--- canonical_url: "https://csls.ca/research/productivity-trends-a-canada-u-s-comparison/" title: "Productivity Trends: A Canada-U.S. Comparison" author: name: "CSLS" url: "https://csls.ca/author/cslc/" date_published: "2026-07-02T14:09:46+00:00" date_modified: "2026-07-14T00:33:42+00:00" post_type: "research" summary: "" post_tag: - "1990s" - "Canada-US comparison" - "GDP per capita" - "labour productivity" - "macroeconomic performance" - "manufacturing productivity" - "output per hour" - "productivity gap" - "structural factors" country_focus: - "Canada" - "United States" province_region: - "National" research_theme: - "Productivity and Economic Measurement" featured_image: "https://csls.ca/wp-content/uploads/2026/07/old-reports_hero_banner_bg.webp" status: "publish" --- # Productivity Trends: A Canada-U.S. Comparison Canonical URL: https://csls.ca/research/productivity-trends-a-canada-u-s-comparison/ # Productivity Trends: A Canada-U.S. Comparison [Download full PDF report](https://csls.ca/pdf/csls1999-01.pdf) Cite this report × Cite this report as: Centre for the Study of Living Standards. 1999. “Productivity Trends: A Canada-U.S. Comparison.” CSLS Research Report 1999-01. Ottawa. https://csls.ca/research/productivity-trends-a-canada-u-s-comparison/ ## Author: - Centre for the Study of Living Standards (CSLS) Centre for the Study of Living Standards (CSLS) ## Report 1999-01 January 1999 6 pages ## Related research [Productivity: Key to Economic Success Centre for the Study of Living Standards (CSLS) March 1998 | Report 1998-01 | 99 pages](https://csls.ca/research/productivity-key-to-economic-success/) [New Estimates of Manufacturing Productivity Growth for Canada and the United States Andrew Sharpe March 1999 | Report 1999-02 | 21 pages](https://csls.ca/research/new-estimates-of-manufacturing-productivity-growth-for-canada-and-the-united-states/) [The Canada-U.S. Income Gap Centre for the Study of Living Standards (CSLS) June 2000 | Report 2000-01 | 6 pages](https://csls.ca/research/the-canada-u-s-income-gap/) [A Comparison of Canadian and U.S. Labour Market Performance, 1989-2000 Andrew Sharpe April 2001 | Report 2001-01 | 29 pages](https://csls.ca/research/a-comparison-of-canadian-and-u-s-labour-market-performance-1989-2000/) [Productivity Trends in the Construction Sector: A Case of Lagging Technical Progress Centre for the Study of Living Standards (CSLS) November 2001 | Report 2001-03 | 177 pages](https://csls.ca/research/productivity-trends-in-the-construction-sector-a-case-of-lagging-technical-progress/) [Raising Canadian Living Standards: A Framework for Discussion Centre for the Study of Living Standards (CSLS) October 2002 | Report 2002-td | 56 pages](https://csls.ca/research/raising-canadian-living-standards-a-framework-for-discussion/) [Productivity Trends in Natural Resources Industries in Canada Centre for the Study of Living Standards (CSLS) February 2003 | Report 2003-01a | 69 pages](https://csls.ca/research/productivity-trends-in-natural-resources-industries-in-canada/) [An Analysis of Productivity Trends in the Forest Products Sector in Canada Centre for the Study of Living Standards (CSLS) February 2003 | Report 2003-01b | 64 pages](https://csls.ca/research/an-analysis-of-productivity-trends-in-the-forest-products-sector-in-canada/) [Why Are Americans More Productive Than Canadians? Andrew Sharpe June 2003 | Report 2003-03 | 83 pages](https://csls.ca/research/why-are-americans-more-productive-than-canadians/) [Productivity Growth and Poverty Reduction in Developing Countries Centre for the Study of Living Standards (CSLS) September 2003 | Report 2003-06 | 70 pages](https://csls.ca/research/productivity-growth-and-poverty-reduction-in-developing-countries/) ## Abstract ## Résumé EN FR Copy link Email LinkedIn This article examines Canada’s productivity performance relative to the United States in the 1990s. In 1997, GDP per person employed in Canada was 80.3 per cent of the U.S. level, and growth in output per worker over the 1990s (0.8 per cent per year) lagged behind the United States (1.0 per cent per year). Canada’s relative productivity performance in manufacturing was even worse, with output per hour falling from 78.3 per cent of the U.S. level in 1989 to 71.7 per cent in 1997. The article considers two hypotheses to explain this deterioration: structural factors (low R&D, poor literacy, high taxes) and weak macroeconomic performance. It concludes that a pro-growth approach that is pro-technology, pro-investment, and pro-education is the best avenue to productivity improvement. Cet article examine la performance de la productivité du Canada par rapport aux États-Unis dans les années 1990. En 1997, le PIB par personne employée au Canada s’établissait à 80,3 % du niveau américain, et la croissance de la production par travailleur au cours des années 1990 (0,8 % par année) accusait un retard par rapport aux États-Unis (1,0 % par année). La performance relative du Canada en matière de productivité dans le secteur manufacturier était encore plus défavorable, la production par heure travaillée ayant chuté de 78,3 % du niveau américain en 1989 à 71,7 % en 1997. L’article examine deux hypothèses pour expliquer cette détérioration : les facteurs structurels (faibles dépenses en R-D, faible littératie, fiscalité élevée) et la faible performance macroéconomique. Il conclut qu’une approche axée sur la croissance, favorable à la technologie, à l’investissement et à l’éducation, constitue la meilleure voie pour améliorer la productivité. [Download full PDF report](https://csls.ca/pdf/csls1999-01.pdf)