Canada's Economic Face

Question 1

The world is entering the Fourth Industrial Revolution meaning the emphasis of what

Answer 1

technologies, robotics and artificial intelligence

Question 2

what is the primary sector in the industrial structure

Answer 2

resource extraction (minerals, farming, fishing and logging)

Question 3

what is the secondary sector in the industrial structure

Answer 3

construction and
manufacturing (e.g., processing of extracted
resources for commercial sale)

Question 4

what is the teriary sector in the industrial structure

Answer 4

services, ranging from
cashiers to health-care workers, truckers, and
computer programmers

Question 5

what is the quaternary sector in the industrial structure

Answer 5

high-end knowledgebased workers and decision-makers

Question 6

what are Spending strategies to stimulate the economy

Answer 6

defence; infrastructure; financial support to major manufacturers

Question 7

super cycle theory

Answer 7

based on two premises

1) that demand will tend to outstrip supply thus keeping prices high
2) global economic downturn demand from industrializing countries will keep price declines to a minimum

Question 8

GDP (Gross domestic product)

Answer 8

total dollar value of all goods and services

produced over a year

Question 9

NAFTA

Answer 9

The North American Free Trade Agreement (NAFTA) is a pact eliminating most trade barriers between the U.S., Canada, and Mexico that went into effect on January 1, 1994

Question 10

Factors contributing to high levels of trade between

Canada and the US:

Answer 10

o Continentalism
o Complimenting economies
o Trade agreements
o North-south transportation system

Question 11

Although exports are significant, manufacturing has

suffered a steady decline over the last decade. Why?

Answer 11

• Canada has higher wages than most other countries
• Automation has displaced workers.
• Outsourcing sees jobs move overseas
• Offshore relocation moves jobs out of the country
• A high Canadian dollar (until 2014) made exports more expensive

Question 12

The Canada-US Auto Pact (1965)

Answer 12

led to the integration of the Canadian and US auto industries in a shared North American market. While it brought great benefits to Canada, it was eventually found to be contrary to international trade rules and was cancelled in 2001. By then it had accomplished its biggest goal — an integrated North American industry with a much stronger Canadian presence.

Question 13

Which two events reduced Canada’s

manufacturing advantage:

Answer 13

o NAFTA (1994) brought Mexico into the
North America market
o the WTO ruled that the Auto Pact gave
Canada an unfair trade advantage with the
US and so the Auto Pact ended in 2001

Question 14

What economic change offers to offset manufacturing decline

Answer 14

the change of a traditional economy to a knowledge based economy

Question 15

The creative class exists prioritizes what

Answer 15

innovation and scientific research

Question 16

Canada’s six regions are placed in

one of four categories

Answer 16

• The core (Ontario and Québec)
• Rapidly growing (British Columbia
and Western Canada)
• Slow-growing (Atlantic Canada)
• Resource frontier (Territorial North)

Question 17

Equalization Payments

Answer 17

o Designed to ensure a reasonable
degree of economic equality
o Creates “have” and “have-not”
provinces
o Two core regions (Ontario and
Québec) are “have-not” provinces
o Currently the highest equalization
payments (by far) goes to Québec