EXCERPTS

The Canadian economy is doing very well, but the new Tory government may be off-track in some of its policies, says an international economic agency.

In its annual report on Canada, issued Monday, the Organization for International Co-operation and Development said the economy is among the strongest in the world.
But it said there are challenges ahead as the population ages and the economy shifts its footing.

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The report touches on a variety of issues, some of which could be political dynamite. Among other things, it proposes:

- Having children start school as early as age three. "The available evidence indicates that early education provides a significantly higher social return than post-secondary education."

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The OECD acts as a forum where governments can compare policies, seek answers to common problems and co-ordinate domestic and international problems.

Its members include most of the European economies, plus Turkey, Canada, the United States, Mexico, Australia, Japan and South Korea.

- reprinted from the Globe and Mail