Published on July 31, 2012
Canada’s Economy Grew 0.1 Per Cent in May 2012
According to Statistics Canada, the country’s real gross domestic product (GDP)1 grew by 0.1 per cent in May 2012 compared to the previous month. This was its third consecutive monthly increase after rising by 0.3 per cent in April and posting a small increase in March (+0.1 per cent). As was the case in the previous month, the construction (-0.1 per cent) and manufacturing (-0.3 per cent) sectors posted decreases but these drops were offset by increased activity in the mining and oil-and-gas extraction sector (+0.6 per cent), in the retail trade sector (+0.7 per cent) and in the finance and insurance sector (+0.5 per cent).
Source: Statistics Canada
To consult the official Statistics Canada release, click here.
1Data presented here is seasonally adjusted data
Details About Canada’s and Québec’s GDP
The Gross Domestic Product (GDP) measures the total wealth produced within a territory during a given period. Changes in the GDP are generally considered as the main measure of economic growth.
GDP figures can be presented in two different ways: as nominal GDP, which takes into account price movements, or as real GDP, which excludes price movements. We prefer data presented in real terms, as it isolates changes in the level of output.
Statistics Canada is responsible for publishing GDP figures for Canada (on a monthly basis), while the Institut de la statistique du Québec (ISQ) is responsible for publishing GDP figures for Québec. Data for Canada is available with two months of delay and provincial data is available with three months of delay.
The technical definition of a recession is two consecutive quarters of GDP decline.
In 2010, Québec’s GDP represented more than 20 per cent of Canada’s total GDP.
Gross Domestic Product and the Resale Market in Québec
As a general indicator of the health of Canada’s and Québec’s economy, changes in GDP strongly influence the real estate market. In particular, its impact is felt in terms of changes in income and the labour market situation. In the medium- to long-term, strong economic growth generally translates into the creation of many jobs, which is a determining factor in the level of activity on the resale market.