Economic Impact of the Co-operative Sector in Manitoba (2010)

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Duguid, Fiona
Karaphillis, George
Lake, Alicia
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Manitoba Co-operative Association
Co-operatives are recognized as important economic actors in the social economy in Canadian jurisdictions and throughout the world. In Manitoba co-operatives are well-recognized for their contributions to the social and economic fabric of the province, and as such, governments and other stakeholders are interested in investing in the growth of this sector. The following paper presents an analysis of the economic impact of the sector using the input/output economic model and data collected from various sources. This paper will demonstrate that the total impact of the sector in Manitoba is equal to $1.7 billion in value-added GDP, or 3.25% of the total economy. It also creates employment for almost 20,000 people in the province and contributes over $830 million in household income and over $530 million in total taxes paid. In this paper we also demonstrate that the co-operative model has been used in Manitoba to promote self-sufficiency for over a century and we draw from relevant literature examining the sector more broadly. Using longitudinal data we are able to analyze key data points in the sector over a seven year period to explore not only the changes the sector has undergone but also the stability that it presents in terms of revenues and numbers of employees. This paper fills in gaps in the knowledge of the co-op sector in Manitoba and provides policy makers and other key stakeholders’ important evidence to support their future work and research.