Skip to main content

Coming off some fairly crummy Canadian first-quarter gross domestic product figures, it seems fitting (if a tad premature) to ask that timeless question of economics and investing: Is there really a "recession-proof" business sector out there? In Canada, the answer would appear to be yes – and it comes in two-fours.

Bloomberg News charts wiz Ilan Kolet posted this chart on his Twitter feed this week, illustrating that Canadian beer and wine sales have continued to march upward, regardless of economic boom or bust. When other retail sales took a recessionary nosedive in 2008-09, the beverages kept right on chuggin'.

Really, really big government

If you're not a fan of big government, you won't like this: A new study says Canada's governments control almost two-thirds of the national economy.

The study, written by former Statistics Canada chief economic analyst Phillip Cross and published this week by Ottawa-based think tank the Macdonald-Laurier Institute, combines three measures of government's influence over the economy: its direct spending as a share of total gross domestic product, the portion of the economy that is controlled (either in its prices or its output) by government regulation, and the government's so-called "tax expenditures" (various tax breaks the government gives for spending on certain activities it favours).

It found that in addition to the 44 per cent of GDP provided by public sector spending, tax expenditures account for 10.1 per cent of GDP, while regulated industries make up another 10.5 per cent. In total, then, the government has direct influence over just under two-thirds of all Canadian GDP.

The OECD's green gauge

How is Canada (or any other country, for that matter) measuring upon the greenhouse gas gauge? This interactive web page from the Organization for Economic Co-operation and Development makes for quick graphical comparisons. Just click on the country you like and get an instant comparison (to other countries and the OECD average) on CO2 emissions in total, per capita and relative to gross domestic product, from 1990 to present. You can quickly see that Canada hasn't done great relative to the OECD average; but if you want to feel good about Canada's direction, just check out the China charts.

Working hard, or hardly working?

Is ours the hardest-working generation ever? Hardly.

Yes, the combination of a harsh labour market, and mobile technology that serves as a 24/7 tether to the workplace, might make it feel that way. But Duncan Stewart, director of technology, media and telecommunications research at Deloitte Canada, wrote in his personal blog last week that the data simply don't support the feeling. Average annual work hours have been in a steady decline for decades across a wide range of advanced economies, ranging from 10.5 per cent in the United States since 1950 to more than 40 per cent in Germany. Directly comparable data for Canada weren't available, but he found that the Canadian average working hours have fallen 18 per cent since 1961. Why? Mr. Stewart attributes it to technological advances that have lightened our workload.

To quote: The Great Emancipator scores political pints

"I am a firm believer in the people. If given the truth, they can be depended upon to meet any national crisis. The great point is to bring them the real facts, and beer." – Abraham Lincoln

Interact with The Globe