With the rise of the knowledge economy, the location of highly skilled people has become an important factor in foreign direct investment decisions. On that basis, Canada may have something to offer within the global supply chains of multinational enterprises. However, it is not alone, and other countries such as the United States and those in Europe can be strong contenders. Furthermore, the number of highly skilled people in China and India is being noticed by multinational enterprises, and these countries will increasingly join others in the competition for FDI seeking top talent.
Canada has the highest level of working-age adults with post-secondary qualifications among the OECD countries.8 However, it has a lower proportion of graduates in engineering and science than do the European countries. Canada also has a much lower percentage of working-age adults with university degrees than does the United States. And it is not a top performer in postgraduate degrees. Overall, Canada does have a highly skilled workforce, but it may not have the level of competencies required to be a high valued-added producer.