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Population Boom Masks Lingering Productivity Concerns in Canada

  • Economists puzzle over persistent lack of efficiency gains
  • A strong labor force nevertheless continues to drive growth
Inside The WS & Co. Apparel Production Facility Ahead Of Canada Day
Photographer: Brent Lewin/Bloomberg

Canada’s immigration-driven population boom gets credit for driving employment gains, bolstering housing markets and keeping the nation’s expansion running.

But it’s also masking a deeper economic problem that will hamper the nation’s long-term growth: sluggish productivity gains.