Canada Economy
Economy - overviewAs an affluent, high-tech industrial society, Canada today closely resembles the US in its market-oriented economic system, pattern of production, and high living standards. Since World War II, the impressive growth of the manufacturing, mining, and service sectors has transformed the nation from a largely rural economy into one primarily industrial and urban. The 1989 US-Canada Free Trade Agreement (FTA) and the 1994 North American Free Trade Agreement (NAFTA) (which includes Mexico) touched off a dramatic increase in trade and economic integration with the US. As a result of the close cross-border relationship, the economic sluggishness in the United States in 2001-02 had a negative impact on the Canadian economy. Real growth averaged nearly 3% during 1993-2000, but declined in 2001, with moderate recovery in 2002-03. Unemployment is up, with contraction in the manufacturing and natural resource sectors. Nevertheless, given its great natural resources, skilled labor force, and modern capital plant Canada enjoys solid economic prospects. Solid fiscal management has produced a long-term budget surplus which is substantially reducing the national debt, although public debate continues over how to manage the rising cost of the publicly funded healthcare system. Trade accounts for roughly a third of GDP. Canada enjoys a substantial trade surplus with its principal trading partner, the United States, which absorbs more than 85% of Canadian exports. Roughly 90% of the population lives within 160 kilometers of the US border.
GDP
purchasing power parity - $958.7 billion (2003 est.)
GDP - real growth rate
1.7% (2003 est.)
GDP - per capita
purchasing power parity - $29,800 (2003 est.)
GDP - composition by sector
agriculture: 2.2%
industry: 29.2%
services: 68.6% (2003 est.)
Investment
19.5% of GDP (2003)
Population below poverty line
NA
Household income or consumption by percentage share
lowest 10%: 2.8%
highest 10%: 23.8% (1994)
Distribution of family income - Gini index
31.5 (1994)
Inflation rate
2.8% (2003 est.)
Labor force
17.04 million (2003 est.)
Labor force - by occupation
agriculture 3%, manufacturing 15%, construction 5%, services 74%, other 3% (2000)
Unemployment rate
7.8% (2003 est.)
Budget
revenues: $348.2 billion
expenditures: $342.7 billion, including capital expenditures of NA (2003 est.)
Public debt
77% of GDP (2003)
Agriculture - products
wheat, barley, oilseed, tobacco, fruits, vegetables; dairy products; forest products; fish
Industries
transportation equipment, chemicals, processed and unprocessed minerals, food products; wood and paper products; fish products, petroleum and natural gas
Industrial production growth rate
0.2% (2003 est.)
Electricity - production
566.3 billion kWh (2001)
Electricity - consumption
504.4 billion kWh (2001)
Electricity - exports
38.4 billion kWh (2001)
Electricity - imports
16.11 billion kWh (2001)
Oil - production
2.738 million bbl/day (2001 est.)
Oil - consumption
1.703 million bbl/day (2001 est.)
Oil - exports
2.008 million bbl/day (2001)
Oil - imports
1.145 million bbl/day (2001)
Oil - proved reserves
5.112 billion bbl (1 January 2002)
Natural gas - production
186.8 billion cu m (2001 est.)
Natural gas - consumption
82.25 billion cu m (2001 est.)
Natural gas - exports
109 billion cu m (2001 est.)
Natural gas - imports
4.46 billion cu m (2001 est.)
Natural gas - proved reserves
1.691 trillion cu m (1 January 2002)
Current account balance
$18.63 billion (2003)
Exports
$279.3 billion f.o.b. (2003 est.)
Exports - commodities
motor vehicles and parts, industrial machinery, aircraft, telecommunications equipment; chemicals, plastics, fertilizers; wood pulp, timber, crude petroleum, natural gas, electricity, aluminum
Exports - partners
US 86.6%, Japan 2.1%, UK 1.4% (2003)
Imports
$240.4 billion f.o.b. (2003 est.)
Imports - commodities
machinery and equipment, motor vehicles and parts, crude oil, chemicals, electricity, durable consumer goods
Imports - partners
US 60.6%, China 5.6%, Japan 4.1% (2003)
Reserves of foreign exchange & gold
$36.27 billion (2003)
Debt - external
$1.9 billion (2000)
Currency
Canadian dollar (CAD)
Currency code
CAD
Exchange rates
Canadian dollars per US dollar - 1.4011 (2003), 1.5693 (2002), 1.5488 (2001), 1.4851 (2000), 1.4857 (1999)
