Figure12-8Actual and Potential Output from 1980 to 2011 This figure shows Canada’s actual aggregate output and potential output from 1980 to 2011. The orange line shows the estimates of potential output made by the office of the Parliamentary Budget Officer. The blue line shows actual aggregate output. The purple-shaded years are periods in which actual aggregate output fell below potential output, and the green-shaded years are periods in which actual aggregate output exceeded potential output. As shown, significant shortfalls occurred in the recessions of the early 1980s and the early 1990s. Actual aggregate output was significantly above potential output in the boom of the late 1980s and in 2000, and a huge shortfall occurred after the recession of 2008-2009.
Sources: Parliamentary Budget Officer (PBO); Statistics Canada.