Which country or countries do you feel impact our economy the most today?

The Economy Under the British Regime:

Definitions Protectionism: An economic policy established by a government to protect the economy of the country or empire from foreign competition Preferential Tariffs: lower customs duties on products imported from the colonies Free Trade: a policy whereby customs duties on products are either reduced or abolished

How does all this work?

What is one way in which Canada protects its economy from foreign competition? (Hint: What happens when you buy a lot of stuff in the States and you try and come back into Canada?)

Customs Duties Taxes to pay Tariffs All basically the same idea...

Impact of the British Conquest on the Fur Trade How does the Fur Trade change under British rule? Expands to the Northwest after American Independence (they take the area south of the Great Lakes) British fur trade merchants replace French ones - French still “get” furs from Indians

British Demand : What happens to the demand for fur in the 1800s? IT DECREASES Which 2 products become in HIGH demand from the British? TIMBER (wood) because the British are involved in war with France and need more ships WHEAT because the British put preferential tariffs in place

Impact on Land and People: 1) Timber replaces fur as the main export out of Quebec

2) French Canadians farm during the summer and chop trees in winter * More money for them to spend on making their lives more comfortable

3) Lower Canada (Quebec) focuses on the production of wheat for export

4) Banks emerge as a result of the larger economy. This gives people more access to money! Bank of Montreal 1817

5) New Transportation Networks develop Ex: Lachine Canal 1825

Railroads to transport goods more effectively

Victoria Bridge 1859: First bridge to cross St. Lawrence

Demand British adopt a free trade policy. They are beginning to “let go” of their overseas colonies and look to get the “best deal” on products which they are importing... How does this affect Canadians?

Impact on Land and People 1) Free Trade forces Canadians to diversify their economy. They are no longer only responding to British demand Ex: Dairy farming

2) Canada looks for new trading partners, specifically the U.S.

Canada signs the Reciprocity Treaty with the United States in 1854

Impact of Reciprocity Treaty on the Land and People 1) Canadians diversify their economy even more to suit American demand

2) A lot more American $ and interests in Canada

3) Many more ships leaving Montreal and sailing for the United States!

The Canadian Economy after Confederation Americans cancel Reciprocity Treaty in the 1860s How does Canada react?

Impact on Land and People 1) Canadians (QC and ON) need trading partners and decide to unite with other British colonies in North America Who are we talking about?

Impact on Land and People 2) Canada slowly becomes the country which it is today. Starts with 4 provinces in ) Canada experiences the First Phase of Industrialization Textile Mills

Breweries Open

New Work Methods in Industries

4) Urbanization = People start moving from the country to cities in order to work in factories

Montreal then and now!

The National Policy of 1879 Why? Created by the government to protect Canada’s economy from the United States How would it help the Canadian economy? 1. By putting high tariffs on US imports, it encouraged Canadians to buy Canadian-made goods 2. This led to the development of Canadian industries