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Terms of Trade in Central Canada

Author

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  • Macdonald, Ryan

Abstract

This paper examines Ontario's and Quebec's adjustments to the resource boom. Higher commodity prices, an appreciating dollar, and increased foreign competition between 2002 and 2007 led to a restructuring of the Central Canadian economies. The restructuring manifested itself in all areas of the economy: manufacturing employment and output declined, while services and construction rose; within manufacturing there were declines across most industries in Ontario, and a shift away from consumer products towards capital products in Quebec; purchasing power increased in Ontario and Quebec as export and import prices adjusted.

Suggested Citation

  • Macdonald, Ryan, 2008. "Terms of Trade in Central Canada," Insights on the Canadian Economy 2008022e, Statistics Canada, Economic Analysis Division.
    • Handle: RePEc:stc:stcp2e:2008022e
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    File URL: http://www.statcan.gc.ca/bsolc/olc-cel/olc-cel?catno=11-624-M2008022&lang=eng
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    File URL: http://www.statcan.gc.ca/bsolc/olc-cel/olc-cel?catno=11-624-M2008022&lang=eng
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    Cited by:

    1. Colin Busby & William B.P. Robson, 2011. "The Retooling Challenge: Canada's Struggle to Close the Capital Investment Gap," e-briefs 126, C.D. Howe Institute.

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