---
canonical_url: "https://csls.ca/research/new-evidence-on-the-canada-u-s-ict-investment-gap-1976-2014/"
title: "New Evidence on the Canada-U.S. ICT Investment Gap, 1976-2014"
author:
  name: "CSLS"
  url: "https://csls.ca/author/cslc/"
date_published: "2026-07-02T12:48:47+00:00"
date_modified: "2026-07-02T12:48:47+00:00"
post_type: "research"
summary: ""
post_tag:
  - "Canada"
  - "computer hardware"
  - "ICT investment"
  - "investment gap"
  - "post-recession"
  - "productivity"
  - "software"
  - "telecommunications"
  - "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"
---

# New Evidence on the Canada-U.S. ICT Investment Gap, 1976-2014

Canonical URL: https://csls.ca/research/new-evidence-on-the-canada-u-s-ict-investment-gap-1976-2014/

# New Evidence on the Canada-U.S. ICT Investment Gap, 1976-2014

[Download full PDF report](https://csls.ca/pdf/csls2016-17-1.pdf)

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Cite this report as:

Thomas, Jasmin. 2016. “New Evidence on the Canada-U.S. ICT Investment Gap, 1976-2014.” CSLS Research Report 2016-17. Ottawa: Centre for the Study of Living Standards. https://csls.ca/research/new-evidence-on-the-canada-u-s-ict-investment-gap-1976-2014/

## Author:

-
Jasmin Thomas
Centre for the Study of Living Standards (CSLS)

## Report 2016-17

December 2016 44 pages

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## Abstract

## Résumé

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Productivity growth results in part from investment in information and communications technologies (ICT). To better understand Canada’s poor productivity growth relative to the United States since 2000, this report provides a detailed examination of ICT investment trends in the two countries. The report finds that real ICT investment in the total economy in Canada has yet to recover from the 2008-2009 recession, while it has not suffered the same fate south of the border. Between 2008 and 2014 real ICT investment in Canada fell 1.0 per cent per year, compared to a 2.9 per cent per year increase in the United States. The gap was even greater for real ICT investment per job, down 1.8 per cent per year in Canada versus a 2.8 per cent annual increase in the United States. The weaker ICT investment growth in Canada resulted in a large increase in the Canada-US ICT investment gap from 31.6 percentage points to 43.7 points, as nominal ICT investment per job fell from 68.4 per cent of the US level in 2008, the highest value ever achieved, to 56.3 per cent in 2014.

La croissance de la productivité découle en partie de l’investissement dans les technologies de l’information et des communications (TIC). Afin de mieux comprendre la faible croissance de la productivité du Canada par rapport aux États-Unis depuis 2000, ce rapport propose un examen détaillé des tendances de l’investissement en TIC dans les deux pays. Le rapport constate que l’investissement réel en TIC dans l’ensemble de l’économie canadienne ne s’est toujours pas remis de la récession de 2008-2009, alors que ce n’est pas le cas au sud de la frontière. Entre 2008 et 2014, l’investissement réel en TIC a reculé de 1,0 % par année au Canada, comparativement à une hausse de 2,9 % par année aux États-Unis. L’écart était encore plus marqué pour l’investissement réel en TIC par emploi, en baisse de 1,8 % par année au Canada, comparativement à une hausse annuelle de 2,8 % aux États-Unis. La croissance plus faible de l’investissement en TIC au Canada a entraîné une forte augmentation de l’écart Canada-États-Unis en matière d’investissement en TIC, qui est passé de 31,6 à 43,7 points de pourcentage, l’investissement nominal en TIC par emploi étant passé de 68,4 % du niveau américain en 2008 — la valeur la plus élevée jamais atteinte — à 56,3 % en 2014.

[Download full PDF report](https://csls.ca/pdf/csls2016-17-1.pdf)
