Economy Overview
As an affluent, high-tech industrial society, Canada today closely resembles the US in its market-oriented economic system, pattern of production, and high living standards. Since World War II, the impressive growth of the manufacturing, mining, and service sectors has transformed the nation from a largely rural economy into one primarily industrial and urban. The 1989 US-Canada Free Trade Agreement (FTA) and the 1994 North American Free Trade Agreement (NAFTA) (which includes Mexico) touched off a dramatic increase in trade and economic integration with the US. As a result of the close cross-border relationship, the economic sluggishness in the United States in 2001-02 had a negative impact on the Canadian economy. Real growth averaged nearly 3% during 1993-2000, but declined in 2001, with moderate recovery in 2002. Unemployment is up, with contraction in the manufacturing and natural resource sectors. Nevertheless, given its great natural resources, skilled labor force, and modern capital plant Canada enjoys solid economic prospects. Two shadows loom, the first being the continuing constitutional impasse between English- and French-speaking areas, which has been raising the specter of a split in the federation. Another long-term concern is the flow south to the US of professionals lured by higher pay, lower taxes, and the immense high-tech infrastructure. A key strength in the economy is the substantial trade surplus.
Agriculture Products
wheat, barley, oilseed, tobacco, fruits, vegetables; dairy products; forest products; fish
Industries
transportation equipment, chemicals, processed and unprocessed minerals, food products; wood and paper products; fish products, petroleum and natural gas
Industrial Production Growth Rate
2.2% (2002 est.)
Labor Force
16.4 million (2001 est.)
Electricity production
566.3 billion kWh (2001)
Electricity production by source
Fossil fuel: 28%
Hydro: 57.9%
Other: 1.3% (2001)
Nuclear: 12.9%
Electricity Consumption
504.4 billion kWh (2001)
Electricity Exports
38.4 billion kWh (2001)
Electricity Imports
16.11 billion kWh (2001)
Economic Aid - Donor
ODA, $1.3 billion (1999)
Currency
Canadian dollar (CAD)
Unemployment Rate
7.6% (2002 est.)
Population Below Poverty Line
NA%
Household Income or Consumption by Percentage Share
Lowest 10%: 2.8%
Highest 10%: 23.8% (1994)
Distribution of Family Income Gini Index
31.5 (1994)
Budget
Revenues: $178.6 billion
Expenditures: $161.4 billion, including capital expenditures of $NA (FY 00/01 est.)
Commercial Bank Prime Lending Rate
Market Value of Publicly Traded Shares
Reserves of Foreign Exchange and Gold
Debt External
$1.9 billion $NA (2000)
Stock of Direct Foreign Investment at Home
Stock of Direct Foreign Investment Abroad
Exchange Rates
Canadian dollars per US dollar - 1.57 (2002), 1.55 (2001), 1.49 (2000), 1.49 (1999), 1.48 (1998)
