Why Invest in Canmada

Why Invest in - 1 Economic Indicators Budgetary Balance Why Invest in Canada www.investincanada.gc.ca In 1997 Canada became the first G-7 country

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1. Economic Indicators Budgetary Balance In 1997, Canada became the first G-7 country to post a surplus in the 1990s. After six consecutive annual surpluses, balanced budgets or better are expected for 2003-04 and each of the next two fiscal years. Federal government spending as a % of GDP has reached a 50-year low, the key source of the Canada´s fiscal turnaround. G-7 Comparison Canada's federal government is expected to have balanced budgets or better through 2003-04 whereas the U.S. has shifted into large fiscal deficits. According to the OECD, Canada was the only G-7 country in surplus in 2003 and this is expected to continue in the 2004-2005 period. Inflation Canada´s targeted inflation rate is locked between 1% to 3% and has been extended until 2006. With low inflation over the past decade, Canada is considered among low inflation countries. Over the past five years, Canadian inflation averaged 2.4%, lower than the U.S. Inflation Year % Change Canada U.S.A. 2003 2.2 1.2 2002 2.4 2.4 2001 2.1 1.6 2000 1.3 3.4 1999 1.4 2.7 1998 1.3 1.6 GDP Growth Canada led the G-7 in terms of growth over the 2000-2003 period. Canada is expected to remain a top performer over the 2004-2005 period. 2 International Trade Border Flows Since the enactment of the North American Free Trade Agreement (NAFTA) in 1994, Canada provides long-term assured access to the North American market — over 400 million people with a combined GDP of over $11.4 trillion ($U.S.) In addition to eliminating tariffs, NAFTA provides procedures for: border facilitation; movement of personnel; investment and intellectual property protection; and product certification. The North American market is serviced through a well integrated transportation system which is among world´s best. Why Invest in Canada? www.investincanada.gc.ca
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Automated permit ports, transponder identification systems and joint processing centres are being tested and deployed. Smarter Borders. .. Improving the secure flow of goods and people at the border is a key priority for both Canada and the United States. In December 2001, Canada and the USA signed a declaration to build a Smart Border for the 21st Century to accommodate the growth in trade and commerce The Declaration outlined a 30-Point Action Plan which provides for ongoing collaboration in identifying and addressing security risks, while efficiently expediting the legitimate flow of people and goods across the Canada-U.S. border. FAST lanes for pre-approved low-risk commercial traffic opened at Windsor-Detroit, Sarnia-Port Huron, and Fort Erie-Buffalo. Today, border wait times average less than 10 minutes, one of the most efficient systems in the world. NAFTA Market
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This note was uploaded on 04/29/2011 for the course ECON 100 taught by Professor Mr.smith during the Spring '11 term at DeVry Sandy.

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Why Invest in - 1 Economic Indicators Budgetary Balance Why Invest in Canada www.investincanada.gc.ca In 1997 Canada became the first G-7 country

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