Microeconomics,, 16th Canadian Edition

(Sean Pound) #1

Canadians with more years of education earn more than those with less
education. With each increase in the level of educational achievement
there is a considerable increase in average income.


(www.statcan.gc.ca.)Source: Based on data from the 2016 Census, available on Statistics Canada’s website,


Evidence suggests that in recent years the demand for workers with more
skills and education has been rising relative to the demand for those with
less. As a result, earnings of high-skilled workers have been rising relative
to those of low-skilled workers. As we will see in this chapter’s final
section, such changes in the structure of labour demand offer a partial
explanation of rising income inequality.


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