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GDP of Canada. Economy of Canada. Industry and Economic Development of Canada

Canada is a highly developed prosperous country. Its economy has developed harmoniously for many years. This was facilitated by certain political, investment and financial factors. Due to this, Canada's GDP is considered to be one of the highest in the world.

Dependence of the country's economy on foreign capital is its distinctive feature. In which directions the development of this state took place, as well as the main branches of economic activity of Canada will be examined further.

general characteristics

Canada's economic development was based on a diversity of natural resources. Thanks to the competent development of existing mineral resources on its territory, the state was able to establish partnership relations with the United States, Great Britain and France. Thanks to trade and economic relations with the most developed world powers, Canada began to occupy a leading position in the world economy.

Today it is one of the most developed countries, the standard of living of the population in which it is high. On the main indicators of economic development, Canada is second only to the United States. This northern country develops many industrial, agricultural industries, services.

The population of the state is 36.6 million people. The territory of Canada occupies 9 985 thousand km ². The unemployment rate according to 2016 was 7%, and inflation - 1.5%.

Canada historically was the raw material base for the United States. The financial position of the northern country depended heavily on its neighbor. The USA delivers to Canada a huge number of its goods. Thanks to such a well-coordinated partnership, it was possible to achieve a high level of development in almost all directions.

History of development

Today, the Canadian dollar to the ruble rate is quite high and is about 42.5 rubles. However, until the XIX century, Canada inhabited the wild tribes of the Indians (Hurons, Iroquois, Algonics). On the development of these edges at that time there was no question. The main source of income was selling meat, animal skins.

In the north at that time the first colonizers were already living. In the east, there were also settlements of the French. Over time, the Europeans who came to these lands began to develop agriculture. Also at this time the development of mineral deposits began. The importance of hunting fell sharply.

The center of agriculture was the city of Ontario, a large number of banks, industrial enterprises were concentrated in Quebec and Vancouver. In the second half of the 20th century, Canada experienced a sharp industrial development.

At that time, the country needed a large number of skilled labor. A stream of emigrants flooded here. The second major breakthrough in the development of the economy was made in 1973. At that time, large oil deposits were found.

Dependence of Canada

The industry of the USA and Canada, as well as many other branches of the economy, operate under conditions of close cooperation. On the one hand, this determined the significant development of the northern country. However, such dependence had a negative impact on the development of Canada during the crises and other negative events of its neighbor. In the United States, events that could shake the economy of the northern state quite often occurred. The lion's share of Canada's trade (more than 80%) is accounted for by the relationship with America.

Almost all spheres of management are dominated by US capital. The only exceptions are land ownership and the system of finance. Such features of the organization of the economy have led to the fact that in 2008-2009 the crisis that erupted resulted in massive negative consequences. The Canadian authorities were forced to take urgent action to create support for many industries.

Canada's dependence on one trading partner proved that such an organization is detrimental to the economy, leading to the collapse of its main directions. Therefore, starting in 2015, Canada is working to establish trade, financial relations with other countries of the world community.

Modern development of the economy

According to the IMF, the Canadian GDP per capita in 2016 is 46,437. E. In WB reporting, this indicator is 44,310. E. The country's GDP indicator, according to the IMF, amounted to 1 682 billion USD in 2016.

However, after the crisis that occurred in the economy in 2008-2009, a public debt appeared in Canada. To date, it exceeds the GDP by a quarter of a billion conventional units.

For a country with the most developed economy, this does not bode well. The state of the financial, social, industrial spheres largely depends on the price of oil. Last year, the country's exports of raw materials fell by 17%. The reason for this was speculation on commodity exchanges and significant fluctuations in energy prices.

According to the polls, this situation of the economy led to the accumulation of debts of the population. More than 50% of Canadians have certain difficulties in repaying loan interest. More than 30% of the residents of this country today can not repay their debts.

Agriculture

As already mentioned, Canada's exports and imports are focused on the United States. However, gradually the country begins to establish economic ties with other developed countries of the world. The internal organization of the economy consists of a developed manufacturing and industrial industry.

The annual growth in these sectors is determined at the level of 5%. Also, new technologies are developing intensively, for example, the production of mobile devices, computer and aviation equipment. Special attention is paid to the development and production of medicines.

Agriculture plays a significant role in the country's economy. Canada occupies the 5th place in the world for the production of cereals. In terms of wheat exports, the state ranks third in the world. Potatoes, corn are also grown.

Industry

Significant changes have occurred in the industrial sphere. Over the past few years, Canada experienced these metamorphoses. The country's economy was previously built primarily on the oil, gas and timber industries. Because of the events that took place on the commodity market in 2008-2009, the government of the country revised the strategic orientation of economic activity. As a result, the main sectors were completely different.

Industry Canada is now focused on the production of electricity, telecommunications. Also considerable attention is paid to the production of new medicines, as well as to scientific research in this direction.

The industry of production of industrial equipment is developing at a great pace, as well as the production of synthetic materials, plastics and various polymers.

Services sector

In the last few years, Canada paid special attention to services. The population of the country mainly operates in several sectors of this direction. These include hotel business, public catering, as well as telecommunications. Considerable attention is paid to the sphere of wholesale trade and the development of business ideas for commercial enterprises.

In an effort to reduce the deficit of the state budget, the government of the country reduced government spending. This led to a partial transfer of municipal institutions to private ownership. Programs for supporting small businesses were revised, many of which the state had to abandon. Also, subsidies for public needs were reduced. Such changes affected mainly the representatives of the working class.

Banking system

The country's banking system consists of insurance and mortgage companies. They give more than 16.5% of the country's total GDP. In this sphere, about 6% of the working population are involved. The Central Bank of Canada is responsible to the Parliament and performs a number of functions. He issues money from Canada, conducts financial policies, and supervises other banking organizations.

There are three main types of structures. These include charter, trust and credit organizations. All of them are obliged to provide the residents of the country with services for currency exchange, opening of accounts or issuing loans.

Scientific and technical development

The high level of Canada's GDP is conditioned by the conduct of literate scientific, research activities and its full support from the ruling bodies. The most significant discoveries were made in the field of communication and information transport systems.

3.9% of total GDP is provided by the telecommunications industry. Inside the country there are 3 TV networks. One of them has state subordination, and the other two are private. Promotion of the municipal network is carried out at the expense of budgetary funds. Private companies ensure the normal functioning of their organizations through the maintenance of competent advertising.

Also in the field of space technology and aviation. In this direction, many strategic discoveries were made. A new remote monitoring system was developed. Bioengineering and medicine are developing. Particularly great achievements are observed in the field of laser surgery, organ transplants and genetics.

Work force

The GDP of Canada is provided by workers with a high level of qualification. The able-bodied population totals about 15.5 million people. The number of new jobs is constantly increasing. Half of Canada's citizens of working age have higher education. The greater part (about 70%) of them are women.

Interethnic migration played a decisive role in the process of formation of the country's economy. The rights and duties of employees are guaranteed by law. A sufficient number of specialized specialists who migrated to Canada, allows to develop industry, agriculture and services.

Post-crisis period

As already mentioned above, the rate of the Canadian dollar to the ruble today is quite high. The state does not lose its positions, supports the social, financial, industrial, agrarian sphere, etc. The reasons that led to the crisis have been determined in the state for a long time. Despite this, even in the current situation, Canada ranks 14th in the world in terms of GDP and 10th in terms of GNP.

Since 1993, the country has been characterized by a significant economic recovery. However, in 2008 the crisis led to a deficit in the state budget. The high exchange rate, the decline in demand in the world market for Canadian products also affected the country's financial stability. In terms of its orientation, the state still resembles in many respects the US economy.

Considering the level of Canada's GDP, as well as the factors determining it, one can say that this is one of the most developed countries in the world. It is distinguished by a strong economy, a high standard of living.

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