Alberta experienced largest economic decline during pandemic’s first year, Quebec saw sharpest employment decline

In 2020, Alberta experienced an estimated 8 per cent drop in real GDP (the value of all goods and services produced, adjusted for inflation) followed by Quebec and Newfoundland and Labrador (each falling by more than 5 per cent) and Ontario (about 5 per cent). The Atlantic provinces and British Columbia, on the other hand, were hit less hard with real GDP declines of between 3 per cent and 4 per cent. In 2021, Quebec, B.C. and Ontario experienced the biggest economic rebounds, with real GDP growing more than six per cent respectively followed by Alberta and Saskatchewan (more than 5 per cent). On the employment front, during the first few months of the pandemic (January 2020 to April 2020), Quebec experienced the largest drop in employment levels at approximately 19 per cent. More broadly, from January 2020 to January 2022, Newfoundland and Labrador, Prince Edward Island, New Brunswick and Quebec experienced the steepest drop in employment levels followed by Ontario and Saskatchewan. Nova Scotia, Manitoba, Alberta and B.C. experienced more modest employment declines. “The economic costs of COVID will likely be long-lasting as Canada struggles to fully recover,” Di Matteo said. Media Contact: Livio Di Matteo, Senior Fellow, Fraser Institute To arrange media interviews or for more information, please contact: Mark Hasiuk, Fraser Institute mark.hasiuk@fraserinstitute.org