Review In-Class Formative Remember – you had the article on Aboriginal & European economic exchanges and asked questions…

They all helped shape the Canadian economy.

 Outcome:  analyse the role played by the Staple Trade in the development of (Colonial) Canada.  Indicators of Mastery:  evaluate and compare the role played by the cod and fur trades in the development of Canada  analyse the effect of the timber and wheat trades in the economic expansion of early 19th century British North America  compare the role of staple trade (primary industries) in today’s economy to that of the colonial era  analyse the effects of Britain’s adoption of free trade in the 1840s on BNA (e.g., Reciprocity, Treaty of 1854).

Establishing Context Image curtsey of i/File:Atlantic_cod.jpg  One of the key reasons explorers came to the shores of Northern North America was fishing  The drying of fish was essential because it took so long to make the journey back to Europe  Fish were plentiful in the North American waters – especially the cod fish  Cod was a staple food for the Europeans – especially the western Europeans

Reason for Encampment Image courtesy of e:Bidarka_kayak_and_salmon.jpg  Fishermen from Europe would often stay in fishing encampments for entire seasons to leave before the cold weather as early as the 1300’s  The cod fishery was deemed so important that it had to be protected from fisheries of competing nations – a long term or permanent settlement was therefore required

Image courtesy of e:Tricorne_hat_beaver_fur_c._1780.png The desire for fur...  The trading in fur began almost by accident  Fur became “en vogue” in western Europe  Powerful and rich people wanted to wear fur, particularly beaver fur as it was seen as exotic and luxurious

Image courtesy of e:Fur_traders_in_canada_1777.jpg Furs or fish...  Fishermen at their seasonal encampments traded with the local native populations for furs on their backs  The furs were made soft from continual use  The fishermen traded old knives, pots, and cloth for the furs that would make them rich in Europe  Soon the wealth from furs would surpass income from fish

Image courtesy of i/File:Trade_with_indians_1820.jpg Supply and demand...  As fur becomes the most important commodity Europeans begin to form companies with exclusive rights to trade with various native groups  Fur company employees spread throughout the frontier to trap and trade  As the value and importance of the fur trade increase the volume of the trade increases

Image courtesy of read2.html Native populations became dependent on European trade  Growth of fur trade demanded increasing trade with native populations  Traded goods included more than old tools – now included guns, ammunition, alcohol, manufactured goods such as hammers and axes, and clothing  Common illnesses carried by European traders and explorers such as the flu, colds tuberculosis, and diarrhoea killed native people in the thousands  It is estimated by some sources that up to 60% of native peoples died due to European disease

 Staple: Any commodity routinely used that if missing would severely impact the ability of a group of people to function. Examples of staples can include wood and certain foods such as rice or wheat.  Staple Economy: An economic theory that an economy can be formed and built on the trade of natural resources required by other nations or economies as staples such as fish, wood, or wheat. (Sound familiar?)

Impact of Staple Trade in Contemporary Canada

Transportation was the main issue in pre-confederation Canada Image courtesy of e:Timber_on_the_Ottawa_River.jpg  Canada is big – the expanse of the nation required creative methods of transport before a national railway and road system  The Canadian west provided for particular challenges due to the geography and terrain  The requirement to move goods such as wheat and timber required the creation of waterways and trails

Requirement of living and working people... Image courtesy of ecting_the_work_of_the_Canadian_Forestry_De tachment.jpg  Harvesting of timber and farming of wheat required people  The people had to live and work in settlements  As more people were required and more immigrated to Canada the west began to open in earnest – people began to move west and settle beyond Ontario into Manitoba, Alberta and British Columbia

 Free trade is the concept that nations will not charge tariffs or taxes on imported goods from a specific other nation.  Why could this be a problem? What could be arguments for and against this concept?

 For  Don’t get ripped off – better deals  Develop a strong trading relationship with the specific nation  We could sell more goods in that nation  If we don’t charge tariffs to another nation they may not charge us  Develop stronger diplomatic relationships  Free trade creates jobs through increased demand therefore there is increased production and shipping  Against  Not fair to some other nations  Bad Deal – one nation may sell their goods too cheaply to the trading nation and loose out  Kill Jobs – If trading nations set up their production in a different economy they can trade back and forth  The demands of one nation can skew the economy of another.

Harper's trade-boosting trip to India starts at Taj Mahal - Business - CBC News Modern free trade?

Image courtesy _Queenstown,_Upper_Canada_on_the_Niagara_(a.k.a._Queen ston,_Ontario).jpg  Britain ended protective tariffs in 1846 – This made Canadian goods too expensive in European markets  Economic depression made Canada look for closer markets for their goods – a market that was desperately needed

How the treaty worked Image courtesy ville_Street_at_Duke_Street,_Halifax,_1854.jpg  Lord Elign and W. Marcy signed a treat in June of 1854 between the United States and Canada (British North America)  The United States would have access territorial waters of “Canada” for fishing and business  Duties and tariffs were removed on both sides on goods such as grain, flour and breadstuffs, animals, meats, fruit, fish, poultry, tallow, coal, timber, and lumber

It sort of worked... Image courtesy /2009_03_22_archive.html  There was a period of economic prosperity directly after the treaty for about 10 years  It could be argued that the prosperity was due to internal public works such as the development of the Great Lakes  Many Canadians were against the treaty claiming that the Americans got more from the treaty than the Canadians

Investigating the Staple Economy: Use the source organizer to take jot notes.  Group 1: (Fishery)  CBC Digital Archives - Fished Out: The Rise and Fall of the Cod Fishery : Newfoundlanders protest cod CBC Digital Archives - Fished Out: The Rise and Fall of the Cod Fishery : Newfoundlanders protest cod  Group 2: (Fur Trade)  Group 3: (Staple Thesis and colonial economy) cyclopedia/econhistcan.htm  Group 4: (Staple Thesis and contemporary Canadian Economy)  Group 5: (Reciprocity Treaty)

Sharing Groups  Re-organize into new sharing groups to complete the organizer “Discussion Tracker”.

Do you think this could ever change?