Soccer is very different animal.. I just googled the nations in bottom 40
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Those are all good teams. None of them would get blown out 20-0 by
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Those top 7 would be favorites but I doubt you'd even see a 5-0 score.
Now hockey has their top 5 which are the only nations with any hope of Gold.
Here is the bottom 40 in hockey:
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I can't even picture what those Canada vs Thailand games would look like.
The problem there is that there are only 50 countries that play hockey (52 played in the 2019 World Championships; 42 at the 2019 World Juniors), while some 200 play football. So to get a more reasonable comparison one should scale it down, in this case by a factor of 4 (as that is how many more multiples play football). This would mean looking at the those roughly in 10th place, which would be teams like Austria, Belarus, Latvia, Kazakhstan, Norway, and Denmark.
All of those teams have played at the top level of the World Juniors in the past decade, and while they were clearly not equal to the top teams, some of them did manage to stay there for more than one year. At the same time it would not be unexpected to see them all put up a 10 goal loss against Canada, and indeed some of them did that, too.
But there is definitely a wide discrepancy in the talent in hockey, but at least in the Division IA level (where these teams would have played this year), it is getting very competitive, and anyone of them can be expected to move up. They are all slowly getting better, too, and are clearly above the Division IB level (which had Estonia, France, Japan, Poland, Slovenia, and Ukraine scheduled this year), and are showing that they can at least put up against the lower-ranked top level teams (like Switzerland, Slovakia, Germany). It takes time, but hopefully they keep moving in this direction, as it will make the tournament better.