1. The US and Canada Today
Ch 7

2. Economic Activities
Both are Free Market: allow people the freedom to own, operate, and profit from their own businesses
Canada: government owns and administers many services, broadcasting and health care
US: private companies own and operate broadcasting and health care
Post-industrial economies: less emphasis on heavy industry and traditional manufacturing

3. Agriculture Most farms are owned by farming families
US: 1 billion acres for livestock grazing and farming
Canada 167 million (less arable land)
2% Americans and 4% Canadians work in agriculture
US/Canada: beef, milk, eggs, corn, wheat, and other grains
Corn belt – Ohio to Nebraska (formal region)

4. California – tomatoes, lettuce,peas, asparagus, okra, avocados, grapes, and strawberries
Florida – oranges
Idaho – potatoes
Hawaii - sugarcane, pineapples, and bananas

5. Manufacturing 20% of the economy in both countries
Employs about 20 percent of the regions workforce

6. Service Industry Largest area of growth in both US/Canada
Employs about 75%
Government, education, health care, tourism, entertainment, banking, and real estate
High-tech equipment
California – Silicon Valley: 20 of the world’s largest high-tech companies
Texas – more than 1,000 software companies in Austin
N. Carolina – Research Triangle: Raleigh, Durham, and Chapel Hill; biotechnology

7. Automobile Most popular means of personal transportation Status symbol
US: 3,900,000 mi roads/hwys
Canada: 550,000 mi of roads/hwys
Trans-Canada Highway: Victoria, British Columbia, to St. John’s, Newfoundland (4,860 mi)

8. Planes, trains, and buses
Popular for long-distance travel
Passenger trains and buses account for a small portion of travel
Railroads – transport about 35% of goods
Waterways – boats transport 15%
Trucks – transport about 20%
Planes – lg amount of overnight delivery
Pipelines – carry 25% of goods (oil and gas)

9. Communication
Phone, internet, and mail are primary sources of communication
Government owned in Canada
Privately owned in US (except for USPS)

10. Trade & Interdependence
US: 2nd in the world in exports (10% of world’s exports)
Chemicals, agricultural and manufactured goods, raw materials (metals, iron ore, and cotton)
US spends more on imports than we make on exports = trade deficit
Canada earns more on exports than it spends on imports = trade surplus

11. NAFTA 1994 pact: North America Free Trade Agreement
Canada, United States, and Mexico
Prohibits free flow of labor between countries
Removes trade restrictions
Outsourcing: setting up shop somewhere outside the US because labor is cheaper = cheaper products and jobs for foreign workers