The richest group of Canadians increased their share of total national income while poor and middle-income individuals lost ground since 1993, according to The Conference Board of Canada's How Canada Performs analysis of income inequality. Even though income levels for the poorest group of Canadians also rose, albeit minimally, the gap between the rich and poor in Canada widened.
"While the poor are minimally better off in an absolute sense, they are significantly worse off in a relative sense," said Anne Golden, President and CEO of the Conference Board. "High inequality raises two questions. First, what is the impact on the economic well-being of a country? The answer is that high inequality can diminish economic growth if it means that the country is not fully using the skills and capabilities of all its citizens or if it undermines social cohesion, leading to increased social tensions. Second, high inequality raises a moral question about fairness and social justice."
