Comparing Canada with Sweden: energy use, population and the environment

Don Kerr, University of Western Ontario

There are many similarities between Canada and Sweden, as both are northern nations, with diverse modern economies, a relatively high standard of living and long democratic traditions. Both have witnessed substantial economic growth over recent decades, with export-oriented economies featuring a highly skilled labor force, excellent internal and external communications, a modern distribution system, and a similar industry/service breakdown in terms of employment. Yet in terms of their respective records on green house gas emissions, there is a stark contrast between the two, as Sweden is often considered a world leader in terms of reducing emissions whereas Canada has been widely criticized for its failure to meet international commitments. The current paper is one systematic attempt to delineate some of those factors responsible for the situation as observed in the two countries, while also providing some international context. More specifically, how has Canada and Sweden performed relative to elsewhere in the OECD, and what are some of the factors responsible for Sweden’s relative success and Canada’s comparative failure? In terms of methodology, this paper examines trends in environmental impact (CO2 levels) by applying a modified and updated version of what is widely known among demographers as Ehrlich’s “IPAT Equation”. Borrowing from demography and industrial ecology, IPAT is an acronym used to emphasize the utility of investigating environmental impact (I) as a direct function of population change (P), affluence (A) as well as technological change (T). Yet technology (T) is often viewed as particularly fundamental in understanding environmental impact (I), and in elaborating on this point, this paper borrows from a growing literature of energy-related carbon emission studies that extends IPAT in the decomposition of GHG emissions.