---
canonical_url: "https://csls.ca/research/can-the-canada-u-s-ict-investment-gap-be-explained-by-measurement-issues/"
title: "Can the Canada-U.S. ICT Investment Gap Be Explained by Measurement Issues?"
author:
  name: "CSLS"
  url: "https://csls.ca/author/cslc/"
date_published: "2026-07-02T13:03:47+00:00"
date_modified: "2026-07-02T13:03:47+00:00"
post_type: "research"
summary: ""
post_tag:
  - "Canada"
  - "ICT investment"
  - "industry gap"
  - "information and cultural industries"
  - "measurement"
  - "productivity"
  - "software investment"
  - "United States"
country_focus:
  - "Canada"
  - "United States"
province_region:
  - "National"
research_theme:
  - "Productivity and Economic Measurement"
  - "Technology and Innovation"
featured_image: "https://csls.ca/wp-content/uploads/2026/07/old-reports_hero_banner_bg.webp"
status: "publish"
---

# Can the Canada-U.S. ICT Investment Gap Be Explained by Measurement Issues?

Canonical URL: https://csls.ca/research/can-the-canada-u-s-ict-investment-gap-be-explained-by-measurement-issues/

# Can the Canada-U.S. ICT Investment Gap Be Explained by Measurement Issues?

[Download full PDF report](https://csls.ca/pdf/csls2013-03-1.pdf)

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Cite this report as:

Sharpe, Andrew, and Vikram Rai. 2013. “Can the Canada-U.S. ICT Investment Gap Be Explained by Measurement Issues?” CSLS Research Report 2013-03. Ottawa: Centre for the Study of Living Standards. https://csls.ca/research/can-the-canada-u-s-ict-investment-gap-be-explained-by-measurement-issues/

## Authors:

-
Andrew Sharpe
Centre for the Study of Living Standards (CSLS)

-
Vikram Rai
Centre for the Study of Living Standards (CSLS)

## Report 2013-03

May 2013 137 pages

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## Abstract

## Résumé

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In 2011, business sector investment per worker in information and communications technology (ICT) in Canada was only 57.8 per cent of the U.S. level, indicating an ICT investment per worker gap of 42.2 percentage points. Numerous explanations have been advanced to explain this gap, one of which is that the ICT investment data from Statistics Canada and the Bureau of Economic Analysis are not strictly comparable. The primary focus of this report is to analyze that hypothesis. We compare the methodology used to measure ICT investment in Canada and the United States and find that issues related to measurement account for approximately 4 percentage points (10 per cent) of the gap. Although software investment has been responsible for 90 per cent of the gap in recent years, seven out of 17 industries in Canada actually had greater investment per worker levels than the United States in both total ICT and software. A small number of ICT-intensive industries has been responsible for a substantial part of the gap. In particular, information and cultural industries accounted for 39.1 per cent of the total gap. This supports the conclusion that the Canada-U.S. ICT investment per worker gap is largely the result of industry-specific factors which affect software investment.

En 2011, l’investissement par travailleur du secteur des entreprises en technologies de l’information et des communications (TIC) au Canada ne représentait que 57,8 % du niveau américain, ce qui indique un écart d’investissement en TIC par travailleur de 42,2 points de pourcentage. De nombreuses explications ont été avancées pour expliquer cet écart, dont l’une est que les données sur l’investissement en TIC de Statistique Canada et du Bureau of Economic Analysis ne sont pas strictement comparables. Ce rapport vise principalement à analyser cette hypothèse. Nous comparons la méthodologie utilisée pour mesurer l’investissement en TIC au Canada et aux États-Unis, et constatons que les enjeux de mesure expliquent environ 4 points de pourcentage (10 %) de l’écart. Bien que l’investissement en logiciels ait été responsable de 90 % de l’écart ces dernières années, sept des 17 industries canadiennes affichaient en fait des niveaux d’investissement par travailleur supérieurs à ceux des États-Unis, tant pour l’ensemble des TIC que pour les logiciels. Un petit nombre d’industries à forte intensité de TIC est responsable d’une part importante de l’écart. En particulier, les industries de l’information et de la culture représentaient 39,1 % de l’écart total. Ce constat appuie la conclusion selon laquelle l’écart d’investissement en TIC par travailleur entre le Canada et les États-Unis résulte largement de facteurs propres à certaines industries qui influent sur l’investissement en logiciels.

[Download full PDF report](https://csls.ca/pdf/csls2013-03-1.pdf)
