TD Economics report: The impact the digital divide could have on Canadian cities

TD Economics recently published its report, titled: The Digital Divide Between Canadian Cities: Labour market dynamics and regional inequality, measuring how the digital economy has shaped income and employment opportunities in the U.S. and the potential for similar challenges and opportunities for Canadian cities. Below is a summary of that report. The full report can be found here.


In this report, we look at whether Canadian cities are succumbing to the forces that led to regional disparity between American cities. The shift to a highly digitalized world risks exacerbating the divergence in income and job opportunities between regions.

This has been most pronounced in the U.S., where superstar cities that attract highly paid tech workers leave their smaller counterparts further and further behind. There is less evidence that Canada reflects the regional inequality that has come to mark the U.S. experience, but Canada is developing fertile ground.

Watch a video of Beata Caranci, Chief Economist and Senior Vice-President of TD Bank Group, describe how the tech industry is impacting labour markets on both sides of the border and how Canadian cities can create opportunities around this sector.

Beata Caranci

Senior Vice President and Chief Economist

TD Bank Group