---
canonical_url: "https://csls.ca/research/explaining-canadas-falling-hdi-ranking-over-time-a-true-decline-or-a-statistical-artifact/"
title: "Explaining Canada&#8217;s Falling Human Development Ranking Over Time: True Decline or Statistical Artifact?"
author:
  name: "shomp"
  url: "https://csls.ca/author/shomp/"
date_published: "2025-10-01T10:00:00+00:00"
date_modified: "2026-07-16T15:37:14+00:00"
post_type: "research"
summary: "Canada's Human Development Index ranking has fallen behind globally, but the decline is less dramatic than commonly understood."
post_tag:
  - "Canada"
  - "education"
  - "GNI per capita"
  - "HDI"
  - "Human Development Index"
  - "life expectancy"
  - "ranking decline"
  - "UNDP"
country_focus:
  - "Canada"
province_region:
  - "National"
research_category:
  - "Well-being"
research_theme:
  - "Economic Well-Being"
  - "Productivity and Economic Measurement"
featured_image: "https://csls.ca/wp-content/uploads/2025/10/CSLS-Research-Report-2025-02-Cover-Image.webp"
status: "publish"
---

# Explaining Canada’s Falling Human Development Ranking Over Time: True Decline or Statistical Artifact?

Canonical URL: https://csls.ca/research/explaining-canadas-falling-hdi-ranking-over-time-a-true-decline-or-a-statistical-artifact/

# Explaining Canada’s Falling Human Development Ranking Over Time: True Decline or Statistical Artifact?

[Download full PDF report](https://csls.ca/pdf/csls2025-02-1.pdf)

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Cite this report as:

Shariati, Alisaleh. 2025. “Explaining Canada’s Falling Human Development Ranking Over Time: True Decline or Statistical Artifact?” CSLS Research Report 2025-02. Ottawa: Centre for the Study of Living Standards. https://csls.ca/research/explaining-canadas-falling-hdi-ranking-over-time-a-true-decline-or-a-statistical-artifact/

## Author:

-
Alisaleh Shariati
Centre for the Study of Living Standards (CSLS)

## Report 2025-02

October 2025 42 pages

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## Abstract

## Résumé

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Canada’s position in the United Nations Human Development Index (HDI) has slipped from 3rd in 1990 to 16ᵗʰ in 2023, when the latest report was released in 2025. This 13‑place decline occurred even though Canada’s absolute HDI score continued to improve. Using the UNDP’s revised HDI series, national Labour Force Survey (LFS) enrolment data and counterfactual growth scenarios, this report decomposes Canada’s deteriorating position. Data issues in UNESCO’s “expected years of schooling” series explain roughly two‑fifths of the rank loss and replacing the apparent mismeasured values with LFS‑based estimates narrows the 1990‑2023 drop from 13 to 8 places because of a lower ranking in 1990 instead of the 3rd. The remaining three‑fifths reflects genuine underperformance. Canada’s life‑expectancy rank fell from 7ᵗʰ to 18ᵗʰ, while its real GNI‑per‑capita rank hovered near 25ᵗʰ as both variables lagged the OECD average growth in that period. These findings demonstrate that measurement errors have distorted Canada’s HDI performance over time. However, correcting them is only a partial remedy; regaining Canada’s 1990s HDI ranking will ultimately require faster progress in health outcomes and income growth.

Le rang du Canada dans l’Indice de développement humain (IDH) des Nations Unies est passé du 3e rang en 1990 au 16e rang en 2023, selon le rapport le plus récent publié en 2025. Ce recul de 13 places s’est produit même si le score absolu de l’IDH du Canada a continué de s’améliorer. À l’aide de la série révisée de l’IDH du PNUD, de données sur les inscriptions de l’Enquête sur la population active (EPA) et de scénarios de croissance contrefactuels, ce rapport décompose la détérioration du classement du Canada. Des problèmes de données dans la série du « nombre attendu d’années de scolarité » de l’UNESCO expliquent environ les deux cinquièmes de la perte de rang, et le remplacement des valeurs apparemment mal mesurées par des estimations fondées sur l’EPA réduit le recul de 1990 à 2023 de 13 à 8 places, en raison d’un classement plus bas en 1990 plutôt que du 3e rang. Les trois cinquièmes restants reflètent une sous-performance réelle. Le classement du Canada en matière d’espérance de vie est passé du 7e au 18e rang, tandis que son classement pour le revenu national brut réel par habitant est demeuré près du 25e rang, ces deux variables accusant un retard par rapport à la croissance moyenne de l’OCDE durant cette période. Ces résultats démontrent que des erreurs de mesure ont faussé la performance du Canada à l’IDH au fil du temps. Toutefois, leur correction n’apporte qu’un remède partiel; pour retrouver le classement du Canada des années 1990, il faudra en définitive des progrès plus rapides en matière de résultats de santé et de croissance du revenu.

[Download full PDF report](https://csls.ca/pdf/csls2025-02-1.pdf)
