of consumption still a long way off, the demand for commodities can be expected to remain robust and prices elevated for some time. in canada, the impact of rising commodity prices has been reinforced by strong growth in the supply of some commodities. oil is now our most important commodity by value, with its share of total canadian commodity production rising over the past 15 years from 18 per cent to 46 per cent ( chart 32 ). bis central bankers ’ speeches our challenge is to develop our commodities intelligently and sustainably and to ensure that the whole country benefits. infrastructure investments in pipelines and refineries to get western heavy oil, which is trading $ 40 below the world price, to central canada and to foreign markets would bring more of the benefits of the commodity boom to more of the country. increased interprovincial trade in goods and services provides another channel to capture more of the value added from energy, mining and agriculture for all of canada. this is already happening. for most provinces, trade inside canada has continued to grow from 2007 to 2011, offsetting all or some of the weakness in international trade over the same period ( chart 33 ). resilient financial system the financial system is a critical enabler, channelling savings to productive investments and helping firms and households to manage risks. our banks withstood the 2008 financial crisis and are considerably stronger today than they were then. they have substantially lengthened liquidity horizons. they have increased their common equity capital by 77 per cent, or $ 72 billion, since the end of 2007. and, as of 10 days ago, canadian banks met the new basel iii capital requirements, well ahead of the maximum phase - in period that extends to 2019. businesses can be confident that bank funding will remain available. core funding markets are also being strengthened so that market - based finance is a resilient source of diversification and innovation in funding markets, not instability. last february, the canadian derivatives clearing corporation launched a new central counterparty service for repo transactions. canada is on track to meet the g – 20 commitments regarding the clearing of over - the - counter derivatives. in this regard, in october, canadian authorities announced that market participants will be able to clear standardized over - the - counter derivatives using any central counterparty recognized by canadian authorities, including global central counterparties. our priority is to be among the leaders in adopting new, stronger global standards and to encourage others to do the same to maintain an open and competitive global financial system.

managers in canada have a university degree, compared with almost half of american managers. 10 second, a significant body of research suggests that education improves the quality of management, and the quality of management influences investment in new technologies, in the introduction of new processes, and in the development of new markets. highly educated individuals are much more likely to be owners of high - growth innovative firms. this all points to a need for more canadian students to invest further in their education and for canadian firms to put more emphasis on skills. there is also scope to further improve the matching of workers and jobs. there is some evidence of a mismatch between the supply of graduates in certain fields and the needs of employers. in particular, canada has a disproportionately large share of university graduates in the bottom - earning quartile relative to other oecd countries. in addition, canada ’ s employment rate for university graduates is below the oecd average. this underscores the importance of the dialogue between industry, labour and educational institutions to ensure that workers have the skills employers are seeking. it also points to the need to continue to eliminate differences in occupational licensing and other barriers to inter - provincial migration. data on vacancies end in 2003. d. amirault, d. de munnik and s. miller, “ what drags and drives mobility : explaining canada ’ s aggregate migration patterns, ” working paper no. 2012 – 28, bank of canada, 2012. oecd economic surveys, canada june 2012. institute for competitiveness and prosperity, “ management matters, ” working paper no. 12, march 2009 ; n. bloom, “ management and productivity in canada : what does the evidence say? ” industry canada, working paper no. 2011 – 05. bis central bankers ’ speeches privileged global access to capital access to capital has rarely, if ever, been better in canada, both on an absolute scale and relative to our competitors. corporate bond yields in canada are at record lows ( chart 26 ). our surveys of banks and businesses suggest that business - lending conditions have continued to ease almost without interruption since late 2009 ( chart 27 ). our economic advantages have made canada an attractive investment destination and a rare safe haven in a risky world. this status is reflected in the behaviour of canadian 10 - year yields, which tend to decline at the same time as risky assets such as global equity prices. the correlation suggests that money flows into canadian bonds in response to increases in