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Federal budget brought in canadian content

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Federal budget brought in Canadian content requirements of domestic car production and introduced low tariff which resulted in modestly lower domestic auto prices.(cheaper materials=low input cost) Us and other counties raised tariff and the Canadian government was forced to raise tariff to protect Canadian businesses US Franklin government passed the Trade agreement act which permitted the executive to negotiate treaties for the reciprocal lowering of tariffs. Accompanying this trend towards lower tariffs was a heavy reliance in Canada on Foreign direct investment (FDI). Government expenditure Government at all levels within Canada became more active in operation of what had become preserve of the private sector and were playing a crucial role in trade – moving from a protectionist to a freer trade stance. Financial systems: Public policy point of view the government decision to create a central Bank, the Bank of Canada during the great depression. In the 1940 the government introduced unemployment insurance and after the 2 nd world war created central mortgage and housing corporation (CMHC)—permitted the bank to issue home mortgage loans for the first time. Ontario created the system of Workmen’s Compensation Insurance and other provinces followed Other financial intermediaries : Life insurance industry experienced explosive growth and trust companies became an important part of Canadian financial scene by the mid 1950s.
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Consumer loan companies(generally called Acceptance companies) became new and important financial intermediaries They assumed financial risk of providing day-to-day operating capital, spanning the time gap between production of commodities and scale and payment for them. Toronto Exchange merged with the Toronto stock and mining exchange and took over Montreal exchange. Entrepreneurs Include retailers, publisher, and manufacturers(Massey, Harris,Eaton) In extractive sector- grain trade, mining, forestry Large Non- financial corporations Investor-owned electrical public utility industry taken over by government Rail way sector taken over by government and replaced by crown corporation Canada National Railways The transformative technology of first half of the 20 th century was the development of internal combustion engine Big auto, Big Oil and Big steel that replaced Big Rail, Big coal as the main drivers of the economy Canada shifted from an agriculture dominated economy to manufacturing dominated economy The extractive sector came to dominated by Big Oil companies rather than Big coal New types of mineral companies were in operation producing aluminum and nickel resources extracted by Canadian companies Transportation and public utilities Beginning of 20s century Investor owns transportations and public utilities sector. Mid 20s century new type of transportation- by air.
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Federal budget brought in Canadian content requirements of...

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