The Canadian economy has advanced in the classification issued by the Conference Board of Canada, but it is especially benefitting from the decline of other countries studied.
Canada has maintained its B grade and ranks 6th in the ranking published by the Conference Board of Canada. In 2008 before the crisis, its economy placed 11th out of the 16 countries studied. The growth is there, however some results are weak in comparison with more prosperous economies such as Norway or Australia. This is especially due to the financial instability that the European Union has experienced in recent times.
Per capita income lagging
Aside from inflation which gets an A grade, most Canadian economic indicators get a B grade, for GDP growth, labour productivity growth and the unemployment rate. But the general grade is weakened by direct foreign investment which gets a D for incoming and a C for outgoing, as well as per capita income which gets a C. On this last parameter, Canada ranks in 8th place (the same ranking that it had in 2008), with per capita income of $36,138 in US Dollars, or $12,000 less than in Norway, which ranks first. The report also emphasizes the widening gap in this area with the United States. Today, Canadian per capita income represents 84% of that found with its neighbour. This difference is partly due to the low labour productivity in Canada.
Natural comparison with the G7 members
But how has the Canadian economy been doing for 40 years? It went from grade B in the 1970s and 1980s to grade C in the 1990s, before returning to a grade B in the 2000s and in 2010. In the light if the latest published data, Canada would do well to take as an example the non-members of the G7 if it wishes to reach the famous grade A. The five best rated economies are not actually a part.
2012 ranking
1. Norway (A); 2. Australia (A); 3. Belgium (B); 4. United States (B); 5. Austria (B); 6. Canada (B); 7.Sweden (C); 8. Switzerland (C); 9. Denmark (C); 10. Germany (C); 11. Japan (C); 12. Finland (D); 13. Netherlands (D); 14. Untied Kingdom (D); 15. France (D); 16. Ireland (D)