Inequality in Canada: Separating Fact From Fiction

The Conference Board of Canada, 15 pages, November 4, 2022
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Income inequality has been declining in Canada, but there’s still much room for improvement. This briefing explores ways that we can reduce income disparities.

Document Highlights

  • Despite popular belief that inequality is rising, income inequality in Canada has improved in recent years and fell sharply during the pandemic. Wealth inequality has declined dramatically over the past two decades.
  • But inequality still exists in Canada—women, racialized groups, new Canadians, and Indigenous people face tougher economic circumstances.
  • The end of pandemic supports, high inflation, and high interest rates will put pressure on inequality. Lower-income households will suffer more under these circumstances.
  • Access to health, education, and daycare contribute to reducing inequality and have helped Canada be a leader in intergenerational mobility. Inheritance taxes could improve our outcomes further.
  • A well-targeted, means-tested minimum income, distributed federally, could help efficiently alleviate income inequality among disparate groups.

Table of Contents

Key Findings
Separating Fact From Fiction
Inequality in Canada Has Declined
Room for Improvement
Rough Waters Ahead
What Else Can We Do?
Appendix A—Bibliography

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