Shocking Aspects of Canadian Labor Markets
30 Pages Posted: 17 May 2006
Date Written: March 2006
We analyze the flexibility of the Canadian labor market across provinces in both an inter- and intra-national context using macroeconomic data on employment, unemployment, participation, and (for Canada) migration and real wages. We find that Canadian labor markets respond in a similar manner to their U.S. counterparts and are more flexible than those in major euro area countries. Within Canada, the results indicate that labor markets in Ontario and provinces further west are more flexible, particularly with regard to migration, while those further east are less so.
Keywords: Labor market, migration, economic flexibility
JEL Classification: E24, J21, J61
Suggested Citation: Suggested Citation