--- canonical_url: "https://csls.ca/ipm-archive/ipm-issue-45/recent-productivity-trends-in-canada-navigating-the-twin-transitions-of-green-and-digitalization/" title: "Recent Productivity Trends in Canada: Navigating the Twin Transitions of Green and Digitalization" author: name: "CSLS" url: "https://csls.ca/author/cslc/" date_published: "2026-07-13T08:15:02+00:00" date_modified: "2026-07-17T09:22:44+00:00" post_type: "ipm" summary: "" ipm_issue_period: - "Fall 2023" ipm_keyword: - "AI" - "Canada" - "clean technology" - "digitalization" - "G7" - "green transition" - "ICT" - "ISED" - "Porter hypothesis" - "productivity" - "R&D" - "twin transitions" ipm_research_theme: - "Technology and innovation" ipm_country_focus: - "Canada" - "G-7" - "International" featured_image: "https://csls.ca/wp-content/uploads/2026/06/IPM_50_banner.webp" status: "publish" --- # Recent Productivity Trends in Canada: Navigating the Twin Transitions of Green and Digitalization Canonical URL: https://csls.ca/ipm-archive/ipm-issue-45/recent-productivity-trends-in-canada-navigating-the-twin-transitions-of-green-and-digitalization/ # Recent Productivity Trends in Canada: Navigating the Twin Transitions of Green and Digitalization [Download full PDF article](https://csls.ca/wp-content/uploads/2026/07/IPM-Issue-45-4-Barr-Foltin-Tang.pdf) Cite this article × Cite this article as: Barr, Jonathan, Peter Foltin, and Jianmin Tang. 2023. “Recent Productivity Trends in Canada: Navigating the Twin Transitions of Green and Digitalization.” International Productivity Monitor, No. 45 (Fall 2023): 93–119. https://csls.ca/ipm-archive/ipm-issue-45/recent-productivity-trends-in-canada-navigating-the-twin-transitions-of-green-and-digitalization/ ## Authors: - Jonathan Barr Innovation, Science and Economic Development Canada - Peter Foltin Innovation, Science and Economic Development Canada - Jianmin Tang Innovation, Science and Economic Development Canada ## IPM Issue 45 Fall 2023 pp. 93–119 ## Related IPM articles [The Relationship between Efficiencies Defenses for Mergers and TFP Growth Robin Shaban Fall 2025 | IPM Issue 49 | pp. 82–102](https://csls.ca/ipm-archive/ipm-issue-49/the-relationship-between-efficiencies-defenses-for-mergers-and-tfp-growth/) [Adult Skills and Productivity: New Evidence from PIAAC 2023 Dan Andrews, Balázs Égert, Christine de La Maisonneuve Fall 2025 | IPM Issue 49 | pp. 41–63](https://csls.ca/ipm-archive/ipm-issue-49/adult-skills-and-productivity-new-evidence-from-piaac-2023/) [Appendix: Variable Definitions and Country/Sector Coverage for Regulatory Reform Analysis Gilbert Cette, Jimmy Lopez, Giuseppe Nicoletti, Océane Vernerey Fall 2025 | IPM Issue 49 | pp. 1–18](https://csls.ca/ipm-archive/ipm-issue-49/appendix-variable-definitions-and-country-sector-coverage-for-regulatory-reform-analysis/) [The Potential Impact of Pro-competitive Regulatory Reforms on Productivity and Growth in Canada Gilbert Cette, Jimmy Lopez, Giuseppe Nicoletti, Océane Vernerey Fall 2025 | IPM Issue 49 | pp. 3–40](https://csls.ca/ipm-archive/ipm-issue-49/the-potential-impact-of-pro-competitive-regulatory-reforms-on-productivity-and-growth-in-canada/) [IPM Issue 49 Editors’ Overview Andrew Sharpe, Bart van Ark, Paul Schreyer Fall 2025 | IPM Issue 49 | pp. 1–2](https://csls.ca/ipm-archive/ipm-issue-49/) [Appendix: UK Productivity Growth Rates Across Data Vintages and Studies Josh Martin Spring 2025 | IPM Issue 48 | pp. 65–73](https://csls.ca/ipm-archive/ipm-issue-48/appendix-uk-productivity-growth-rates-across-data-vintages-and-studies/) [Opportunities and Risks of Artificial Intelligence for Productivity Francesco Filippucci, Peter Gal, Katharina Laengle, Matthias Schief, Filiz Unsal Spring 2025 | IPM Issue 48 | pp. 1–26](https://csls.ca/ipm-archive/ipm-issue-48/opportunities-and-risks-of-artificial-intelligence-for-productivity/) [IPM Issue 48 Editors’ Overview Andrew Sharpe, Bart van Ark, Paul Schreyer Spring 2025 | IPM Issue 48 | pp. 1–2](https://csls.ca/ipm-archive/ipm-issue-48/) [Using Ecosystem Accounting to Integrate the Environment in Measures of Multifactor Productivity Carl Obst Fall 2024 | IPM Issue 47 | pp. 87–108](https://csls.ca/ipm-archive/ipm-issue-47/using-ecosystem-accounting-to-integrate-the-environment-in-measures-of-multifactor-productivity/) [Eroding Natural Capital: An Alternative Explanation for the Secular Decline in Productivity Growth Christina Caron Fall 2024 | IPM Issue 47 | pp. 109–147](https://csls.ca/ipm-archive/ipm-issue-47/eroding-natural-capital-an-alternative-explanation-for-the-secular-decline-in-productivity-growth/) ## Abstract ## Résumé EN FR Copy link Email LinkedIn Canada, like other countries, is undergoing an economic transformation as a result of the green and digital transitions. These megatrends create new challenges and opportunities for productivity growth. The green transition could place downward pressure on productivity growth given the current structure of the Canadian economy. That said, the Porter Hypothesis posits that well-formulated environmental regulations can actually spur innovation, which can in turn stimulate productivity. Canada’s ICT and digitally intensive sectors have seen strong productivity growth since 2000, but Canada’s overall performance in digitally- and R&D-intensive sectors trails other G7 countries. Embracing emerging clean and digital technologies and helping small and medium-sized business adopt them remain important issues to help unlock new productivity opportunities in Canada. Le Canada, comme d’autres pays, subit une transformation économique résultant des transitions verte et numérique. Ces mégatendances créent de nouveaux défis et opportunités pour la croissance de la productivité. La transition verte pourrait exercer une pression à la baisse sur la croissance de la productivité compte tenu de la structure actuelle de l’économie canadienne. Cela dit, l’hypothèse de Porter postule que des réglementations environnementales bien formulées peuvent en réalité stimuler l’innovation, qui à son tour peut stimuler la productivité. Les secteurs canadiens des TIC et à forte intensité numérique ont connu une forte croissance de la productivité depuis 2000, mais la performance globale du Canada dans les secteurs à forte intensité numérique et en R-D est en retrait par rapport aux autres pays du G7. [Download full PDF](https://csls.ca/wp-content/uploads/2026/07/IPM-Issue-45-4-Barr-Foltin-Tang.pdf)