POLI 243 Chapter Notes - Chapter 15: Gross Domestic Product

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Published on 20 Apr 2013
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Poli 243 Chapter 15 Notes
The Reciprocity Election in Canada, 1911
System Level Factors: The Opportunity to Liberalize Trade
- Three factors are prominent
o Trends in tariffs were mixed
o Canada’s neighbor to the south, and major market, the U.S. seemed
ready to negotiate liberalized trades
o Canada was redefining its links to Britain, just as Britain was
questioning its own commitment to free trade
- Reciprocity was a tool to help countries ensure that they could negotiate
lower tariffs, Thus while high tariffs were remaining on books, successful
negotiations between some trade partners were reversing some of these
trends
- If Chamberlain’s Tariff reforms held sway in Britain, Canada’s raw materials
and agricultural goods would be offered preferential access to Britain’s
markets
o The defeat of tariff reform, made this preferential treatment less
likely, Britain’s continuation of very liberal trade policies, pushed
Laurier to consider close ties with the U.S., but nonetheless, the first
theme Laurier’s opponents seized on was that the deal would
inevitably bring Canada under the sway of the U.S., breaking Historic
ties to Britain
- Relations with the U.S. improved in the early 1900s as the two countries
successfully negotiated issues concerning the border and fishing grounds
o When the U.S. proposed trade negotiations early in 1910, Laurier was
interested in maintaining positive relations and agreed to hold talks
The U.S. was willing to liberalize more than had been expected
and the treaty negotiated by the beginning of 1911 was
surprisingly broad, and one that could be considered a coup by
those desiring freer trade
The successful negotiations were announced on January 26th
1911, to a parliament that listened intently as the details of the
deal were described by William S. Fielding
o Thus the systematic environment created not only an opportunity for
trade liberalization, but the U.S. moves had handed Laurier a gift
o System level factors were permissive at least in that sense, and it
seemed as if Canada would be liberalizing its trade and finally moving
away from the National Policy
o But then the Tories responded, making trade policy the chief election
issue, Despite the system-level factors, the decision to liberalize trade
still rested with the Canadian public
Domestic Level arguments: Shifting support for protection
- Both parties understood the important advantages or disadvantages of
undoing the National Policy and the merits of the deal.
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Document Summary

System level factors: the opportunity to liberalize trade. Reciprocity was a tool to help countries ensure that they could negotiate lower tariffs, thus while high tariffs were remaining on books, successful negotiations between some trade partners were reversing some of these trends. Laurier to consider close ties with the u. s. , but nonetheless, the first theme laurier"s opponents seized on was that the deal would inevitably bring canada under the sway of the u. s. , breaking historic ties to britain. The u. s. was willing to liberalize more than had been expected and the treaty negotiated by the beginning of 1911 was surprisingly broad, and one that could be considered a coup by those desiring freer trade. The successful negotiations were announced on january 26th. Both parties understood the important advantages or disadvantages of undoing the national policy and the merits of the deal. Trade interests naturally defined the possibilities for coalitions in this election.

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