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Ryerson University
GEO 505
Sue Laskin

1 GEO 505 FINAL EXAM NOTES Geographic Frameworks Regional Concept: an area of the earth’s surface defined by its distinctive human or natural characteristics Four Faultlines (Bone) 1. French/ English 2. Centralist/ Decentralist  BC: Root of the faultline lies in the provinces perceived lack of power within Confederation; On the one hand, BC’s population continues to grow rapidly, yet this has not been fully recognized by political representation in the House of Commons (number of members in the house of commons grew to 36 in 2008 but is this a fair number)  BC has 13% of the population and should therefore have 40 members 3. Aboriginal/ Non-Aboriginal: found across every region  ON: “ring of fire”—mineral found in the North (Thunder Bay) when companies where looking for diamonds; is one of North America’s biggest deposits of chromite, used in stainless steel. Also rich in nickel, copper and platinum; problem: there were already occupants of the land Aboriginals and First Nations (Mattawa); as a result, Bob Rae became the chief negotiator for the Mattawa First Nations because he wanted to develop economic partnerships and create jobs for the Aboriginal people and protect the land he said environmental sustainability and infrastructure, such as roads to link isolated communities also a key issue; this was there chance to do it right and were ready to do so because saw the disasters of the faultline Implications:  QC: James Bay Project calls for the production of hydroelectricicity from all rivers that flow into James Bay; involves 20 rivers ; the results of the Cree and Inuit forcing the government to bargain was the James Bay and Northern Quebec Agreement—first modern land claim agreement in Canada; different perception of the land  government saw it as a wasteland to be developed but the Inuit and Cree saw it as a homeland to provide life (environmentalists saw it needed to be protected); First Nations claimed that their respective areas of northern Quebec were their traditional homelands. NUNAVIK: Political Territory of the Inuit  the Nunavik want sovereignty and autonomy!  Administrative territory in northern Quebec; 90% Inuit; allowed some self-government for the Inuit? “Politically, culturally and economically, Makivik has been a leader in building and developing a vibrant region called Nunavik, where, between the dualistic nations of Canada and Quebec, Inuit have established our own distinct place and identity.” interesting how QC wants autonomy and won’t give it to Nunavik Referendum in Nunavik  Struck down because the people wanted more independence than the referendum gave them and they couldn't get it  Referendum April 2011 to establish Nunavik Regional Government: to join the Kativik Regional Government, the Kativik School Board, and the Nunavik Regional; Board of Health and Social Services defeated April 2011- “*not+ strong enough assurance for many voters..who want to see Nunavik grow more independent from provincial and federal governments” 2  BC: controversy over Salmon fishing  Wild salmon serve as a vital source of food for First Nations and have a central place in their culture and spirituality; they now provide jobs, income, and enjoyment for individuals, businesses, and coastal communities; and they play a key role in natural ecosystems, nourishing a complex web of interconnected species; however, there has been controversy over the farming salmon spreading viruses and harming the wild salmon and thus concerning the Norway people BUT wild salmon is seasonal and hard to find, thus, the Aboriginals have no other source of income or way to sustain their population and economy because of the decline in salmon fishing due to overfishing, pollution, warming ocean temperatures and such *Also, there are many First Nations reserves and there are many treaties over land that have not been negotiated and so they are negotiating with the government to know what the responsibilities of both sides are  Western Interior: has the highest proportion of Aboriginal population of the five regions in southern Canada (AB having the most); issues range from employment, housing and health care; also First Nations claim that permission not been granted on existing right-of-way of the proposed trans-mountain pipeline expansion because it’s going through “contested land”  Atlantic Canada: the Voisey’s Bay mining development has sparked a renowned interest in land- claim settlements in Labrador. This point ties back to 1973 when the courts forced Hydro- Quebec to reach an agreement with the Cree & Inuit; By 2003, Inco (company) had achieved Impact and Benefits Agreements with both the Labrador Inuit and Labrador Innu, yet in all negotiations, the Innu—whose traditional homeland includes the site of the Voisey’s Bay mining project who are without treaty, who have never achieved a comprehensive land-claim agreement, and who continued to suffer from incredibly high suicide rates and substance abuse problems were drawn into the vortex of a huge construction project. While the Innu, like the Labrador Inuit, reached an Impact and Benefits Agreement with Inco to provide special benefits such as employment opportunities but some Innu only have a limited command of the English language and lacked basic education level or employment experience to take advantage of opportunities provided by the construction of the Voisey’s Bay nickel mine. (Side note: became Vale(Brazilian Co.-Inco later—huge nickel mining co. in Toronto)  North: dispute over Arctic sovereignty and disputed territories (2008) but the Inuit Tapiriit Kanatami tribe says that the First Nations received no invitation to discuss who owns the Arctic The Inuvialuit Final Agreement (IFA) was based on the Inuvialuit’s traditional use and occupancy of lands in the western Arctic, that is, the land that they and their ancestors used for hunting and trapping. The Inuvialuit’s land claim was originally part of the the Innuit land claim to the entire Arctic. However, the Inuvialuit broke away from the Innuit and as a result, there are two large settlement areas in the Arctic, the Inuvialuit and the Nunavut settlement areas. The goals of the Inuvialuit were to preserve their cultural identity and values within a changing northern society to be equal and meaningful in the Northern economy and society and to protect their wildlife but Canada’s goal was to extinguish their claim of western Arctic. 4. Newcomer/ Old-comer Core-Periphery Model CORE PERIPHERY  concentration of population  scattered population  highly urbanized  physical barriers which hinder development  diversified economy  *dominance of primary sector (direct 3  wealthy (GDP) extraction/production of natural resources incl.  centre of power (seats in Parliament) agriculture, fishing, logging and mining)  capacity for innovation  weakly integrated  generally favourable natural features  little power  and accessibility to markets  poor  “heartland”  dependent on the core  “hinterland” -Core region: (Ontario & Quebec): focus of economic, political & social activity, most people live in the core, highly urbanized and industrialized, high capacity for innovation & economic change -Periphery region: upward transitional region (BC & Western Canada): economy & population is growing as both capital and labour flow into this rapidly developed area, greater emphasis on manuf. & service activities -Periphery region: downward transitional region (Atlantic Canada): economy is declining, unemployment is rising, out-migration is occurring, “old” region dependent on resource development for its economic growth, regional economy has stalled -Periphery region: resource frontier (Territorial North): far from the core region, few people live in this frontier and little development has taken place, resource companies are just beginning to penetrate into this remote area, as energy and mineral deposits are discovered, the prospects for economic growth are enhanced For Each Region Physical Geography:  ON: borders MB & QC, Great-Lakes & St. Lawrence Lowlands, Canadian Shield and Hudson’s Bay- Lowlands; Niagara Escarpment; Southern Ontario is the most favoured physical area in Canada  QC: borders ON & Atlantic Canada, largest province, comprises of the Canadian Shield, Hudson’s Bay- Lowlands, Appalachian Uplands and Great-Lakes & St. Lawrence Lowlands, boreal forests  BC: borders AB & North (YK & NWT), most diverse natural environment (rain forest along the coast, desert-like in the Interior Plateau and alpine tundra at higher elevations-BC mountains), comprises of the Cordillera; boreal forests and tundra in the North  Western Interior: borders BC, ON and North (NWT & Nunavut), comprises of the Interior Plains and the Canadian Shield, and two minor physiographic regions which are the Hudson’s Bay- Lowlands and Cordillera; two national parks: Banff and Jasper National parks; Grasslands; flat!  Atlantic: borders QC, comprises of the Appalachian Uplands (Maritimes and Newfoundland) with Canadian Shield only in Labrador in which it was subjected to the mountain building process known as the orogeny; also varied climate because of the meeting of continental air masses with marine air masses; boreal forest in NFL&L  North: borders BC and Western Interior, comprises of the Arctic, Canadian Shield, Interior Plains and Cordillera; most varied topography (ranges from mountainous terrain and forest to barren plains to ice-covered island and arctic seas); one special feature is the aurora borealis or northern lights; tundra 4 Economic Base: (refer to periphery) PRIMARY SECONDARY TERTIARY  Forestry (lumber, cutting trees)  Construction  Service  Mining (extraction of oil & gas)  Processing  Fishing  Manufacturing  Agriculture  Primary: North has the highest with 13%, Ontario is lowest at 2.2%  Secondary: Ontario has the highest with 22.5%, North is lowest at 2%  Tertiary: North has the highest at 85% and Western Canada has the lowest at 73.2%  ON: High GDP contribution  38.7 and population—38.5) but has gone down in Oct 2013 to 37.1; also personal income per capita is lower than the rest of the population  33,759; strong agricultural economy because of favourable climate and soils; economy differs from North to South  mining, forestry, and tourism are the major economic activities in Northern Ontario, although many people are employed in the public sector, also like other resource hinterlands, the development of northern Ontario’s economy was linked to external markets unlike northern Quebec, the natural conditions in Northern Ontario are not conducive to major hydro- electric development  QC: Low GDP contribution compared to population of Canada; second largest economy in Canada, Heavily dependent on manufacturing sector, and second biggest manufacturing hub in Canada; like Ontario, Quebec can be divided into two economic areas: manufacturing and agriculture in the South and resources resource-based periphery in the North, also like Ontario, array of resources and access to American markets; also Post Quiet Revolution, the Quebec government took legislative action to ensure that the French language and the Québécois culture prospered within the province because Quebec was surrounded by a sea of English- speaking North Americans  BC: Slightly lower GDP compared to population; contribution to manufacturing is 7%, but overall economic structure is very different from ON; emerging powerhouse, especially before and during the Winter Olympics in 2010  Western Interior: GDP is significantly higher than its population; unemployment always lower than the national average; although Western Canada covers nearly 20% of Canada, its population forms only 17.1% yet its economic strength measured by GDP at nearly 23%, greater than QB; Alberta highest population, highest unemployment, highest GDP (because of oil and 5 gas); Saskatchewan low unemployment low population (because of highest crop land and maybe not enough living land)  Atlantic: GDP 6% is significantly lower than rest of the regions and is lower than population contribution 7.7%; except for its oil and gas sector, Atlantic Canada has a weak economy. All four provinces until 2009, have been considered ‘have – not’ provinces and received equalization payments; downward transitional region (refer to core/ peripheress than 8% population of Canada; unemployment is very high  North: very little GDP 0.3% proportionally to population  0.5%; boom-and-bust cycles (rapid increases and decreases in economic activity) are most evident in the Territorial North, where the economy depends most heavily on natural resources; Key Economic Activity  Ontario: automobile manufacturing  Quebec: hydroelectric power  British Columbia: forest industry  Western Canada: agriculture  Atlantic Canada: fisheries  Territorial North: megaprojects Ontario Quebec British Columbia Western Canada 6 Atlantic Territorial North Employment by Industry:  ON: top industry is finance, insurance and real estate and secondary is manufacturing* Unemployment Rate (2012): percent of labour force OR follow diagrams above  Atlantic Canada (NF&L): highest unemployment rate 12.5  Ontario & Quebec have the same unemployment rate  7.8%  Western Interior (AB): lowest unemployment rate 4.6%  Canada: 7.2% Population Distribution  ON: Highway systems show well integrated and highly densely populated (Toronto), concentration of population in the South because of vast geographical size; population: 38.5; has a very different issue in terms of urban sprawl compared to British Columbia  QC: Division between North and South population distribution densely populated (Montreal is the largest CMA with a population in 2006 of 3.6 million  BC: 3 in 5 people live in Vancouver and Victoria and 1 in 2 live within 10 km of the Pacific; Vancouver was noted the 3 most liveable city from 2007-2010; also, limitations of settlement because of the mountains; to get to most places have to go over a bridge; 2011BC: 4,400,057 Vancouver CMA: 2,313,328 (53%), and Victoria CMA: 344,615 (8%)  Western Interior: Alberta 3, 290,000, highest population, highest unemployment, but lowest aboriginal population and Saskatchewan 968, 000, low population (because of highest crop land and maybe not enough living land) Manitoba  in the middle with 1,148,000’s  Atlantic: 4 of 5 in Newfoundland and Labrador, almost all in PEI, 4 of 5 in Nova Scotia and 2 in 5 in New Brunswick live within 10 kilometres from the Atlantic coast; most people live in Nova Scotia (highest population) and Newfoundland then NB and the least amount of people live in P.E.I  North: isolated settlements due to the climate; (2006-2011) most live in NWT, then Yukon and then Nunavut; in terms of Aboriginal population, Nunavut has the highest 7 Urban Population: ** CMA: Area consisting of one or more neighbouring municipalities situated around a core. A census metropolitan area must have a total population of at least 100,000 of which 50,000 or more live in the core**  ON: 85% urban centres; 12 CMAs in Southern Ontario; 2 CMAs in Northern Ontario Thunder bay and Windsor; Toronto is the largest city with a population of 2,615,060 (2011) and 47% CMA’s population of 5.583,100; Ottawa- Gatineau CMA spans provincial boundary  QC: 23.6% of Canada’s population in 2011 (7,903,001),Montreal: second largest city and part of main street Canada; home to almost 1 in 2 Quebeckers; largest CMA with a population o 3.6 million and CMA in 2011: 3,824,221 (Montreal); Metropolis of the province; Industrial, commercial, and cultural focus of Quebec  BC: concentration of people in the southwest corner popularly referred to as the “Lower Mainland” over 60% concentration; besides rapid growth of Vancouver, smaller urban centers in BC such as Kelowna, Abbotsford, and Nanaimo have exhibited the greatest rates of increase of BC cities with a population of 50,000 or over; greatest losses in population took place in Kitimat and Prince Rupert; unlike ON and QC which have more than one population cluster, BC can claim only Vancouver are as a variable population cluster Vancouver CMA and Allophones 2011: 40% of the population of the CMA is allophone, 35% of ALL allophones have a Chinese language as their mother tongue, 14% Cantonese, 12% Chinese, 9% Mandarin; Three other largest language groups in terms of % of Allophones: 15% Punjabi, 7% Tagalog and 5% Korean  Western Interior: nearly 3 quarters of residents live in urban centres and most reside in Saskatoon, Regina, Winnipeg, Edmonton and Calgary; major urban centres: Calgary, then Edmonton, then Winnipeg, smallest is Airdrie; fastest growing cities were in Alberta; the Calgary- Edmonton corridor has emerged as the most urbanized region in the province and one of the densest in Canada with major universities and colleges, it’s a hub for knowledge  Atlantic: consists of few large cities and many small coastal towns; in 2006 Atlantic Canada was the least urbanized region; just over half of the population living in urban places  contrast to ON and BC where the urban population accounts for 85% to total population; Atlantic Canada has one of Canada’s largest cities: Halifax ranks 13 in population and St. Johns 20 because of its fractured geography, Halifax and St. Johns both serve as dominant metropolitan areas (Halifax for the Maritimes and St. Johns for NF&L); Halifax focused on naval base due to ice free harbor and St Johns on oil and fishing: From 2006-2011  there was a decline in Bathurst, Campbellton, Cape Breton, Corner Brook, Edmundston, New Glasgow and growth in Charlottetown 8.7 Fredericton 9.3 Halifax 4.7 Moncton 9.7 Saint John 4.4 St John’s 8.8 (the larger places have grown and the smaller towns and resource dependent towns have declined) North: isolated settlements, especially in Nunavut; capital city: 46% of population is in Yellowknife and 76% is in Whitehorse; connection and infrastructure was a huge deal just to build 1 km (bridge)—they partied for a week! 8 Spatial Variation (within it)  North vs. South: in ON, QC and North  Joined Provinces with a lot of variation based on resources: Western Interior: Saskatchewan, Manitoba and Alberta; Atlantic Canada: Newfoundland&Labrador, Prince Edward Island, Nova Scotia & New Brunswick; North: Northwest Territories, Nunavut and Yukon Comparing the Regions: Mineral Production  ON: geology and mineral deposits: in 2008, opening of Ontario’s first diamond mine, Victor Mine, by DeBeers west of James Bay; minerals when looking for diamonds they found the “ring of fire”; Northern Ontario’s mining industry is centered in the Canadian Shield; also, minerals are non- renewable resources and therefore mining communities can have a short life-span; ON has 19.7% share of mineral production in Canada; 11th in gold  Williams gold mine near Marathon is still largest in Canada; 4th in platinum,5th in nickel, 5th in cobalt,13th in copper, 15th in silver, 17th in zinc; highest value in mineral production among Canada’s provinces at $6.3 billion  QC: Quebec metallics: gold ,nickel, silver, zinc and non-metallics: asbestos; active metal mines of iron are found in the North-East and copper-zinc and gold-copper are South-West Quebec Asbestos Controversy: most of asbestos from Thetford Mines: 400 employees; (2008) $100 million; exported mainly India, Bangladesh, Indonesia (banned in most developed countries); UN considered adding to hazardous substance list (causes cancer); (2010) protests from scientists from 28 countries urging Québec to stop production; Apr. 2011, Québec gov’t loan for mine expansion; Sep. 2012, newly elected PQ gov’t to cancel loan; Canada will no longer defend production; lastly, second- highest value in mineral production among Canada’s provinces at $6.2 billion  BC: Mineral wealth of BC found in both its physiographic regions, each has a distinct geological structure; mines throughout the interior; towns in the interior because of mines; coal and copper key minerals in BC; also, natural gas; Coal and Copper 72% of the Value in BC in 2009; location of its mineral deposits, distance to foreign markets, and proximity to ocean ports are key factors; also, in 2009, third-highest value in mineral production among Canada’s provinces at $5.8 billion  Western Interior: Alberta  richer in coal than any other region; Manitoba especially nickel and- Saskatchewan  Potash and uranium (1/3 of world’s supply); the mining industry has helped to diversify the economy of the West and the variety and value of mineral production is enormous; although mineral production dropped from 2008-2009, the West, led by Saskatchewan with $5 billion and was the leading Canadian region in mineral production at $8.3 billion; mining companies produce a full range of mineral products, including metals, non-metals, structural materials and fuels; mining also varies amongst the regions  Alberta is known for its coal mines (by the 1990’s, Alberta produced more coal than any other region in Canada—made Canada the 4 th largest coal exporter in the world); in Saskatchewan potash, uranium and diamonds are the major mineral deposits and only potash and uranium were developed (Canada is the world’s largest exporter of potash); Manitoba  two major mineral deposits –copper-zinc and nickel (both in Canadian Shield)  Atlantic: steel, iron and coal former industries  COAL: began mid 1700’s, formed a sense of history and sense of importance of the industry, but it’s an old industry based on non-renewable 9 resources that have been used up; IRON & STEEL: based on local coal from 1901-2001, Steel Mill in Sydney, NS; closed in the 60’s but then re-opened in 1967 but just could not compete and closed for good in 2001 because was not safe and danger to the environment; but was super important to place and even a choir formed with former workers (Men of the Deeps); future the Canadian Shield found in Labrador has rich deposits of iron, ore and nickel, while the sedimentary strata of the Appalachian Uplands contains many minerals including coal and potash; historically, coal mining on Cape Breton island was extremely important and was the basis of NS’s iron and steel industry; in 2008, mineral production led by iron and nickel was value at nearly $6 billion; the most exciting and promising mineral development is taking place at the huge nickel deposit (Voisey’s Bay) --Minerals are the second largest contributor to the economy  North: mineral wealth of the Territorial North lies mainly in NWT with diamonds and gold, Yukon and Nunavut are much smaller and Nunavut has diamond and gold mines as well; also, a lot of the driving force for development for region is its mineral wealth but proportionally in Canada in 2009 it doesn't count for a lot proportionally; more than BC, NS, MB, for a relatively small place and population; first discovery of diamonds in the North then in Ontario and non-metallic = Diamonds (3 producer in the world); metals: highest in NWT (55.6), lowest in Nunavut (0), non-metals: highest in NWT, lowest in Nunavut (29.2) and fuels: highest in NWT (497) and 0 in others NWT Diamond Mines  Ekati 1998, Diavik 2003, Snap Lake 2007, Jericho 2006-08; 20-year life for Ekati &Diavik; fly in by air commuting; only one cutting and polishing business left in diamonds’ Ekati Diamond Mine in NWT; Yellowknife Aug 2012 promise by an Edmonton company to reopen two closed factories, and hire locally, but not honoured in 2013, extensive impact on the land, and a lot of them have closed since **Metallics highest in QC; Non-metallicshighest in ON; Coal highest in BC** 10 Forestry  ON: The Boreal forest stretches across most of northern Ontario, providing the basis for the forestry industry; forestry industry is the most important primary industry in northern Ontario, but it has faced tough times; In 2008, shutdowns have put thousands out of work; Electricity prices have skyrocketed to 30-40% making the cost of getting wood from forest to the mill and then to market high; Ontario has 57 million hectares of productive forest area, with most classified as softwood; 60% exported to US and softwood lumber agreement (SLA)  Canadian lumber firms are allocated 34% of softwood lumber sales in US  BC: Forests and Mills: Differences between coastal and interior and northern forests; lots of different tree types; two principal regions are the Coast Rainforest and the Interior Boreal Forest; Forest lands in the Coast Rainforest are almost entirely in mountainous terrain; Interior Forest is found in many types of terrain; Subdivided into four areas that reflect variations in growing conditions – two main elements are the lower temperatures towards the north and drier conditions; Declining Value of Forest Exports: the main market is the U.S.; impact of housing market in the US in 2006 caused a real decline in forestry in BC Continued decline: Pulp and paper may never recover; most people don't pick up newspapers, they read them online  2006 decline in US household market; wood products the 09 US collapse also affected it; there is hope through China though Overall Decline in Forest Sector: Incredible shrinkage of forest sector jobs and manufacturing and in terms of share of GDP; traditionally, has been incredibly important to BC but there has been a decline But Increasing importance of China: Hope through China; BC almost has 50% share of the China market of softwood lumber; also, there was a time when the export of softwood lumber to China was higher than US** Western Canada: forest industry on the skids; depends on exports to the States; Alberta produces 75% of the logging and it’s advantage comes from its large northern forest stands the forest covered interior plains region is the largest forest stand in Western Canada and Alberta has by far the largest commercial forest in the region; each of Western Canada’s 3 provinces has a diversified timber operation, ranging from sawmills to pulp & paper plants; most pulp & paper mills are located on the southern edge of the forest but with sales to the U.S falling, several mills have closed Atlantic: NF&L is different forest than Appalachian uplands in the Maritimes (3 provinces without NFL); Beyond the sea, the forest is Atlantic Canada’s most important renewable resource; In Appalachian Uplands ,the best days for the industry are long gone; in fact, the forest industry in Atlantic Canada is 11 contracting due to diminishing demand in the US and in the rest of the world, also the appreciating Canadian dollar makes it more expensive for Americans, also, declining demand in newsprint, rising electricity costs in Atlantic Canada, which constitutes a large portion of the operating costs in pulp and paper; bulk of forest industry located in New Brunswick; -Unlike most places in Canada where forest land is usually Crown land, the proportion of private timberlands to Crown lands in Maritimes is extremely high (private lands make up 92% of the commercial forests in PEI, 70% in NS, and 50% in NB) but in NFLD, like the rest of Canada, private ownership makes up only 2%; New issue= aboriginals right to timberlands, they are demanding greater access to timber  North: no forests!  Province 2010** Pulp & Paper Wood Products Logging Total (% of Canada) ON $7.0 billion (28%) $3.1 billion (15%) $1.0 billion (13%) $11.1 billion (21%) QC $8.6 billion (35%) $6.1 billion (31%) $1.9 billion (22%) $16.7 billion (31%) BC $4.8 billion (19%) $6.6 billion (33%) $3.3 billion (43%) $14.6 billion (28%) Western Canada (15%) Manufacturing  ON: Southern Ontario accounts for almost half of all manufacturing jobs in Canada, mostly due to the availability of skilled and hardworking labour force; new to the scene are high-tech companies that depend on highly skilled workers who can command high wages; Ontario’s economy received a boost with the recent announcement of provincial Green Energy Act; Ontario wants to export the resulting technology around the world; they will have to put a “feed-in tariff”, that is green energy will be marked at relatively high rates; HOWEVER, not all is well in the manufacturing heartland, especially in the auto industry; 2004-2008 dramatic loss of almost 20,000 jobs or one in five manufacturing jobs; Ontario contributes more in terms of agriculture and food processing GDP; Second highest employment by industry in Ontario; By sector, transportation equipment is at 80% of sales in Canada; Local manufacturing e.g. farm implements, grist mills, distilleries, breweries, tanning, woolen mills and sawmills; See a shift from manufacturing to services in the 1970’s, see decline in 21 century as well; Seen as the manufacturing and financial center of Canada; When the global economic crisis hit, Ontario’s manufacturing sector got hit pretty hard; Most job losses in the secondary sector due to manufacturing, especially auto manufacturing 12 Factors that led to the success of Ontario’s Manufacturing Industry - National Policy - Linkage to the West (railway) - Diversification of agriculture - Proximity to US manufacturing belt - Size of domestic market - Consolidation of banking - Hydro-electric power (1896 – Niagara Falls- Ontario Hydro 1906) - Minerals, pulp and paper of the Shield - Ontario has the political power - National policy = great for Ontario but it may have resulted in things that were not anticipated - National policy allowed for the national core in southern Ontario - The rest of the country- except Quebec- was transferred to a domestic market for these manufactured goods - This economic arrangement made necessary the east-west transportation axis which favoured Ontario and Quebec Manufacturing- Quebec vs. Ontario - Traditionally more labour-intensive manufacturing (clothing, textiles, etc) - More recent expansion of aerospace and pharmaceuticals (top exports: aluminum and aircraft) Quebec has aircrafts and pharmaceuticals which aren’t big in Ontario - Not as close to the US (historical impacts) - More geographic concentration (in Montréal) - Difference in the types of manufacturing  Ontario = Auto Quebec = Clothing and textiles  QC: Decline in Manufacturing - There has been decrease in jobs and revenue  power shift in the provinces - 0.6 per cent: decrease in revenues since 2004 -86,000 (17%): decrease in jobs since 2004 - “Québec to invest $2-billion in jobs to stimulate sluggish growth” Oct 2013: “Putting Jobs First” policy  BC: - Increase in secondary sector from 05-08 which use to indicate upward movement in manufacturing - “While BC is no longer seen as a resource-based economy, its natural resources, especially natural gas and forests, provide much of the wealth generated by the economy.” - Economy is more focused on global trade, tourism, high tech, manufacturing, and even filmmaking - Years leading to the 2010 Winter Olympics, the construction industry added another dimension to BC economy - International trade - Manufacturing sector is very small compared to QB and ON - In BC, 7.1 shows secondary sector increase its share of total workforce from 17.7% to 18.3% , but with the construction boom caused by the Olympics, the secondary sector is expected to go back to smaller 2005 figures Manufacturing Sector by Sales 2012 - BC leads Canada in manufacturing of wood products - Percent of Canadian sales all manufacturing = 7% 13 Manufacture of Resources Percentage of Provincial Manufacturing sales 2012  Western Canada: - Secondary Sector (manufacturing/ construction) - important indicator of diversification and wealth. More construction than manufacturing because of the amount of people moving there, they need housing and infrastructure to house them. People are coming there because of a resource commodity (oil)  Atlantic: -Similar to construction and manufacturing in the West - Manufacturing very small and construction higher than manufacturing  North: focus is on construction, not manufacturing (similar to Atlantic & West) Trading Partners  ON: top international trading partners are both U.S for % of export and imports  QC: to generate hydroelectric power to export to the U.S.  BC: with China: we know that Chinas economy is going to expand; most exports going to the US from Canada and second is to mainland china; most of exports to china come through BC because of its location; If china increases in the future, BC is in a good position to provide for them and to be the hub through Canada to china 14 ONTARIO Automobile Industry (Motor Vehicles & Parts)  The automobile industry consists of 2 parts, the assembly of automobiles and trucks and the production of their parts  Very important industry for ON accounts for 34.7% of exports and 21.2% of imports internationally  The early motor vehicle industry was dominated by the U.S., with little Canadian plants (mainly Oshawa, Windsor and Southwestern ON)  Auto Assembly Centres in ON: mainly Oshawa, Brampton, Windsor (few, but large plants)  However, goes where cheapest, so a lot of plants are closing down  such as Oshawa plant in 2014  Canada’s auto assembly plants located in Southern Ontario where transportation links to the major markets of Canada and the U.S are readily available and driving distances are short; competition with Japanese and Korean companies with assembly plants located in North America, including southern Ontario is fierce  Pattern hasn't changed much but it’s been rationalized  Smaller number bigger plants back then, now opposite with bigger number of smaller plants  Overall decline of cars and production in Canada, but increase in North America  Remains the key manufacturing activity in Ontario  By 2004, Ontario was leading motor vehicle manufacturer in North America  85% of Canadian manufactured vehicles are exported to the U.S  2008 economic downturn saw the demand for cars and other vehicles decline dramatically in the U.S; consequently, from 2007-2008 Canada’s annual production dropped by 20% - Very important in terms of our exports - Within the top 5 imports and exports, motor vehicles and parts are within that - Over a third of exports in Ontario tied up in motor vehicles Early Motor Vehicle Industry : 1921: industry owned by Americans; huge number of plants near Windsor; few small Canadian plants in existence, some will disappear; predominance of American ownership; Oshawa Windsor southwest Ontario; low-cost labour and easy access to Canadian market 15 encouraged Canadian textile producers to move offshore where much lower production costs of labour more than offset higher transportation costs THE AUTO PACT (1965-2001)  made Canada an automotive powerhouse  to integrate American/Canadian auto industry (1965, 90% Canada’s production controlled by branch plants of the Big Three - GM, Ford, Chrysler)  elimination of 15% tariff on imported vehicles and parts (first sector involved in free trade)  guarantee of minimum production levels in Canada based on 1964 values  Before Auto-Pact, the auto industry in Canada had small, high-cost plants, each a smaller version of the much bigger plants in the U.S  Wages for Canadian auto workers were lower than those of workers in the U.S and prices for the models were considerably higher than in the U.S  The Auto-Pact was a predecessor to FTA and NAFTA Auto-Pact served three objectives: 1. It secured guarantees that Canadian automobile plants would not close 2. Brought economies of scale to Canadian plants by allowing them to specialize in a few types of automobiles that would supply the North American market 3. Reduced the price of cars for Canadian consumers Impact:  Advantages of Canadian production o higher productivity o low Canadian $ o health-care costs covered by government o government research incentives  1980s increase in parts production (compared to auto assembly in Canada through outsourcing - Magna is a result and led to enormous successes)  BUT other foreign (Japanese) car-makers disadvantaged – WTO ruling 2001 ended pact  Reason it was successful was because of the low Canadian dollar, health care costs were covered and Frank Stronach and Magna were the result Agreement called to Canada to eliminate its 15% tariff on imported cars and U.S parts for Canadian manufacturing, and for the US to eliminate its corresponding tariffs Auto pact ended in 2001 because it was found discriminatory (violates international trade laws) Commission on the Reform of Ontario’s Public Service THE DRUMMOND REPORT - released Feb 2012  $14 billion deficit from 2010–11 ie. 2.3% of GDP, the largest deficit relative to GDP of any province “we cannot count on robust economic growth to resolve our fiscal challenge” REPORT SUMMARY: “How did we get to this point? For most of the past decade, Ontario’s economic growth has lagged that of the rest of Canada, as changing economic conditions hit O
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