Canada  

Canadian workers have access to a very high level of physical capital. The economy benefits from low rates of unemployment and inflation. Furthermore, very low lending and borrowing margins together with extremely low level of non-performing loans suggest high efficiency in the banking sector. The domestic savings rate is around 25% of GDP, which is average by global standards. Canada ranks in the top ten countries in terms of household expenditure rate as a percentage of GDP, which suggests a thriving domestic market. Despite Canada’s vast natural resources, the economy avoids dependence on raw material exports. Canada also has very low export revenues relative to the cost of the goods it imports. However, foreign direct investment is moderately strong at 8% of GDP.

Canada has an excellent technological infrastructure for business: internet bandwidth and the number of secure servers are very high, and personal computer ownership is the highest in the world at approximately 94 personal computers per 100 people. Just two formal procedures are required to start a business, thereby encouraging entrepreneurship, and 194,000 new Canadian enterprises were started in 2007, the sixth highest in the world. Canada achieves a high score for the value added in its service industry, and it ranks in the top 10 countries for royalty receipts, suggesting that Canadian companies are able to commercialise their intellectual property. Canada’s score is lowered by its very low levels of high-tech and ICT exports, which rank the country around 30th in both variables. Spending on R&D is 1.9% of GDP, which places Canada just outside the top 10 nations on this variable.

Canadians enjoy unconstrained civil liberties and the right to participate in political processes. Canada scores the highest possible mark for democracy, reflecting the existence of healthy political debate and constraints upon executive power. There is a high level of competition among political parties in both the legislative and executive branches of government, and the transfer of power between parties is carried out in an orderly way. The judiciary is highly independent from political interference. Canada’s current political settlement has lasted for over a century, making it the fifth most stable country for that variable.

The Canadian education system has particular strength in primary and secondary school enrolment where levels for both are the sixth highest in the world. The ratio of girls to boys enrolled in school is 98 to 100. Primary school education also benefits from a very high ratio of one teacher to every 17 pupils. Although an average of five years of secondary education per worker places Canada only 64th in the index, with an average of over four years of tertiary education per worker, Canada’s workforce is highly qualified. Canada’s tertiary education per worker ranks on a par with its 62% enrolment rate in tertiary education, thus placing this nation within the top 25 according to these variables. Education spending per pupil is $10,443, ranking the country 13th in the world on this variable.

Canada achieves strong results across a range of health variables. Its health-adjusted life expectancy of 72 years is in the top 10 for that measure. A very high 85% of Canadians express satisfaction with their personal health,* very few are malnourished, and less than 20% indicate problems with their health.* Canadians report an average level of rest and experience low levels of pain,* Infant mortality is just 5 per 1,000 births, and the qualities of both water and sanitation are very high. Despite high numbers of doctors and nurses in the health system, the number of hospital beds per capita is only 41st in the world.

Canada faces few or no security challenges related to refugees or grievances by oppressed social groups, and no human flight from degrading or dangerous conditions. There are no casualties due to civil war and no problems with political imprisonment or torture of politically active citizens by the state. Levels of theft and murder are low, and only 2% reported being assaulted in 2008.* Unsurprisingly, over three-quarters of Canadians feel safe walking the streets at night.*

Canada’s government implements policy effectively and ensures a high quality of regulation. The judicial system effectively upholds the rule of law. Over three-quarters of Canadians have a high degree of confidence in their military, while two-thirds deem elections honest and fair.* Surprisingly, while 51% consider the government to be corrupted, only 37% believe that businesses cannot be trusted.* Canadians can also freely choose their political leaders and are able to impact processes that determine their laws.

In terms of overall freedom, Canada is ranked third. Reported levels of tolerance for ethnic minorities and for immigrants are the highest in the world.* Canada also gains the highest possible score for freedom of movement, religion, and speech. More than nine out of 10 Canadians are satisfied with their freedom of choice in daily life.*

Although only about 39% of Canadians think that other people can be trusted, other measures of social capital are much stronger. A high number report that friends are important to them, and 95% believe that they can rely on their friends and family in times of need.* Nearly two-thirds have donated to charity in 2008, and levels of volunteering and helping strangers are in the top 10 in the world.* Canadians report low levels of religious belief and observance.* However, social networks are strengthened through family ties, with over half of the population reporting being married.*

* Data taken from the Gallup World Poll

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