Canada

Populations in OECD and emerging economies are ageing rapidly, which will have significant macroeconomic impacts, including on public expenditures and tax revenues. The rules and practices that govern fiscal relations among different levels of government, such as their responsibilities for taxation, spending and debt management, have a bearing on economic efficiency and ultimately growth. The consequences of population ageing at subnational government levels are especially intense. Many local governments are vulnerable to the ageing of their populations from a fiscal perspective. The economic and fiscal challenges of an ageing population go beyond intergovernmental boundaries, and they require complex intergovernmental policy responses. This volume brings together cross-country studies of fiscal policy, demographics and spatial productivity, as well as country studies of Brazil, Canada, China and Germany.

It is increasingly understood that entrepreneurship plays a critical role in economic growth and well-being. But which policies can governments develop to release its benefits? This publication offers guidance and inspiration. It identifies the range of entrepreneurship policies being pursued internationally, the problems the policies seek to solve and how they are designed and implemented. The focus is on how to create a broad base of start-ups with the potential for sustainability and growth by building a pipeline of new entrepreneurs, supporting start-ups to overcome barriers in areas such as skills, finance and innovation and stimulating vibrant entrepreneurial ecosystems. The publication examines the rationale for entrepreneurship policy, presents a typology of policy approaches and highlights principles for policy success. The points are illustrated by 16 case studies of inspiring practice policies from 12 OECD countries. These cases span policies for regulations and taxation, entrepreneurship education and training, advice and coaching, access to finance, internationalisation, innovation, and holistic packages for ecosystem building. Helpful summary tables guide readers to the information that will respond to their questions. The publication will give readers an overview of key entrepreneurship policy interventions and tips on entrepreneurship policy success.

COVID-19 has led to a labour market shock in Canada and is likely to generate a profound reflection on production and consumption habits. COVID‑19 is also likely to accelerate automation as firms look to new technologies to pandemic proof their operations. While automation offers the opportunity to boost productivity, it can also create losers as vulnerable workers who lose jobs may not have the skills needed in a changing labour market. This OECD report examines the potential impacts of automation on people and places across Canada with a special focus on the Province of Ontario. It also sheds light on policies and programmes that can help regions and cities to prepare for the future of work.

The design of intergovernmental fiscal relations can help to ensure that tax and spending powers are assigned in a way to promote sustainable and inclusive economic growth. Decentralisation can enable sub-central governments to provide better public services for households and firms, while it can also make intergovernmental frameworks more complex, harming equity. The challenges of fiscal federalism are multi-faceted and involve difficult trade-offs. This synthesis paper consolidates much of the OECD’s work on fiscal federalism over the past 15 years, with a particular focus on OECD Economic Surveys. The paper identifies a range of good practices on the design of country policies and institutions related strengthening fiscal capacity delineating responsibilities across evels of government and improving intergovernmental co-ordination.

Canada’s Constitution Act (1982) recognises three Indigenous groups: Indians (now referred to as First Nations), Inuit, and Métis. Indigenous peoples make a vital contribution to the culture, heritage and economic development of Canada. Despite improvements in Indigenous well-being in recent decades, significant gaps remain with the non-Indigenous population. This study focuses on four priority issues to maximise the potential of Indigenous economies in Canada. First, improving the quality of the statistical framework and the inclusion of Indigenous peoples in the governance of data. Second, measures to improve the fairness and transparency for how Indigenous peoples can secure land tenure and the use of tools and such as land use planning to use it to promote community economic development. Third, promoting entrepreneurship so Indigenous peoples can use assets and resources in ways that align with their objectives for development. Fourth, implementing an approach to governance that adapts policies to places, and empowers Indigenous institutions and communities.

This report looks at a range of key labour market, economic and social indicators related to Canada’s growing Indigenous population, which comprises First Nations, Inuit and Métis. In 2016, there were over 1.6 million Indigenous People in Canada, accounting for 4.9% of the total population, which is a significant increase from 3.8% in 2006. The report looks at the implementation of the federal government’s Indigenous Skills and Employment Training Strategy through in-depth analysis across four case study areas, including 1) the Centre for Aboriginal Human Resources and Development in Winnipeg, Manitoba; 2) Community Futures Treaty Seven in Calgary, Alberta; 3) MAWIW Council in Fredericton, New Brunswick; and 4) Kiikenomaga Kikenjigewen Employment and Training Services (KKETS) in Thunder Bay, Ontario. The report highlights critical success factors to better link Indigenous People to high quality jobs while also providing recommendations regarding future labour market and skills programming for Indigenous People in Canada.

SMEs and entrepreneurs make an important contribution to the Canadian economy. SMEs account for 60% of total employment, and Canada performs very well across many measures of small business generation, growth and innovation. However, further increases in productivity in medium-sized firms, an increase in SME exports, a greater business start-up rate and an increased number of high-growth firms could bring substantial benefits for the national economy.This report identifies several areas where new policy approaches could help achieve these objectives. Framework conditions for small business could be improved in business taxation, public procurement, access to financing and the commercialisation of research. New and extended programmes could be introduced in domains including entrepreneurship education, management advice and consultancy, and workforce skills development. A major effort is recommended to prioritise women's entrepreneurship, including by supporting social enterprises, and federal support could be offered to support the exchange of information on best practice SME regulations and programmes among provinces and territories. All this could be brought together and co-ordinated through the umbrella of a national strategy and a lead agency for SME and entrepreneurship policy. 

Montreal has huge potential to become one of the most dynamic cities across OECD countries, thanks to its talented and creative population. Yet the city has not demonstrated outstanding results in terms of job creation and collective wealth generation in the past few years. This report examines this paradox and suggests new strategies to improve local outcomes in terms of employment, innovation and skills, and to boost inclusive economic growth and innovation across the Quebec metropolis.

This report looks at a range of local employment and economic development issues in Saskatchewan and the Yukon, Canada, with a focus on indigenous peoples. The report provides a comparative framework to understand the role of the local level in contributing to more and better quality jobs, and practical recommendations to help federal, provincial/territorial, and local policy makers in Canada build effective and sustainable partnerships that join-up efforts across employment, training, and economic development policies. Co-ordinated policies can help workers find suitable jobs, while also stimulating entrepreneurship and productivity, which increases the quality of life and prosperity within a community as well as throughout the country.