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  • Articles and reports: 11-626-X2014038
    Description:

    This article in the Economic Insights series describes the results of a data linkage project that created experimental long-term estimates of firm entry and exit rates for the Canadian business sector. It is part of a series of papers that examines firm dynamics using micro-economic data.

    Release date: 2014-08-25

  • Articles and reports: 11F0027M2014091
    Geography: Canada
    Description:

    This paper uses data from Statistics Canada's Longitudinal Employment Analysis Program database to study the distribution of annual employment growth rates in Canada over the 2000-to-2009 period, with a special emphasis on firms in the tails of the distribution, referred to here as High-Growth Firms (HGFs) and Rapidly Shrinking Firms (RSFs).

    The study has three objectives. First, it describes the distributions of employment growth rates in Canada to see whether they are consistent with observations in other countries. Second, it quantifies the contribution of HGFs and RSFs to aggregate job creation and destruction. The third objective is to examine, using quantile regression techniques, the role of firm size and firm age in the performance of HGFs and RSFs.

    Release date: 2014-05-15

  • Articles and reports: 11F0027M2014092
    Geography: Province or territory
    Description:

    Using data from the Provincial KLEMS database, this paper asks whether provincial economies have undergone structural change in their business sectors since 2000. It does so by applying a measure of industrial change (the dissimilarity index) using measures of output (real GDP) and hours worked. The paper also develops a statistical methodology to test whether the shifts in the industrial composition of output and hours worked over the period are due to random year-over-year changes in industrial structure or long-term systematic change in the structure of provincial economies. The paper is designed to inform discussion and analysis of recent changes in industrial composition at the national level, notably, the decline in manufacturing output and the concomitant rise of resource industries, and the implications of this change for provincial economies.

    Release date: 2014-05-07

  • Articles and reports: 15-206-X2014033
    Description:

    This paper examines and compares labour productivity in Canada and the United States for small and large firms over the period from 2002 to 2008. It quantifies the relative importance of small and large firms in Canada and the United States and measures the relative productivity levels of small versus large firms.

    Small firms are relatively more important in the Canadian economy. Small firms are less productive than large firms in both countries. But the productivity disadvantage of small relative to large firms was higher in Canada.

    The paper provides an estimate of the impact that these differences have on the gap in productivity levels between Canada and the United States. It first estimates the changes that would occur in Canadian aggregate labour productivity if the share of hours worked of large firms in Canada was increased to the U.S. level. It then quantifies the impact of increasing the relative productivity of small to large firms in Canada up to the relative productivity ratio of small firms to large firms that existed in the United States.

    Together, decreasing the relative importance of small firms in the economy and increasing their relative productivity compared to large firms accounts for most of the gap in productivity levels between Canada and the United States in 2002. However, changes in the economy that occurred between 2002 and 2008 reduced the contribution of the small-firm sector to the gap in productivity levels.

    Release date: 2014-01-08
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  • Articles and reports: 11-626-X2014038
    Description:

    This article in the Economic Insights series describes the results of a data linkage project that created experimental long-term estimates of firm entry and exit rates for the Canadian business sector. It is part of a series of papers that examines firm dynamics using micro-economic data.

    Release date: 2014-08-25

  • Articles and reports: 11F0027M2014091
    Geography: Canada
    Description:

    This paper uses data from Statistics Canada's Longitudinal Employment Analysis Program database to study the distribution of annual employment growth rates in Canada over the 2000-to-2009 period, with a special emphasis on firms in the tails of the distribution, referred to here as High-Growth Firms (HGFs) and Rapidly Shrinking Firms (RSFs).

    The study has three objectives. First, it describes the distributions of employment growth rates in Canada to see whether they are consistent with observations in other countries. Second, it quantifies the contribution of HGFs and RSFs to aggregate job creation and destruction. The third objective is to examine, using quantile regression techniques, the role of firm size and firm age in the performance of HGFs and RSFs.

    Release date: 2014-05-15

  • Articles and reports: 11F0027M2014092
    Geography: Province or territory
    Description:

    Using data from the Provincial KLEMS database, this paper asks whether provincial economies have undergone structural change in their business sectors since 2000. It does so by applying a measure of industrial change (the dissimilarity index) using measures of output (real GDP) and hours worked. The paper also develops a statistical methodology to test whether the shifts in the industrial composition of output and hours worked over the period are due to random year-over-year changes in industrial structure or long-term systematic change in the structure of provincial economies. The paper is designed to inform discussion and analysis of recent changes in industrial composition at the national level, notably, the decline in manufacturing output and the concomitant rise of resource industries, and the implications of this change for provincial economies.

    Release date: 2014-05-07

  • Articles and reports: 15-206-X2014033
    Description:

    This paper examines and compares labour productivity in Canada and the United States for small and large firms over the period from 2002 to 2008. It quantifies the relative importance of small and large firms in Canada and the United States and measures the relative productivity levels of small versus large firms.

    Small firms are relatively more important in the Canadian economy. Small firms are less productive than large firms in both countries. But the productivity disadvantage of small relative to large firms was higher in Canada.

    The paper provides an estimate of the impact that these differences have on the gap in productivity levels between Canada and the United States. It first estimates the changes that would occur in Canadian aggregate labour productivity if the share of hours worked of large firms in Canada was increased to the U.S. level. It then quantifies the impact of increasing the relative productivity of small to large firms in Canada up to the relative productivity ratio of small firms to large firms that existed in the United States.

    Together, decreasing the relative importance of small firms in the economy and increasing their relative productivity compared to large firms accounts for most of the gap in productivity levels between Canada and the United States in 2002. However, changes in the economy that occurred between 2002 and 2008 reduced the contribution of the small-firm sector to the gap in productivity levels.

    Release date: 2014-01-08
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