Economy & Affordability
A Brief on 2SLGBTQI Realities and Policy in Canada
Every policy issue is a 2SLGBTQI issue.
Inclusion provides economic benefits for economies. When 2SLGBTQI individuals are denied from fully participating in society due to their identity, research has shown that this exclusion negatively affects a country’s economic development and prosperity (Badgett et al., 2014). However, 2SLGBTQI individuals also benefit society when they are included in the economy through their buying power, workforce participation, and tourism (Badgett et al., 2014). This resource highlights how 2SLGBTQI individuals navigate the economy and affordability in Canada.
Below we offer an in-depth look at how the issue of employment and affordability impacts 2SLGBTQI individuals. In particular, we discuss 2SLGBTQI individual’s diverse experiences with:
- Economic contributions
- Tourism and pride events
- Barriers to economic opportunities
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Quick Facts
- Legal rights for 2SLGBTQI people are linked to higher per capita GDP by reducing barriers to education, training, and employment (Badgett et al., 2014).
- Excluding 2SLGBTQI individuals harms economic growth and prosperity (Badgett et al., 2014).
- 2SLGBTQI consumers make up 4.4% of Canada’s $3.7 billion CAD consumer-packaged goods market (Government of Canada, n.d.).
- Pride festivals boost local economies, increasing activity by 12% in U.S. cities (2018–2023), with similar growth in Canada (Lyft, 2024).
- The global 2SLGBTQI tourism market is worth $12 billion CAD, and Canada markets itself as an inclusive destination (CGLCC, n.d.).
- Barriers like financial insecurity, mental health struggles, and workplace discrimination limit 2SLGBTQI potential (Rodomar et al., 2024).
- During the onset of COVID-19, 53% of 2SLGBTQI households faced job losses or reduced hours, compared to 39% of all Canadian households (Egale Canada, 2020).
Further Reading on this Topic
The Context of Economy and Affordability Issues in Canada, Explained
The Canadian economy is a diverse and resource-rich system. As one of the world’s largest economies, Canada benefits from its vast reserves of oil, natural gas, minerals, and timber, which contribute significantly to its GDP and exports. Additionally, Canada has robust manufacturing, technology, and service industry sectors, which together account for a large portion of the country’s GDP (Government of Canada, 2025).
Canada’s economy operates with a high level of decentralization, meaning that provincial and territorial governments have considerable power over key economic policies, particularly when it comes to managing resources and infrastructure (Government of Canada, 2021). The federal government oversees national economic matters, such as trade, monetary policy, and taxation, while provincial governments handle issues like healthcare, education, and social programs.
Trade plays a crucial role in Canada’s economy. While Canada has strong trade relations with many countries, the United States remains Canada’s largest trading partner, with trade agreements like the Canada-United States-Mexico Agreement (CUSMA) further solidifying this economic bond (Government of Canada, 2024). However, this relationship is currently volatile, with the United States waging a trade war against Canada that will have far-reaching economic impacts on both sides of the border.
Affordability has become a growing concern across the country, particularly for housing, food, and everyday expenses. The rising cost of living has outpaced wage growth, making it increasingly difficult for many people in Canada to afford basic necessities (Paas-Lang, 2022). Inflation has significantly impacted the affordability of basic needs, such as food, transportation, and utilities (Evans, 2022; The Canadian Press, 2025). The cost of groceries has surged due to supply chain disruptions, climate-related factors, and corporate price increases. Many individuals in Canada are now turning to food banks at unprecedented rates, highlighting the growing challenge of food insecurity (Food Banks Canada, n.d.). Additionally, gas prices and public transit costs have increased, placing further strain on low- and middle-income households (Walter, 2024). While federal and provincial governments have implemented temporary relief measures, such as grocery rebates and fuel subsidies, long-term solutions are needed to ensure financial stability for vulnerable populations.
Egale Canada’s Economy and Affordability-Related research
- Working for Change: Understanding the employment experiences of Two Spirit, Trans, and nonbinary people in Canada
- Second National Report: Impact of COVID-19 on Canada’s LGBTQI2S Community
- Queering Mental Health Supports in Canada: Priorities for Research, Policy & Practice
- Housing Challenges, Barriers and Realities Among 2SLGBTQI People in Canada: A Literature Review
Others in this Series
This series A Brief on 2SLGBTQI Realities and Policy in Canada raises awareness on how key topics across Canada impact 2SLGBTQI individuals and communities in both diverse and intersecting ways. This information is broken down and offered here to support more engagement and encourage 2SLGBTQI communities to participate in these issues that impact us all. Each brief aims to empower 2SLGBTQI communities and allies to step forward and realize our society’s potential, together.