Class 3: Canada Expands: Agriculture and Manufacturing

Class 3:Canada Expands Agenda Class Admin Summary from Class 2 Trade - Protectionism National Policy Break Agriculture in Canadian Economy Manufacturing in the Canadian Economy Massey Harris Case Group Assignment Q & A

Class 3:Canada Expands Outcomes Expected Able to discuss the Importance of Trade to Canada Able to discuss what protectionism is and it’s role in the development of Canada’s Economy Able to discuss John A. Macdonald’s “National Policy” and the role it plays and still plays in the Canadian economy Able to discuss the role of agriculture and manufacturing to the Canadian economy 3

Class 2: Defining Canada

Early Governments in Canada Government of New France 1608-1759 Mostly based on feudal system Fur Traders Aristocracy, Church dominated British Government 1759-1867 Traders and farmers dominated Early attempt to eliminate French influence through restrictions Eased off prior to US Revolutionary war

Revolutionary War, 1775-1783 After U.S. Revolutionary War 50,000 Empire Loyalists who did not want independence from Britain fled persecution and came north to Quebec and Nova Scotia. This resulted in Nova Scotia being split and Britain creating the Province of New Brunswick in 1784 and the creation of Upper and Lower Canada 1791 6 9 May 2011 6

War of 1812 7 Alison Kemper ADMS 1010 9 May 2011 7

Civil War in US 1861-1865 8 8

Upper & Lower Canada While the British ruled through a Lieutenant Governor, who spent most of their time in Europe, and an elected assemble, the effect rule was left to an executive group who were appointed for life. Family Compact – Upper Canada Chateau Clique - Lower Canada Lead to Unrest and finally rebellions in Upper and Lower Canada in 1837-38

Durham Report 1838 After the two Rebellions Britain sends Lord Durham to investigate and to make recommendations Create a responsible government Unite Upper and Lower Canada 1841 Act of Union into the Province of Canada

Lead Up to Confederation Civil War and Raiders from US caused concern Political instability in the new province of Canada John A. Macdonald and other delegates created the 72 resolutions that lead to the British America Act in 1867 establishing a confederation of provinces but with a strong central government to avoid US problems

Form Of Government Unitary State Federated State

What is Federalism? Emphasizes the legal and institutional aspects of the system. It has been defined as the method of dividing powers so that the general or central regional governments are each within there sphere coordinate and independent. 13

Principles of Federalism Governmental power is distributed between a central or national authority and regional state or provincial authorities Every individual is subject to the laws of each, both the central government and the regional government Neither levels can subordinate or over rule the other where powers specified Where powers not explicitly granted they are assumed to be part of either the central or the regional authority There is sharing – The sharing does not have to be equal and usually is not Both authorities have the ability to make laws and enforce them. They also have areas of exclusivity for make law The powers of either the central or regional governments cannot be changed or removed by the other unless consented to or under very special circumstances 14

Federal Legislative Powers British North Amercia Act 1867 Sec. 91 VI. -- DISTRIBUTION OF LEGISLATIVE POWERS. 91. It shall be lawful for the Queen, by and with the Advice and Consent of the Senate and House of Commons, to make laws for the Peace, Order, and good Government of Canada. 15

What are the challenges to Canadian Federalism? Duality of federalism. The country versus the regions. Vast geographic distances. Changing economic and social circumstances Nature of Regions. Many areas of Canada were independent prior to Confederation and have their own distinct identities. Given Canada’s unique flavour of Federalism how is it defined. Constitution Act

A Federal System is a Balance While it does not always remain so in the whole the balance seems to work Federal Provincial Federal Government provides peace and security for the entire nation Provincial Governments retain sufficient powers to regulate local matters

Judicial Powers A method of authoritative interpretation of the constitutional division of the legislative power The testing of the constitutional validity of laws both at the Federal and Provincial Levels The sole and absolute arbitrator Division of power Quebec Sovereignty Ownership of Mineral Rights off coast – 1965 – Canada Alberta, Ontario and GST Validity of Laws Same Sex legisltation Medicinal Marijuana

Differences between US and Canada In Canada Peaceful transition to independence More Collectivist More Gov. involvement More sense of Gov. responsibility for social welfare All powers not specifically reserved for the provinces are allotted to the Federal government. House of Commons democratically representative Senate Appointed Co-operative Federalism – Marble Cake In the United States Revolution to independence More Individualist Less Gov. involvement Less Gov. responsibility for social welfare All powers not specifically reserved for the Federal government are allotted to the States. House of Representatives (Congress) democratically representative Senate Elected and Equal Dual Federalism – Layer Cake In Canada the federal and provincial powers overlap and there is a lot of incursion into the provincial domain. The US the separation is more rigid and the Federal Gov. has less leeway to blend its powers with that of the states.

3. The fiscal and institutional arrangements of federal-provincial relations Trade was viewed a key benefit of confederation.

The Great Canadian Dream Canada's confederation on July 1, 1867 brought four eastern provinces together to form a new country. As part of the deal, Nova Scotia and New Brunswick were promised a railway to link them with the two Central Canadian provinces – Quebec and Ontario. Manitoba joined confederation in 1870. British Columbia, on the west coast, was enticed to join the new confederation in 1871, but only with the promise that a transcontinental railway be built within 10 years to physically link east and west. Canadian Pacific Railway was formed in 1881. This great Canadian Dream though national in scope was really the first step towards providing resources to different regions of Canada. Subsidized grain shipments for praririe farmers and the Canadian Wheat Board are all such economic programs that have been focused on various regions of Canada.

Fiscal and Institutional Arrangements From 1867-1929 Provinces gained more an more power from the Federal government Many provinces gained control over crown lands Gain control over mineral rights Growth of importance of Provincial roles in Education, Health and Welfare This role for the Federal Government has always existed and was part of the design of Canadian Federalism. The Central government was made stronger than that of the US because the founding fathers did not want strong regional governements The Federal governemtn could sieze all power, create a unitary state in time of economic or social unrest Regional government funding was purposely limited to Direct Tax only. The very nature of the regions put restrictions on them Newfoundland After the building of the railroad the next big catalyst that allowed the Feds to get heavily involved in provincial areas was

Factors Contributing to Increased Federal Activism The Great Depression and the need for Federal Government help? Federalism was influenced by the economic theories of John Maynard Keynes. Federal authority was seen under Keynes’ economic model to be the provider of economic stability through the use of the Central Bank to regulate money supply an Start of WWII, the War Measures Act Post War recession The Great Depression The Maritime and the Prairies were the hardest hit. Provincial governments were close to bankruptcy. Federal government developed and extended the concept of :areas of mutual concern” Keynesian economics was put into place where the governments sought to stimulate the economy Result

Cooperative Federalism Provinces started to resent Federal involvement in provincial jurisdiction Federal and Provincial Governments agree to work together in areas that are clearly the domain of one or the other Four Main Features Reliance on Federal-Provincial conferences Federal Government agreed to consult with provinces before committing to programs Policies designed as fiscal programs to create economic stability and growth – Cost sharing Formal structures to support intergovernmental relations Lead to a more integrated Federalism but did not solve provinces’ concerns 24

Executive Federalism Quebec often opted out of Federal Programs though wanted the money to do their own. (Double Image Federalism) Provinces began to take more activist roles in economic and social policy and demand great control over revenue and spending Lead to a more Executive Federalism First Minister Conferences Held behind closed doors As double image Federalism grew and other provinces demanded more autonomy over revenue and spending Executive Federalism begin to develop High level politcal meetings started to take place between first ministers to hammer out policy issues

Part 4: Regional Diversities and Disparities

Regional Differences Influenced by immigration patterns. Economics Access to Capital Occupational Mobility Market Size Cultural differences Spatial Mobility i.e. First Nations Resource differences Historic differences There is a great difference by region in almost every aspect. What should the expectations be of the Fed. Government to deal with all these levels of diversity We speak a lot about the Distinct Society of Quebec but within every region of Canada there are unique societies. – Multicultural Society Historically one of the major sources of conflict Different groups have settled in different regions have different demands and needs. Economic diversity has also been with us for years. The have and have not provinces. This prolonged state of a regions economy have also help form regional cultures. Resources – Have resulted in boom bust – Alberta Northern Ontario, BC and Ontario Lumber – Historic – Many provinces were individual colonial states have there own identity. Newfoundland join confederation in 1949 is actually closer to London England than Ottawa

Feds try to Manage Regional Differences three ways. Industrial Incentive Programs Infrastructure Assistance Programs Social adjustment and rural development programs. There were 3 broad policy areas that the Fed. Gov. has sought to manage Economic and Social Issues that they saw leading to regional and economic disparity Why do you think they care? Politics – Particlualy in Ontario and Quebec

Flaws of Regional Development Industrial incentive programs favor capital-intensive programs in areas where one of the major problems is excess labor. (Mega-projects). Do the companies really need the grants, or would they have done it anyway? Grants to one company could hurt other existing companies who have not received grants. Could lead to bidding wars between provinces Benefit may accrue to multi-national corporations

Currency Reform and Bank Act 1871 Canadian Banks: A better system    By Theresa Tedesco and John Turley-Ewart, Financial PostApril 5, 2009

Based on the Stern Model Building an New Country Canada 1867 what do you need for Competition and Sustainable Growth Discuss the mo Government Stability— Sound laws, peace, order and good government Financial System for providing Capital for financing for development Currency and means for trade

Class 3: Canada Expands: Agriculture and Manufacturing 32

The Role of Government in the Early Development of Canada Sir John A. MacDonald's national policy. Exercise of residual legislative powers to establish a strong central government to unite, expand, develop and settle a newly established nation. Regulate trade and commerce. Establish trading patterns.

The Staple Thesis of Harold Innis In 1922, standing on the campus of the University of Toronto, Harold Innis asked the question, What have been the very long run factors in the economic integration and independence of Canada? …He asked it when the Maritime Rights Movement, the Progressives on the Prairies, and the Partie National in Quebec were threatening to destabilize and regionalize the federation. His answer, pointing to the factors of unity and of separation from the United States, constituted the Staple Thesis of Canadian economic development. The Staple Thesis has formed the principal interpretive element in virtually all treatments of Canadian economic history since then. This was needed to hold Canada together and to keep it independent from the US. Notice the similarity of the circumstances then and now politically

The Staple Thesis of Harold Innis Asserted the origins and purposes of the federal government can be understood in terms of an economic territory dependent upon the export of certain staples. To make it commercially feasible, production entailed heavy public expenditures on railways and canals. The government filled an important vacuum by being the substitute for private enterprise in the building and developing Canada. Thomas Hockin later argued that the Canadian government was given an active role in national development and fostering and protecting of certain cultural and economic characteristics. Government needed to protect exportation particularly of natural resources Government needed to build transportation infrastructure State needed to invest before a business case was seen Our culture needed to be protected

Section 3: The Evolution of Protectionist Intervention in Canada

OVERVIEW OF THE SECTORAL STRUCTURE OF CANADA’S ECONOMY Evolution of Canada’s economy From agrarian to manufacturing and then to service-based Development of Canada’s corporate sector High degree of concentration of wealth and corporate power High degree of foreign ownership Copyright © Captus Press Inc., 2009 37 37

Copyright © Captus Press Inc., 2009 Sectoral Structure of Canada’s Economy from 1901-1961 Copyright © Captus Press Inc., 2009 38 38

Copyright © Captus Press Inc., 2009 SHIFTS IN EMPLOYMENT Employment is shifting away from the agricultural sector. Shift is attributed to an increase in the productivity of agricultural labour Due to increasing sophistication and mechanization of agricultural production Great increases in the goods production and service industries Copyright © Captus Press Inc., 2009 39 39

Copyright © Captus Press Inc., 2009 Sectoral Structure of Canada’s Economy from 1960-2005 Copyright © Captus Press Inc., 2009 40 40

EFFECT OF SHIFT TO SERVICE SECTOR Canadians will require different and greater level of job skills to be successful Government must adapt new industrial, tax and regional policies to reflect shifts Strategy is difficult because not all provinces equal Need to manage these differences Copyright © Captus Press Inc., 2009 41 41

SIR JOHN A. MACDONALD’S NATIONAL POLICY (1879) Designed to encourage manufacturing growth in Central Canada Imposed high tariffs on manufactured goods Machinery in the natural resource industries: Exempted from tariff or charged low rates of duty Resulting east-west flow of goods helped make the Canadian Pacific Railway viable Established open market for foreign investment “The bigger the capitalist and the more he has invested in the country, the better the country.” Sir John A. Macdonald. Attracted both foreign and domestic investors to Canada’s protected markets Copyright © Captus Press Inc., 2009 42

SIR JOHN A. MACDONALD’S NATIONAL POLICY (1879) Designed to encourage east-west trade rather than north-south with the U.S. Development of harbours and fast steamship lines to England and Asia Encourage the grow the a wealthy business class in Canada Strong Immigration Policy to promote the population of Western Canada http://www.thecanadianencyclopedia.com/index.cfm?PgNm=TCE&Params=A1ARTA0005632 Macdonald believed the future of Confederation, he thought, hinged upon the development of the West. Without such development, the Americans would take over the West, encircle Canada and inevitably bring about its annexation. Hence, the dream of creating a sepearate, peaceful and orderly society on the northern half of the continent would die. http://faculty.marianopolis.edu/c.belanger/quebechistory/federal/npolicy.htm 43

IMPLICATIONS OF THE NATIONAL POLICY Foreign firms importing goods into Canada Disadvantaged by the tariff Free to invest in Canada and establish subsidiaries Developed “branch-plant” mentality (inefficient) Foreign firms able to open resource frontiers before Canadian firms Vertical integration National Policy made Canadian industries very attractive investments Concentration of ownership and market power Copyright © Captus Press Inc., 2009 44

CORPORATE SECTOR IN CANADA Compared to United States: Canadians never fully trusted the market mechanism to allocate resources and rewards Did not encourage the growth of the free enterprise system Did not discourage conditions that inhibit growth Empire Loyalist who were mostly small business men had rejected the liberal views that resulted in U.S. revolution Copyright © Captus Press Inc., 2009 45

CANADA’S UNIQUE CORPORATE SECTOR Ownership and control: To a significant extent, corporations controlled by foreigners Controlled by a relatively small group of individuals and firms Competitive environment: Relatively small number of corporations in any particular industry. Industry Significant proportion are involved in the extraction and processing of natural resources Copyright © Captus Press Inc., 2009 46

CANADA’S UNIQUE CORPORATE SECTOR Initially: Supplier of raw materials British-controlled firms Loyalists - State should protect small businesses Started their own industrial enterprises Copyright © Captus Press Inc., 2009 47

FOREIGN VERSUS CANADIAN OWNERSHIP Canada has high level of foreign ownership Ownership and control of corporations: Canadian preferred to foreign Profits of Canadian-owned corporations go to Canadians Contribute to wealth and material well-being Profits of foreign-owned firms do not Copyright © Captus Press Inc., 2009 48

Before the National Policy The Canadian American Reciprocity Treaty, also known as the Elgin-Marcy Treaty, was a trade treaty between the colonies of British North America and the United States. It covered raw materials and was in effect from 1854 to 1866. It represented a move toward free trade, and was opposed by protectionist elements in the United States, who joined with Americans angry at apparent British support for the Confederate States of America during the American Civil War, ended it in 1866.

Post National Policy Attempts at Free Trade The last major attempt at reciprocity was negotiated in 1911 by the Liberal government of Sir Wilfrid LAURIER. This Reciprocity Agreement, to be implemented by concurrent legislation, provided for free trade in natural products and the reduction of duties on a variety of other products. The agreement was accepted by the US Congress but repudiated by Canadians, who ousted the Liberals in the general election of 21 Sept 1911. Protectionism ruled until The Free Trade Agreement of 1989 was signed.

Protectionism

Protectionism

What is Protectionism Government actions and policies that restrict or restrain international trade, often done with the intent of protecting local businesses and jobs from foreign competition. http://www.investopedia.com/terms/p/protectionism.asp#ixzz1wGekmqlr Even in the most right wing of countries, governments will inevitably choose to intervene to protect what they perceive as in the nation interest.

What is Protectionism? Refers to government policies that shield domestic production and producers from foreign competition.

How does Protectionism Work Degrees of Intervention Persuasion (Minimum) Manipulation of the tax system The awarding of government contracts Granting subsidies and tax concession policies

Trade Restrictions as Protectionism To protect domestic Industries from foreign competition Tariff refers to a tax imposed by the importing country when a good crosses an International boundary

An Example of a Protective Tariff A Canadian Tariff of 15% is imposed on foreign automobiles. The automobile costs $5,000/ This means the tariff will be $750. When exported to Canada the Canadian price will be $5,750.

An Effect of a Protective Tariff Producers dependent on protection cannot normally export since their costs are often above world prices. They depend almost entirely on the domestic market.

Economic Losses from Tariffs Often Exceed their Benefits A tariff is wasteful It leads to the substitution of higher cost domestic products and lower cost imports. Increase in economic rent which is economic rents are "excess returns" above "normal levels" that take place in competitive markets

Trade Restrictions as Protectionism Non-tariff barrier refers to any action other than a tariff that restricts International trade Quotas Licensing Regulations Can be seen as worse than tariff barriers

Political Realities Ensure Protectionist Policies Politicians are likely to ignore tariffs or pay lip service to free trade elsewhere. To support tariffs where the protectionist vote is concentrated Politicians who would gain by repealing tariffs may vote against it in trade off for other issues they are interested in.

Canada Pioneers Canadian Content Provisions Easier for companies to import when they produce in Canada a certain proportion of the content of goods they sell. Became ingrained in Canadian broadcast and magazine production. Major mandate of Canadian Radio and Television Commission (CRTC)

Cultural Protectionism The CRTC's Over-the-top 'Fact Finding Mission': Key Submissions   Submitted by Adam Webb on Wed, 07/13/2011 - 02:04 Front Page Media News Post For the second time in two years the CRTC has requested submissions from concerned parties on the increasing prevalence of over-the-top (OTT) services. Like so many of the Commission’s actions, the decision to prematurely reopen discussion is derived from a mix of obsessive cultural concern, private sector lobbying and a dependence on external research.

Section 4: Arguments for Protection Industries fearful of foreign competition. Those intended to influence the composition of production. Those intended to influence the level of employment. Those intended to influence the distribution of income.

Protection of Infant Industries When foreign competition is reduced or eliminated by import barriers, new domestic industries can develop rapidly. Protection frequently cannot be removed because the domestic industries never develop sufficient competitive strength.

National Defense Argument Seeks to avoid dependence on foreign sources for supplies of essential materials or finished products that might be denied in time of war.

Counter Dumping Argument Dumping occurs when products are made available as imports at prices lower than the prices prevailing in the exporting country.

Redistribution of Income Argument for Protectionism Refers to a country's ability to gain income at the expense of other countries by imposing tariffs or other import barriers. Invites retaliation.

Increasing Employment With imports reduced, demand for domestic substitutes will be stimulated expanding production at home. Referred to as “Beggar-thy-Neighbor” It invites retaliation by other nations.

Outsourcing and Off-Shoring of Employment Outsourcing involves moving a portion of production outside of a firm. Off-shoring entails sourcing part of inputs outside the country.

Note: Authors’ calculations from data. Source: Statistics Canada, Input–Output Accounts Import share of service and material inputs in the business sector, 1961 to 2003

Conclusion: Officially Countries Deny Protectionism and Favor Free Trade When economies are booming and jobs seem secure, most people tend to support free trade. When recessions occur, many countries become more protectionist because of national interest and pressure from organized labor and other interest groups.

Roles of Agriculture and Manufacturing Industries in Canada Historically Canada industry and agriculture were impacted by Mercantilism theory Mercantilism is an economic theory that there is a fixed amount of wealth in the world and that a nation's prosperity depends on its success in accumulating wealth by exporting more than it imports. European nations attempted to put it into effect through commercial policies designed to produce a favourable balance of trade, through acquisition and development of colonies as exclusive markets and sources of raw materials.

Context: Relationship of Agriculture & Manufacturing in GDP terms Urquhart, 1988: Table 2.13: New Estimates of Gross National Product, Canada, 1870-1926: Some implications for Canadian Development Alison Kemper ADMS 1010 30 May 2011 74

Agriculture in Canada Maritimes The British promoted agriculture in the Maritimes to provision both its military and merchant fleets and supported trade to the West Indies After 1850 Maritime agriculture was affected by 2 principal developments: the transition throughout the capitalist world from general to specialized agricultural production and, especially after 1896, the integration of the Maritime economy into the Canadian economy After 1896 the boom associated with Prairie settlement opened the Canadian market to fruit (especially apples) and potatoes

Agriculture in Canada Quebec Despite being a feudal system agriculture took a back seat in early Quebec to the fur trade Agriculture was never a major export player in Quebec, It was not until 1640 that is was even self-sustainable in agriculture and even that disappeared in the 1830’s. Later 19th-century Québec agriculture was marked by increases in cultivated area and productivity, and by a shift from wheat production to dairying and stock raising.

Agriculture in Canada Ontario Agriculture in what is now Ontario was dominated 1800-60 by wheat production. Wheat was the crop most easily grown and marketed and was an important source of cash for settlers. British tariffs (Corn Laws), US tariffs and crop failures (the midge, 1858) significantly hurt the wheat trade in the first half of the 19th century. British tariffs were offset when preferential tariffs were introduced for Canada. Also the reciprocity treaty with the US from 1854-1866 helps Livestock raising increased after 1858 and with the introduction of factory cheese making a large cheese industry developed in Ontario In the late 19th and early 20th century with urbanization there was a increased demand for market gardens and beef and milk product to feed the cities. It also put a drain on farm labour. After a period of strong income the depression made it difficult to sell crops so the government regulated parts of the agricultural sector and created marketing boards that still exist today. The most important is the Milk Board

Agriculture in Canada Prairies Confederation was the spur to the agricultural development of the Prairie West. Purchase of Ruperts Land by the government and the support to populate the west with farmers led to this expansion. The creation of Marquis or Winter Wheat in 1907 overcame the short growing season. Large scale ranching on leased land was started in Alberta After the boom of WW1 the price of wheat declined and stayed depressed throughout the 1930’s. During this period of time technological advances were made with the invention of the combine. Much of the infrastructure for farming and transportation was controlled from central Canada. Farmer’s resented an formed what has become the “United Grain Growers” One organziation that came out of this period is the Canadian Wheat Board to be the sole marketing agent for Canadian wheat and barley

Agriculture in Canada British Columbia Agriculture in BC was basically only to supply local markets and other industries in rural BC Fruit production began in the Okanagan Valley in 1880. This remains the dominant agricultural activity in BC.

Manufacturing in Canada Manufacturing in Canada had its beginnings early in the 18th century, but it was not until the late 19th century, with the development of electricity and a national political objective, that it achieved significant growth. Throughout the 20th century, manufacturing has contributed significantly to the economic well-being and prosperity of Canadians

Manufacturing in Canada Manufacturing in Canada began with flour mills. The first gristmills were built in New France in the 17th century and, by 1840, there were 400 in UPPER CANADA and LOWER CANADA producing flour for domestic and foreign sale Iron smelting began in the 1730s at the FORGES ST-MAURICE near Trois-Rivières, Québec. With CONFEDERATION in 1867 came geographic expansion, construction of the CANADIAN PACIFIC RAILWAY, and new settlement bringing population increases, skills and capital Eight years later, John A. Macdonald's NATIONAL POLICY established protective tariffs to encourage domestic processing of Canadian materials

Manufacturing in Canada During the 1870s and early 1880s., the discovery of electricity and the subsequent harnessing of some of Canada's vast hydro resource provided industry with an efficient, low-cost source of hydro-electrical energy. At the same time the extent of the mineral wealth beneath the Canadian Shield began to be realized. Between 1945 and the 1990s, manufacturing has accounted for 22-24% of Canada's total real output of goods and services.

Manufacturing in Canada Four developments in trade policies and practices in this period affected Canadian manufacturers substantially: the Canada-US Autopact; the GENERAL AGREEMENT ON TARIFFS AND TRADE (GATT); the world competitive environment, particularly the emergence of lesser developed countries; and the bilateral FREE TRADE agreement with the US reached in late 1987 and its expansion in the late 1990s to include Mexico With "freer trade," the volume of manufactured goods imported into Canada has increased. Canada's degree of trade exposure is high by international standards, Ontario and Quebec dominate the manufacturing sector in Canada though the western provinces are increasing particularly in the area of extracting technology.

Copyright © Captus Press Inc., 2009 Sectoral Structure of Canada’s Economy from 1901-1961 Copyright © Captus Press Inc., 2009 84 84

Sectoral Structure of Canada’s Economy from 1901-1961 Establishments Employees 1920 22,532 598,893 1930 22,618 614,696 1940 25,513 762,244 1950 35,942 1,183,297 1955 38,182 1,298,461 1956 37,428 1,353,020 1957 37,875 1,359,061 1958 36,741 1,289,602 1959 36,193 1,303,956 1960 32,852 1,275,476 1961 32,415 1,264,946 85 85

Copyright © Captus Press Inc., 2009 Sectoral Structure of Canada’s Economy from 1960-2005 Copyright © Captus Press Inc., 2009 86 86

Canada’s First Great Manufacturer: The Story of Massey-Harris

Massey Harris Who were the Key Players in the Case Origins . Daniel Massey Jr. What type of Individual was he?

Massey Harris International Events ? Effect on Daniel Massey Jr.?

Massey Harris Development of the Business Demand was significant, Why What significant change happens in the business What did Hart bring to the business? What was one of his key strategies What supported his expansion? What else was the company facing? What was the significance What Innovations were there?

Massey Harris Marketing the Business What did Hart do the market the business and increase share What did Massey launch that created a direct link between the manufacturer and the farmer.

Massey Harris Questions Hart Massey faced: What Does he Do? Expand into US? Export to Europe? Focus on Domestic Rivalry? What Does he Do? What assisted him? Where did he finally expand to?

Massey Harris Change of Leadership Competitive Position ? What Happens? Competitive Position ? How did Massey deal with it?

Massey Harris Government Policies Another Management Change What Policies Helped ? What Policies Hindered? Another Management Change

Group 1 Assignment No less than 5 and no more than 8 members in a group In your group assign one person with a lap top and internet access to be the scribe. On the first page of your template please put your assigned group number. Put the name of each member on the cover of the template that was emailed or downloaded from the website The scribe will type out the answer to the questions At the end of the class the scribe will email me with the filled out attached template and will copy each member of the group. In the subject line please put your assigned group number I will mark it and will return a copy of the marked paper prior to each person, on the cc list the next class

Next Week Readings Case: Relentless Change: Wars, Depressions and Dynamic Growth, pp. 79-94 AND CNR, pp. 100-117 The CNR http://www.thecanadianencyclopedia.com/index.cfm?PgNm=TCE&Params=A1ARTA0006655 Keynes in Canada http://www.thecanadianencyclopedia.com/index.cfm?PgNm=TCE&Params=A1ARTA0004289 The Depression in Canada http://www.thecanadianencyclopedia.com/index.cfm?PgNm=TCE&Params=A1ARTA0003425 Social Welfare in Canada Crown Corporations in Canada http://www.canadianstudies.ca/NewJapan/institutions.html Rasmussen's slides on Crown Corporations