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Satellite account of non-profit institutions and volunteering
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Economic output in the core non-profit sector increased 4.7% in 2005, slower than the 6.5% growth in the nation's economy as a whole.
Chart 1
Growth of gross domestic product
Gross domestic product (GDP) in the core non-profit sector, which typically comprises smaller, heterogeneous organizations, amounted to $31.0 billion in 2005. The core non-profit sector accounted for 2.4% of the nation's economic activity.
The main factor that contributed to the slower growth in the core non-profit sector was a slowdown in paid compensation for employees. Paid labour compensation increased 3.9% in 2005, compared with a 4.4% increase the year before.
Core non-profit sector playing growing role in society
The core non-profit sector accounted for 33.1% of economic activity in the overall non-profit sector in 1997; by 2005, this share had increased to 35.6%.
During this nine-year period, economic activity in the core non-profit sector increased at an annual average rate of 7.0%, compared with 5.8% for the economy as a whole.
Note to readersFor the purposes of the satellite account of non-profit institutions and volunteering, the overall non-profit sector is split into two groups. The first consists of a diverse range of generally smaller organizations, known as the "core non-profit sector." They operate in many fields and play an increasingly important role in society. The second consists of hospitals (including residential care facilities), universities and colleges, which account for the bulk of non-profit economic activity. These typically large organizations are classified within the government sector in the standard Canadian System of National Accounts. Separate estimates (for both the standard economic accounts and the non-market extension) are available for the overall non-profit sector and the core non-profit sector. Gross domestic product is shown by primary area of industrial activity according to the International Classification of Non-profit Organizations. Estimates are presented in nominal terms. All growth rates are calculated using nominal (current) values, that is, not adjusted for inflation. |
Hospitals, universities and colleges account for nearly two-thirds of economic activity in the overall non-profit sector. Between 1997 and 2005, their economic activity increased at an annual average rate of 5.5%. In 2005, their GDP totalled $56.0 billion.
Social services, and development and housing contribute the most to core non-profit GDP
The social services group accounted for 24.0% of core non-profit GDP in 2005, still the highest share of any group in the sector. This group led all other contributors during the entire nine-year period.
The development and housing group has consistently held second place, followed by culture and recreation; religion; business and professional associations; and "other health" groups.
These six fields of activity accounted for 79.2% of the core segment GDP in 2005, compared with 83.2% in 1997.
The composition of the core non-profit sector by field of activity remained relatively stable over the period. However, the share of social services, development and housing, and other education and research has advanced.
Chart 2
Distribution of GDP by area of activity: core non-profit sector
On the other hand, the share held by "other health" organizations, religion, and business and professional associations has declined.
Core non-profit sector boosts overall revenue growth
Between 2004 and 2005, revenues in the core non-profit sector advanced 7.2% to $68.8 billion. This surpassed the increase of 5.7% in revenues in the hospitals, universities and colleges group. The strong performance of the core sector was largely the result of stronger average growth in each source of revenue, except transfers from households and investment income.
In 2005, sales of goods and services accounted for 46.4% of the total revenue in the core non-profit sector. These sales have been, by far, the most important source of revenue in the core sector throughout the period. Government transfers accounted for 20.3% of total revenue.
In addition to these funds, core non-profit organizations derived roughly one-third of their revenue from three additional sources: membership fees (15.4%), donations from households (12.0%) and investment income (4.0%).
Core non-profit organizations remained the main recipients of transfers from households, receiving 89.4% of these donations in 2005. Donations from households to core non-profit organizations increased 4.7% in 2005.
Available on CANSIM: tables 388-0001 to 388-0004.
Definitions, data sources and methods: survey number 1901.
The full report Satellite Account of Non-profit Institutions and Volunteering, 1997 to 2005 (13-015-XWE, free), is now available from the Publications module of our website.
For more information, or to enquire about the concepts, methods or data quality of this release, contact the information officer (613-951-3640; iead-info-dcrd@statcan.gc.ca), Income and Expenditure Accounts Division.
