Unemployment in Canada and the U.S.
Since the early 1980s, the U.S. unemployment rate has been about two percentage points lower than Canada’s. Before that time, the two countries’ unemployment rates were almost identical. The relative strength of the U.S. economy can account for its lower unemployment in the 1990s, but what might explain the differences in the previous decade?
Suggested citation: "The Canada/U.S. Exchange Rate," Federal Reserve Bank of Cleveland, Economic Trends, no. 01-03, pp. 09, 03.01.2001.