The Canadarm robotic manipulator in action on Space Shuttle Discovery during the STS-116 mission in 2006. (Image credit: Wikimedia Commons/NASA)

Canada may have been ranked as the 14th globally competitive economy by the World Economic Forum (WEF), but Canadians aren't happy about it. For one, it just maintained status quo from last year. Moreover, the government hardly spends on research and development.

"Canada's competitive position has stagnated. A closer look at the results shows that we are getting worse on several factors that do not bode well for our economic and social well-being," Michael Bloom, vice president of organizational effectiveness and learning at the Conference Board of Canada, said.

Canada may be faring well in education, financial and labour markets, as well as aided by its strong institutions, but these aren't enough proofs to say that it is, indeed, a globally competitive economy.

"When it comes to business innovation, Canada is seriously underperforming," Mr Bloom said. Canada used to occupy the ninth slot way back in 2009.

"Canada actually fell four places in factors related to innovation and business sophistication, and that's a real concern. As a developed country, Canada's economic competitiveness is largely innovation-driven."

The World Economic Forum ranks Canada as the 14th globally competitive economy. So what? (Image credit: weforum.org)

For a country's economy to be considered really globally competitive it must not only embody strong institutions but also more than enough innovations, according to Klaus Schwab, executive chairman of the WEF.

According to Mr Schwab, innovation has become "even more critical in terms of an economy's ability to foster future prosperity."

He added that in the future, "the traditional distinction between countries being 'developed' or 'less developed' will gradually disappear and we will instead refer to them much more in terms of being 'innovation rich' vs. 'innovation poor' countries."

Innovation in countries will be well boosted if business, government and civil society all work together, Mr Schwab noted.

The World Economic Forum ranks Canada as the 14th globally competitive economy. So what? (Image credit: weforum.org)

"Playing catch-up is not a winning formula - it is a path to mediocrity," a Conference Board report said, titled "Canada's Competitiveness and Innovation Doldrums."

"Canada needs to focus its attention on blazing new trails that foster competitiveness and enhance its innovation and commercialization performance to create value-added growth and economic and social benefits."