƒ”–‹…‹’ƒ–‹‘‹‹ˆ”ƒ•–”—…–—”‡ investment so that iwi can start taking the next steps. A key theme in the resource guides, and the basis of the process mentioned above, is that there are three foundations on which to progress potential opportunities for joint or co-investment opportunities with the Crown ȋ–ƒ–‹•–‹…•‡™‡ƒŽƒ†ǡʹͲͳʹȌǤŠ‡•‡…‡–”‡‘–Š‡‡‡†ˆ‘”‹™‹–‘ȋƒȌ „—‹Ž†–”—•–ƒ†”‡Žƒ–‹‘•Š‹’•ƒ‘‰•–‡ƒ…Š‘–Š‡”ǡȋ„Ȍ…‘•‘Ž‹†ƒ–‡–Š‡‹”…ƒ’‹–ƒŽ„ƒ•‡•ǡƒ† ȋ…Ȍ™‘”…‘ŽŽƒ„‘”ƒ–‹˜‡Ž›–‘‹†‡–‹ˆ›‘’’‘”–—‹–‹‡•Ǥ

Š‡¢‘”‹‹‘˜ƒ–‹‘economy

Innovation is the process through which firms create new economic value by creating, adopting, and adapting knowledge into new or improved products and services, processes and organisational arrangements ȋ‡ —‹ ‘‹”‹ǡ ʹͲͲ͹Ȍ. An ‘innovation economy’ is a fusion of technology and economics, creating global wealth, prosperity and power. It consists of those industries that transform scientific or technological knowledge into products, processes, systems and services that fuel economic development, create wealth, and generate improvements in a State’s standard of living

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For New Zealand there is a need to develop new strengths in the economy, based on knowledge and innovation in order to supplement historical strengths in the primary production sectors ȋ‹‹•–”› ‘ˆ ‡•‡ƒ”…Š …‹‡…‡ ƒ† ‡…Š‘Ž‘‰›ǡ ͳͻͻͻȌ. This is

’ƒ”–‹…—Žƒ”Ž›–Š‡…ƒ•‡ˆ‘”¢‘”‹†—‡–‘–Š‡Š‹‰Š…‘…‡–”ƒ–‹‘‘ˆ¢‘”‹ economic activity

in the primary production sectors of the economy. Of interest to iwi, therefore, is the ‡‡”‰‡…‡‘ˆƒǮ¢‘”‹‹‘˜ƒ–‹‘‡…‘‘›ǯƒ†–Š‡‹’Ž‹…ƒ–‹‘•‘ˆ–Š‹•‡‡”‰‡…‡‘

iwi ȋ‡—‹‘‹”‹ǡʹͲͲ͹Ȍ.

At least three interdependent factors are essential in creating an innovation economy. One is technological advancesǡ ™Š‹…Š Ž‡ƒ† –‘ –Š‡ …”‡ƒ–‹‘ ‘ˆ ‡™ •‡…–‘”• ȋ•—…Š ƒ• ƒ‘–‡…Š‘Ž‘‰› ƒ† „‹‘–‡…Š‘Ž‘‰›ȌǢ –Š‡› ƒ› ƒŽ•‘ ‹ˆŽ—‡…‡ ƒ† •‘‡–‹‡• Ž‡ƒ† –‘ radical changes in traditional sectors. Another interdependent factor is research and development. And, at a more basic level, the innovation economy will depend on investment and education ȋ‡ —‹ ‘‹”‹ǡ ʹͲͲ͹ȌǤ ‡› †”‹˜‡”• ‘ˆ …Šƒ‰‡ ‹ –Š‡ ¢‘”‹ innovation economy include creation of knowledge and innovation, technological advances through new as well as established sector•‹™Š‹…Š¢‘”‹Šƒ˜‡ƒ•Šƒ”‡ǡƒ† research, development, and education ȋ‡—‹‘‹”‹ǡʹͲͲ͹Ȍ.

Š‡‰”‡ƒ–‡•–„‡‡ˆ‹––‘–Š‡‹‘˜ƒ–‹‘‡…‘‘›™‹ŽŽƒ……”—‡–‘¢‘”‹™Š‘…ƒƒ……‡••ƒ† adopt new technologies ȋ‡ —‹ ‘‹”‹ǡ ʹͲͲ͹Ȍ. Indeed, having an innovat‹˜‡ ¢‘”‹ society may be more important for growth than having a high rate of capital investment. ‡…Š‘Ž‘‰‹…ƒŽƒ†˜ƒ…‡•™‹ŽŽŠƒ˜‡ƒŒ‘”‹’Ž‹…ƒ–‹‘•ˆ‘”¢‘”‹†—‡–‘–Š‡‹”‘™‡”•Š‹’ of agricultural, fisheries and tourism assets. New technologies will change these industries and the range of products and services produced; they will also open up new •‡…–‘”• ƒ† ƒ”‡–• ˆ‘” ¢‘”‹Ǥ ‡…Š‘Ž‘‰‹…ƒŽ ƒ†˜ƒ…‡• ™‹ŽŽ ƒŽŽ‘™ ¢‘”‹ –‘ ’”‘†—…‡

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more output from the existing mix of resources. These advances may take the form of less costly methods of producing existing output or may result in the production of new products.

Analysis of the key drivers of future change points to the need for research and

†‡˜‡Ž‘’‡––‘ƒŽ•‘ƒ••‹•–™‹–Š–Š‡†‡˜‡Ž‘’‡–‘ˆƒ¢‘”‹‹‘˜ƒ–‹‘economy in the

following areas ȋ‡—‹‘‹”‹ǡʹͲͲ͹Ȍ:

x Development of new technologies to increase participation in the innovation economy.

x ‹˜‡”•‹ˆ‹…ƒ–‹‘‹–‡”•‘ˆ—–‹Ž‹•ƒ–‹‘‘ˆ–Š‡¢‘”‹ƒ••‡–„ƒ•‡Ǥ

x New products in the mature industries.

x Development ‘ˆ–Š‡‹…Š‡¢‘”‹-branded specific products.

x Ž–‡”ƒ–‹˜‡‡‡”‰›‘’’‘”–—‹–‹‡•‹”‡Žƒ–‹‘–‘…—””‡–ƒ†’‘–‡–‹ƒŽ¢‘”‹ƒ••‡–•

and business connections.

In order to maximise the contribution research and development can make to the †‡˜‡Ž‘’‡–‘ˆƒ¢‘”‹‹‘˜ƒ–‹‘‡…‘‘›ǡ¢‘”‹„—•‹‡••‡•™‹ŽŽ‡‡†–‘„—‹Ž†•–”‘‰ relationships with tertiary institutions to create an environment for further research and development ȋ‡ —‹ ‘‹”‹ǡ ʹͲͲ͹Ȍ. The challenge here is to move towards an economy based on knowledge and, as part of the process, to develop the greatest asset

¢‘”‹Šƒ˜‡– its people.

Ž‘‰™‹–Š”‡•‡ƒ”…Šƒ††‡˜‡Ž‘’‡–‹•–Š‡…‘…‘‹–ƒ–‡‡†–‘‡•—”‡–Šƒ–¢‘”‹ƒ”‡ educated with the right skills and knowledge to participate in an innovation economy. There is a substantial body of evidence showing that those with higher levels of

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education are more likely to participate in the labour market, face lower risks of unemployment, have greater access to further training, and receive higher earnings on average ȋ‡—‹‘‹”‹ǡʹͲͲ͹Ȍ.

In terms of economic self-•—ˆˆ‹…‹‡…›ǡ–Š‡ǡ–Š‡ƒ„‘˜‡†‹•…—••‹‘•Š‘™•–Šƒ––Š‡¢‘”‹ economic development landscape offers much for iwi to consider in terms aspirations for iwi economic outcomes. Guidance is provided in terms of focus, for example, on developing iwi human capital and improving the skills, training, and qualifications of young iwi members. Iwi outcomes concerning developing the iwi asset base and increasing investment to support iwi innovation are considerations, along with approaches involving consolidating the iwi capital base, working collaboratively with other iwi, and economic partnerships with the Crown.

In document El papel de la contraloría departamental del Valle del Cauca para los casos de liquidación de los hospitales públicos departamentales de Buenaventura (2014) y Cartago (2017) [recurso electrónico] (página 60-64)