Canada's Standard of Living Stagnates as Gap with US Widens

A new study by the Fraser Institute has found that Canada's standard of living has 'largely stagnated' over the past quarter-century, falling further behind the United States. The report compared real GDP per person in both countries from 1999 to 2024 and found a significant gap, with Canada lagging behind the U.S. by $23,757 in 2024.

The study noted that the steepest decline occurred after 2014, when Canada's real GDP per person as a share of the U.S. economy fell from 83.1% to 71.5%. The authors concluded that this reflects the fact that per-person GDP growth in Canada largely stagnated during this time, while growth continued in the U.S. at a strong pace.

According to the report, GDP per person in Canada grew just 3.2% from 2014 to 2024, compared to 20.1% in the U.S. Jake Fuss, co-author of the study, stated that 'it's abundantly clear Canadian policymakers have failed to create an environment where we can prosper.'