Material which you are responsible for from Chapter 29...
1.Imports/exports
Imports are goods and services brought into the country. Exports are goods and services sold to other countries.
2.Trade surplus/trade deficit
You have a trade surplus when the value of exports exceed imports. You have a trade deficit when the value of imports exceed exports.
3.Tariff
A tariff is a tax on a good from another country in order to raise the price on the imported good and make it more likely that people will buy the same good from the home country.
4.Free Trade vs. Protectionism
Free trade is trade between countries without tariffs. Protectionism is using tariffs to protect local goods.
5.Canada's imports
Canada's major imports include: industrial machinery; computers, television, and electronic equipment; motor vehicle parts; precision instruments, clocks, and musical instruments; textiles, clothing, and footwear; sports, games, and recreational equipment; fruits and vegetables; books, magazines, and other printed goods; sugar, coffee, tea, chocolate, spices, and nuts
The majority of imports for Canada are manufactured and high tech items.
6.Canada's exports
Canada's exports include:
oil, coal, and their products; natural gas; motor vehicles; pulp and paper; lumber products; minerals and mineral products; aircraft and spacecraft; grains and oil seeds; live animals, meats, dairy and eggs; fish and fish products
The majority of exports for Canada are natural resources.
7.NAFTA
NAFTA is the North American Free Trade Agreement. This agreement includes Canada, Mexico, and the United States. NAFTA was an extension of the Canada-US free trade agreement spearheaded by Prime Minister Brian Mulroney and President Ronald Reagan. The agreement has been key for the health of Canada's exports and the Canadian economy overall.
*** Remember, this material as well as the previous material regarding developed, developing and newly industrializing countries will NOT be on the Unit 2 test. However, this material is fair game for the final exam.
