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Disarmed and Disadvantaged: Canada’s Workers Need More Physical Capital to Confront the Productivity Challenge

Author

Listed:
  • Colin Busby

    (C.D. Howe Institute)

  • William B.P. Robson

    (C.D. Howe Institute)

Abstract

Canadian workers have enjoyed less robust investment in plant and equipment than their counterparts in the United States and other major developed countries over the past 15 years. And notwithstanding Canada’s relative economic resilience through the recent slump, the per-worker investment gap vis-à-vis other countries appears to have widened. The authors say if this pattern continues, Canadian businesses will continue equipping their workers less well than those in other countries, a setback in the quest for rising living standards in the coming expansion.

Suggested Citation

  • Colin Busby & William B.P. Robson, 2010. "Disarmed and Disadvantaged: Canada’s Workers Need More Physical Capital to Confront the Productivity Challenge," e-briefs 107, C.D. Howe Institute.
  • Handle: RePEc:cdh:ebrief:107
    as

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    File URL: https://www.cdhowe.org/disarmed-and-disadvantaged-canadas-workers-need-more-physical-capital-confront-productivity
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    References listed on IDEAS

    as
    1. Sala-i-Martin, Xavier, 1997. "I Just Ran Two Million Regressions," American Economic Review, American Economic Association, vol. 87(2), pages 178-183, May.
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    Citations

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    Cited by:

    1. Angelo Melino, 2011. "Moving Monetary Policy Forward: Why Small Steps - and a Lower Inflation Target - Make Sense for the Bank of Canada," C.D. Howe Institute Commentary, C.D. Howe Institute, issue 319, January.
    2. James P. Bruce, 2011. "Protecting Groundwater: The Invisible and Vital Resource," C.D. Howe Institute Backgrounder, C.D. Howe Institute, issue 136, February.
    3. Finn Poschmann & Alexandre Laurin, 2011. "The Time is Still Right for BC’s HST," e-briefs 119, C.D. Howe Institute.
    4. Philippe Bergevin & William B.P. Robson, 2011. "The Costs of Inflexible Indexing: Avoiding the Adverse Fiscal Impacts of Lower Inflation," C.D. Howe Institute Commentary, C.D. Howe Institute, issue 322, February.

    More about this item

    Keywords

    Economic Growth and Innovation; Canadian workers; business investment per worker;

    JEL classification:

    • E22 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Investment; Capital; Intangible Capital; Capacity
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity

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