Canada’s multifactor productiveness grows in 2022

Nonetheless, Canada has seen slower productiveness progress since 2015, primarily as a consequence of a discount in capital funding following the downturn in commodity costs beginning in 2014.  

Between 1980 and 2015, rising capital depth contributed 0.9 proportion factors yearly to labor productiveness progress. From 2015 to 2022, its contribution halved to about 0.4 proportion factors.   

Through the durations from 1980 to 2000 and from 2015 to 2022, labor productiveness progress charges had been 1.8 % and 0.8 % per yr, respectively, marking a 1 proportion level discount in progress.   

Essentially the most important issue within the slowdown of labor productiveness progress post-2015 was the weaker funding in mounted capital. Roughly half of the decline in labor productiveness progress might be attributed to the drop in capital depth.  

Moreover, the reductions in multifactor productiveness and talent upgrading after 2015 accounted for a 0.4 proportion level and a 0.1 proportion level decline in labor productiveness progress, respectively.