The Macroeconomics of Canadian Space

Policy Brief No. 240

June 25, 2026

Canada needs access to space. Over 20 percent of the Canadian economy is reliant on space capabilities; losing access to space could result in the loss of $1 billion per day for Canadians. But while many Canadians have a passing understanding of the role of space in economy and defence, it seems that neither the average Canadian nor the Canadian government fully grasps how substantial space truly is to Canada’s activities and sovereignty.

S. Mike Pavelec argues that Canada must retain its access to space through improving, expanding and investing in national sovereign space capabilities, producing a positive economic and intellectual feedback loop for both Canadian economics and Canadian sovereignty.

About the Author

S. Mike Pavelec currently teaches sessional classes at McGill University and is an advisor for the 3 Canadian Space Division for strategy and policy.