Basic Economy In Canada

Basic Economy In Canada

Canada is a resource rich country, but according land and people are poor. While physically vast, there are geographic limitations on where people can live such that most population is located on Greek Lakes, and on Saint Lawerence River Valley. This meant, that natural resources throughout the country can be exploited more fully. Canada’s basic economy is its role as a resourcebase, not only for its own manufacturing, but for export as well. Minerals are ore, forestry products, and in particular twentieth century, oil and gas, have been the foundation of Canadian economy since European conquest of the  area.

Farming is the key for Canadian economy, although most of Canada’s agricultural production is exported, primarily though not exclusively, to the United States. This function is on scale of agricultural production is in relation to smallness of the Canadian population. Very few Canadians produce at the subsistence level, so few in fact is one of the Canadian agricultural production is for sale. Equally important, Canadian production is nt sold by producers to consumers but rather through a network of secondary distributors. Manufacturing in Canada is dominated by automobile production, and by the manufacture of the other large equipment and farm equipment. Canada produces a wide range of consumer products, including furniture, electronics and building material. The largest area of economic growth in Canada since 1970 has been in the “service” sector, the part of the economy which provides services rather than goods for sale. The financial research and tourist sectors have shown increases during this period.

Canada exports their material all around the world, but its most important trading partner is U.S. In recent states Canada has a slight balance of trade advantage with all its trading partners, including the United States, by exporting more goods than it imports from others. A manufacturing and export of large equipment, and in popular equipment is the largest second component of Canadian manufacturing and trade.

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