Trudeau's National Energy Program

The national energy program

The 1970s were a difficult economical period for the young developing country of Canada. During that period the oil prices were at its peak, and other economic problems were beginning to manifesting themselves. Unemployment was epidemic in the eastern provinces where the Trudeau government had much of its political support. (Edward A p12). Hence for the Prime minister wanted to help the eastern part by the means of controlling prices of oil on the west, introducing the national energy program. When Trudeau enacted The National Energy Program (NEP) it was initially intended to prosper Canadian economy by selling cheap oil. In fact, the “NEP” has imposed many western businesses to go bankrupt, provoked rebellious…show more content…
Canadian government chose not to sell their oil across the seas despite those years being amongst the most expensive for oil prices on record. Instead the Canadian government has deliberated a very dull plan (as it has proved to be) which consisted of Alberta not being able to take part in the national trade, but instead supplying the whole Canada with oil, by a price lower than the one of the market. As a result, Alberta lost an immense amount of wealth which could have been acquired through the process of oil sales. Consequently, the workers could no longer get paid and therefore were discharged from their workplace, ceasing the production. In the meantime while Canada was out of the oil market, a Norway has became an oil dominated exporter. Canada who by now, was depleted of an oil source, were forced to commence a trade agreement with the Norwegians from whom they now bought their oil from at a higher rate. One wrong move in decision making on whether to hold on to something or make a profit out could significantly change the countries economic position. Both economically and socially has NEP failed to assimilate in the land of Canada. (Bruce Winton, 2) The program was initially enacted to enhance the productions of oil, but instead, it has ceased it, and put its producer in huge…show more content…
“Canada. Department of Energy, Mines and Resources”. The National Energy Program. Michigan: the University of Michigan, 2008. 242-243.s
2. Edward A. Carmichael,, Edward A. and Stewart, Carmichael, James K. ., James K. Stewart. Lessons from the National Energy Program. Toronto: C. .D. Howe Institute, 1983. 12-13, 33-35.

Academic Websites
1. Cindy Lecavalier. ”Insights on the Canadian Economy. National and Regional Trends in Business Bankruptcies, 1980 to 2005”. Statistics Canada. October 2006. Micro-Economic Analysis Division, June 8, 2008 <http://www.statcan.ca/english/research/11-624-MIE/11-624-MIE2006015.pdf.>
2. National Energy Program .The Canadian Encyclopedia . June 8, 2008. <http://www.thecanadianencyclopedia.com/index.cfm?PgNm=TCE&Params=J1ARTJ0005618>

Magazine
1. Bruce Winton. “Trudeau, Lougheed sign agreement “. NICKLE’S. Energy, Information, Technology. September 2, 1981. 1-. Nickle’s Energy Group. June 8, 2008