Impact Of Natural Resources On Canadian Economy

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The current economic trends of the natural resource sector are being closely followed by the governments of Canada on the federal, provincial and city levels. Natural resources are key to the Canadian economy and according to statistics Canada, energy, forestry and mining generated 11% of the Gross Domestic Product (GDP) in 2011.). As the demand for commodities increases worldwide the Canadian export sector grows which keeps the economy alive and even booming at times. The Canadian economy has been negatively affected by weak commodity prices and the drop in global trade. The federal government’s economic action plan is investing in the natural resource sector to build and secure Canada’s economic future. Natural Resource Canada (NRCAn) is…show more content…
The United States economy is concentrating on higher saving initiatives which lead to lower consumer buying. This directly impacts the exportation of canada’s natural resources, “As a leading exporter of natural resources and resource-based technology and knowledge, Canada contributes to the wellbeing of people in many countries and promotes the sustainable development of natural resources in today’s investment climate.” In reaction to the global economy downturn, Canada is concentrating on promoting stronger domestic demands by creating and promoting initiatives in the struggling world markets. In principle, the Canadian government is adapting to the changing global economy and is trying to build relationships with other countries around the world to secure our domestic economic stability. The government is investing and looking to employment resources from in hiring employees to remain strong throughout the regions of Canada, “By 2030, natural population increase is expected to reach zero, meaning that from then on, immigration will be the sole source of population growth.” (http://www.cspc.ca/files/Reports/naturalresourcesprofile_e.pdf) Forestry is a major resource in British Columbia, according to statistics Canada forestry makes up 1.8% of Canada’s gross domestic product. http://www.nrcan.gc.ca/statistics-facts/home/887. “BC’s energy exports to the U.S. went down by 4.4%, but the shipments to overseas countries increased by 31%.”
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