Globalization Impact on Canadian Economy

Running head: GLOBALIZATION IMPACT ON CANADIAN ECONOMY
Globalization Impact on Canadian Economy
Name of Student:
Name of the University:
Author note:

1GLOBALIZATION IMPACT ON CANADIAN ECONOMY
Thesis Statement:
The purpose of this paper is to determine what the effects of globalization on the
Canadian economy are. The first part will address claims made by literature materials that
support the argument that there has been positive change in the economy, the second part will
then address the literature that says that there were negative impacts and the last argument
will focus on the claim that there were no changes in the economy in Canada caused by
globalisation.
Introduction:
The concept of Globalization is referring to the integration and interdependence of the
people in a country with the relationship with other countries in the world. Canada, similar to
the majority of the industrialized countries, is more interconnected than ever and their culture
remains very closely tied to the culture in the United States. Canada has a highly advanced
system of information systems and communications technology and its government has a
strong foothold in international organizations with their economy being actively in trade and
also a population that frequently travels abroad along with a population that is culturally
diverse. The Canadian economy has heavily relied on their external markets since the 17th
century. Prosperity of the economy depended on the export of the natural resources present in
Canada along with the import of various manufactured goods. The first section will focus on
the positive impact of globalisation on Canada, followed by the negative and then finally,
claims that there was no change in the economy.
1. Globalisation positively impacted Canadian Economy:
In the paper called Globalisation Impacts on Canada and on the Canadian Context,
the author mentions that the country of Canada is stuck between adapting the new and

2GLOBALIZATION IMPACT ON CANADIAN ECONOMY
getting over the old, especially because they share the world’s longest undefended border
with United States who is also their biggest trade partner. This relationship has brought
them many advantages, and that is why the Canadian economy has decided to move
forward with this concept to the next century (Lloyd, 2016).
Lloyd, Douglas & Krista MacDonald, Anne. (2016). Thoughts on globalisation in Canada.
The second article which is by Harry Arthur’s points out that the impact of
globalisation will have different effects when associated with the different corporate
activities it is in relations to. It is also mentioned that the presence of transnational
companies is what made globalisation a possibility. Canada has a unique form of
localised globalisation which makes it easier for transnational companies to treat their
subsidiaries present in other countries as an integral part of their business in the home
country.
Arthurs, H. W. (2018). The hollowing out of corporate Canada?. In Globalizing Institutions (pp.
29-51). Routledge.
In the paper by Christine Lagarde (2016), she mentions that Canada’s international
trade makes up for almost two-thirds of their GDP which means that the country is
heavily reliant on their global relationships to make their country prosper. She also
mentions in the article that Canada has been experiencing the most benefits from
migration of people into its country.
Lagarde, C. (2016). Making globalization work for all. International Monetary Fund.
2. Globalisation negatively impacted Canadian Economy:
In the address by Mark Carney who is the former Governor of the Bank of Canada, he
mentions that there are many spill overs of various policies onto the economy of Canada
relating to the promotion of export-related activities. A recent analysis has suggested that