Real production and real income growth over the COVID-19 pandemic

The COVID-19 pandemic affected the Canadian economy in numerous ways, one of which was changing the relationship between growth in production, and changes in real consumption and real gross fixed capital formation (GFCF). Typically, real consumption and real GFCF are expected to progress similarly t...

Full description

Saved in:
Bibliographic Details
Main Authors: Sean Clarke, Ryan Macdonald
Format: Article
Language:English
Published: Statistics Canada 2023-04-01
Series:Economic and Social Reports
Subjects:
Online Access:https://www150.statcan.gc.ca/n1/pub/36-28-0001/2023004/article/00004-eng.htm
Tags: Add Tag
No Tags, Be the first to tag this record!
_version_ 1850027014991380480
author Sean Clarke
Ryan Macdonald
author_facet Sean Clarke
Ryan Macdonald
author_sort Sean Clarke
collection DOAJ
description The COVID-19 pandemic affected the Canadian economy in numerous ways, one of which was changing the relationship between growth in production, and changes in real consumption and real gross fixed capital formation (GFCF). Typically, real consumption and real GFCF are expected to progress similarly to real gross domestic product (GDP), however during the period covered by the COVID-19 pandemic, real consumption and real GFCF grew at a stronger pace than real GDP. This article illustrates how examining real income rather than real production can address this paradox. Specifically, the roles of changes in production (the use of capital, labour and multifactor productivity used to produce real GDP) and changes in non-production sources of real income growth (the trading gain and net income from abroad) are examined.
format Article
id doaj-art-468eee9e64354d3cb80ecbeee25c848e
institution DOAJ
issn 2563-8955
language English
publishDate 2023-04-01
publisher Statistics Canada
record_format Article
series Economic and Social Reports
spelling doaj-art-468eee9e64354d3cb80ecbeee25c848e2025-08-20T03:00:21ZengStatistics CanadaEconomic and Social Reports2563-89552023-04-0130410.25318/36280001202300400004-engReal production and real income growth over the COVID-19 pandemicSean ClarkeRyan MacdonaldThe COVID-19 pandemic affected the Canadian economy in numerous ways, one of which was changing the relationship between growth in production, and changes in real consumption and real gross fixed capital formation (GFCF). Typically, real consumption and real GFCF are expected to progress similarly to real gross domestic product (GDP), however during the period covered by the COVID-19 pandemic, real consumption and real GFCF grew at a stronger pace than real GDP. This article illustrates how examining real income rather than real production can address this paradox. Specifically, the roles of changes in production (the use of capital, labour and multifactor productivity used to produce real GDP) and changes in non-production sources of real income growth (the trading gain and net income from abroad) are examined.https://www150.statcan.gc.ca/n1/pub/36-28-0001/2023004/article/00004-eng.htmCOVIDCOVID 19CoronaCoronavirusCorona virusNovel coronavirus
spellingShingle Sean Clarke
Ryan Macdonald
Real production and real income growth over the COVID-19 pandemic
Economic and Social Reports
COVID
COVID 19
Corona
Coronavirus
Corona virus
Novel coronavirus
title Real production and real income growth over the COVID-19 pandemic
title_full Real production and real income growth over the COVID-19 pandemic
title_fullStr Real production and real income growth over the COVID-19 pandemic
title_full_unstemmed Real production and real income growth over the COVID-19 pandemic
title_short Real production and real income growth over the COVID-19 pandemic
title_sort real production and real income growth over the covid 19 pandemic
topic COVID
COVID 19
Corona
Coronavirus
Corona virus
Novel coronavirus
url https://www150.statcan.gc.ca/n1/pub/36-28-0001/2023004/article/00004-eng.htm
work_keys_str_mv AT seanclarke realproductionandrealincomegrowthoverthecovid19pandemic
AT ryanmacdonald realproductionandrealincomegrowthoverthecovid19pandemic