Chapter 5: Identify and explain Canada’s current strengths and weaknesses in natural resources, transportation, and communications, energy, and agriculture, among others.

5.1.      Natural Resources Canada

Before you begin

Before you begin reading, check your understanding of some of the key terms you will read in this chapter:

 

The image illustrates natural resources and attributes of green energy such as windmills and solar panels
Image by Macrovector from freepik

Committed to improving the quality of life of Canadians by ensuring the country’s abundant natural resources are developed sustainably, competitively, and inclusively.

  • Energy efficiency: Homes, buildings, industry, transportation, products, EnerGuide, ENERGY STAR.
  • Minerals and mining: Exploration, resources, production, innovation, explosives, regulations.
  • Forests and forestry: Sustainability, research, industry, and trade, boreal, wildfires, insects, transformation.
  • Energy sources and distribution: Oil, gas, renewables, fossil and alternative fuels, electricity, nuclear, uranium, co-ops.
  • Climate change: Green future, infrastructure programs, impacts and adaptations.
  • Public consultations: Insight and information for the development of policies and programs.
  • Maps, tools, and publications: Atlas of Canada, land surveys, air photos, satellite images, positioning, software.
  • Science and data: Research programs, centers and labs, intellectual property, partnerships, analysis.
  • Domestic and international markets: Transportation fuel prices, lumber, pulp and panel prices, minerals, and metals markets.
  • Natural Resources and Indigenous Peoples: Land claims in the North, participation in mining activities, partnerships.
  • Funding and partnerships: Opportunities, grants and contributions, incentive, and partnership programs.
  • Simply Science stories: Explore Natural Resources Canada’s science through articles, podcasts, and videos.

Source

Government of Canada. (2023). Natural Resources Canada.

5.2.      Major Macro Economic Indicators

The image provides data on key economic indicators for the years 2020 to 2023.In terms of GDP growth, there was a decline of 5.1% in 2020, followed by a recovery with a growth rate of 5.0% in 2021. The projected figures suggest a moderate growth rate of 3.5% in 2022, and a slower growth rate of 1.1% in 2023. The table also includes information on inflation, indicating a yearly average of 0.7% in 2020, followed by a higher rate of 3.4% in 2021. Projections show a significant increase in inflation with an estimated average of 6.9% in 2022, which is then expected to moderate to 3.8% in 2023. Regarding the budget balance as a percentage of GDP, there was a deficit of 11.3% in 2020, which narrowed to a deficit of 4.8% in 2021. Projections indicate a further improvement with a deficit of 1.4% in 2022 and a slightly lower deficit of 1.1% in 2023. The current account balance as a percentage of GDP shows a deficit of 2.2% in 2020, which decreased to a smaller deficit of 0.3% in 2021. The projected figures suggest a narrowing of the deficit to 0.2% in 2022, followed by a slightly wider deficit of 0.7% in 2023. Lastly, the image provides information on public debt as a percentage of GDP, showing a relatively high level of 126.8% in 2020. However, there was a decrease in public debt to 116.5% in 2021, followed by further declines to 113.2% in 2022 and 109.2% in 2023.
Table by Coface from Coface.com

Source

COFACE for trade (2023, April). Canada – Major Macro Economic Indicators.

5.3.      Canada: Strengths and weaknesses

An image representing the strengths and weaknesses of Canada's economy. The strengths include abundant energy, mineral, and agricultural resources, being the 5th-largest oil and gas producer globally, a strong banking sector, proximity to the US market, trade deals with the US and Mexico, as well as the EU, an excellent business environment, and the lowest net debt among G7 nations. The weaknesses include dependence on the US economy and energy prices, loss of competitiveness in manufacturing due to low labor productivity, insufficient R&D expenditure, high household debt, deteriorating housing affordability, and energy export challenges due to inadequate supply pipelines and the US's own resources.
Chart by Coface from Coface.com

Source

COFACE for trade (2023, April). Canada: Strengths and weaknesses.

Video: Strengths & Weaknesses of Canada’s Entrepreneurship Ecosystem | Sushee Perumal, MaxSold. TheFutureEconomy.ca.

 

 

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Entrepreneurship in a Global Setting (INT 135G) Copyright © by Cecilia Mackey is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License, except where otherwise noted.

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