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77

This methodology is applied for each of ten different scenarios which differ based on
assumptions related to the shares of the population in each educational category (educational
profile), the average employment income of Aboriginal Canadians in each educational category,
and the employment rates of the Aboriginal population in each educational category. These
assumptions are summarized in Table 22 and explained in Box 1. Employment income for
Aboriginal Canadians in 2001 was estimated to be $7,716 million, corresponding to a GDP of
$15,432 million (assuming employment income represents roughly half of GDP30). The
aboriginal working age population in 2001 was 715,500 individuals, and this number is expected
to grow to 1,013,900 by 2017, due to the higher fertility level of Aboriginal Canadians.

Table 22: Summary of Different Assumption Sets for Aboriginal Income and Productivity Projections
in 2017

Assumptions

Scenario

Share of Aboriginal
Population in Each
Educational Category

Aboriginal Average Income
Increase Given Education

Aboriginal Employment
Rate Given Education

Base Scenario 1

Increase with average wage

Level of Aboriginal

2001 Share of the

growth

Employment Rate in 2001

Base Scenario 2

Aboriginal Population

Level of Non-Aboriginal

Level of Non-Aboriginal

Income in 2017

Employment Rates in 2001

3

Increase with average wage

Level of Aboriginal

growth

Employment Rate in 2001

4

Half of the Gap Between the
Aboriginal and Non-

Increase with average wage
growth

Level of Non-Aboriginal
Employment Rates in 2001

5

Aboriginal Education in
2001 is Eliminated

Level of Non-Aboriginal
Income in 2017

Level of Aboriginal
Employment Rate in 2001

6

Level of Non-Aboriginal

Level of Non-Aboriginal

Income in 2017

Employment Rates in 2001

7

Increase with average wage

Level of Aboriginal

growth

Employment Rate in 2001

8

Complete Gap Between the
Aboriginal and Non-

Increase with average wage

Level of Non-Aboriginal

growth

Employment Rates in 2001

9

Aboriginal Education in
2001 is Eliminated

Level of Non-Aboriginal
Income in 2017

Level of Aboriginal
Employment Rate in 2001

10

Level of Non-Aboriginal

Level of Non-Aboriginal

Income in 2017

Employment Rates in 2001

30 In 2006, nominal labour compensation in Canada was $737 million and total nominal GDP was $1,446 million,
with the former representing 51 per cent of the latter. The ratio was 50.5 per cent in 2005, 50.7 per cent in 2004 and
51.2 per cent in 2003.



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