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Update on Economic Analysis

Notice: Please note that this module will no longer be available as of July 6, 2016. Publications from the Analytical Studies Branch are available from the Publications module of our website under Browse by key resource. You may also browse by subject and related topics through The Daily or from the Statistics Canada home page by choosing Browse by Subject.

Visit this module to find a concise summary of ongoing research programs in micro-economics, macro-economics and national economic accounts including research on Economic geography, Economic transition, Firm strategies and performance, Industrial dynamics, Innovation, International trade, Labour market dynamics, Multinationals, National economic accounts and macro-economy, Productivity, Small-firms analysis and Technology use.

Latest Release - June 13, 2016

The Industry Origins of Canada’s Weaker Labour Productivity Performance and the Role of Structural Adjustment in the 1990s and the 2000s

by John R. Baldwin and Michael Willox

This paper examines how much of the slowdown in productivity growth observed in Canada’s business sector between the 1990s (1990 to 1999) and the 2000s (2000 to 2014) was due to weaker productivity growth within industries and how much was due to structural adjustment. The analysis makes use of a decomposition method that differs from many of the standard labour productivity decomposition approaches commonly found in the literature and allows the contributions of changes in the importance of individual industries to be calculated. The approach developed here reveals that the inter-period slowdown was attributable almost entirely to weaker productivity growth within industries and that structural adjustment had a slight mitigating effect on the slowdown. Lower productivity growth within three industries—manufacturing; finance, insurance and real estate; and mining, oil and gas—accounted for much of the moderation in business-sector labour productivity growth in the 2000s.

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