OECD says Canada Growing Re-Orientation Needed

Filed in archive Economic Outlook on June 28, 2006

Over the last decade I have stated that the Federal and Provincial Governments of Canada are unprepared for the significant demographic shift that is upon us. Business owners are already feeling the impact of the looming staffing crisis. Now the Organisation for Economic Co-operation and Development (OECD) identified the same concern in their Economic Survey of Canada 2006.

Canada's economic performance has been excellent in almost all respects and Canadians continue to enjoy among the highest living standards in the OECD. The economy is undergoing significant structural change in response to soaring commodity prices, expanding oil and gas production and exchange rate appreciation and has so far shown a remarkable capacity to adjust.

Looking ahead, the key challenges for all levels of government will be to lift productivity growth and to maintain sustainable fiscal and social policies to deal with the pressures arising from population aging. Some broad re-orientations of policy should underpin the strategy.

Major Recommendations

1. Improve the overall business environment.
2. Foster innovation.
3. Ensure fiscal arrangements are efficient.
4. Tackle disadvantage and strengthen social development.

Economic Survey of Canada 2006 - Table of Contents

You can get the PDF report by clicking this link.

Chapter 1: Managing the challenges ahead
Chapter 2: Improving the business environment
Chapter 3: Innovation and economic performance
Chapter 4: Adapting fiscal policy and financial arrangements in the federation
Chapter 5: Social policies: from social welfare to social development