Analyzing the Impact of Globalization on Canada's Economy and Trade

This report examines the multifaceted impact of globalization on Canada's economy, foreign trade, and international students. It explores the economic benefits of globalization, including increased investment, international trade, and technological advancements. The report analyzes the influence of globalization on Canada's foreign trade, highlighting the diversification of trade, the impact of trade agreements, and the role of foreign direct investment. It also discusses the effects of globalization on international students, including the commercialization of higher education and the reshaping of educational practices. The analysis covers the challenges and opportunities presented by globalization, emphasizing the need for Canada to adapt to global competition and leverage its strengths in trade and technology. The report concludes by summarizing the positive and negative impacts of globalization, emphasizing the importance of international trade and agreements on the economy, and the impact on the international students.

Running head: IMPACT OF GLOBALIZATION ON CANADA
Impact of globalization on Canada
Name of the student
Name of the university
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IMPACT OF GLOBALIZATION ON CANADA
Introduction:
The current paper seeks to address the impact of globalization on the economy of
Canada and its foreign trade as a whole. In addition to this, the report has also the objective of
evaluating the impact on globalization on international students of Canada. Globalization can
be described as growing interdependencies of economies of world with increasing integration
and interaction among the people and economy (Bende-Nabende, 2017). The retreat of
globalization is some of the prominent development and Canada is considered as one of the
most globally interconnected country having high class of communication resources,
technology and trade depending economy. In light of these attributes of the country,
globalization has numerous impacts on the development of China.
Discussion:
Evaluating the impact of globalization on economy of Canada:
For Canada, globalization comes with numerous economic benefits. In the history of
nation, the international integration in the recent times is considered as the second largest
expansion. With the globalization, economy of Canada is characterized by globally high rate
of investment and international trade. In addition to this, advance technology and knowledge
became a part of economy. The decision concerning the political scenario of the country is
also influenced by the growing number of international agreement and trade due to
globalization. The outsourcing and offshoring by Canadian industries increased rapidly due to
global integration. The trend of off shoring shifted because a high number of services and
products were purchased by Canadian industries from the outside countries. Furthermore, the
economy of Canada is becoming increasingly oriented to high end services. It has been
ascertained by the survey that the volume of business investment increased by 8% since year
2002 (Stein & de Andreotti, 2016). The employment in goods producing sector has raised

IMPACT OF GLOBALIZATION ON CANADA
compared to manufacturing sector where employment has fallen since 2002. However, there
labor income ratio to gross domestic product has declined due to change in technology and its
rapid advancement. Nevertheless, the string employment growth in the country has resulted
in continuous rise in labor income of Canada. The increasing economic ties between China
and Canada have resulted in increasing imports and exports. In the face of global forces,
inflation in the country is regarded as the function of monetary policy effectiveness. The
economic context of Canada fundamentally changed because of Free trade agreement
because several barriers to the enterprise were reduced and it expanded in other international
markets.
Globalization is the result of great changes in political, technological, economic and
social areas. It is known to revive the capital flows, investment, trade and movement of labor
force between the countries. The foreign trade and direct investment also help the developing
countries to confront the international competition by boosting their economy, exporting
capacity and increasing productivity (Bende-Nabende, 2017). In the globalization cycle, the
multinational companies and the economic integrations known to be quite effective in the
world economy by creating competition between the countries.
Evaluating the impact of globalization on foreign trade:
The opening of borders has resulted in increasing vigorous competition that comes
with increasing productivity and spurring innovation. The increase in productivity made the
high-quality products available at lower price and greater economic efficiency. However, it is
required to make adjustment to new dynamics due to intense global competition.
The foreign trade of Canada has diversified and the trend of diversification was
continued by the trade policy of country. It was indicated by the budget of year 2012 that the
country intended to expand its trade with China and entered into trade negotiation with the

IMPACT OF GLOBALIZATION ON CANADA
India, Trans pacific partnership and European Union. Demand of many commodities in the
country has increased due to rapid increase in the manufacturing unit. This created an upward
pressure on the price of the commodities exported and produced by Canada. The terms of
trade of Canada improved because of the combination of higher prices of export and lower
prices of import. Over the past five years, the real disposable income has been bolstered by
8.5% due to rising terms of trade and this has contributed in improving the fiscal position of
country and healthier corporate balance sheets (Guo & Guo, 2017). The inflation and growth
rate of gross domestic product in Canada is facing greater drag due to prolonged slowdown in
economy of US. For facilitating the global trade, more advanced systems are required. The
globalization pushed also pushed people for creating better systems in order to track
international trade.
There has been substantial growth of foreign direct investment due to globalization
because of increase in inflow and outflow of such investments and they have been a
significant contributor to the economic growth of country. Despite increasing and
attractiveness of investment activities in the country, the investors are less likely to
participate in the cross-border activities for which the reason is still be ascertained. The scope
of the globalization of the foreign trade or activities towards the outer world is known to be
quite broad in nature.
The challenge concerning globalization lies in how the country is preparing to deal
with the issues faced. In order to prosper, the firms of Canada are required to participate
continuously in global transactions. The implication of the globalization on the trade and
economy of Canada is quite significant. Globalization have a huge impact on the international
trade and had the effect of increased competition. The products and services which are
available within one country are made available to the new markets outside the country as a
result of globalization (Stein & de Andreotti, 2016). Also, the countries with positive

IMPACT OF GLOBALIZATION ON CANADA
relations between them are able to increase their economies through the increased trade and
investment. For facilitating the global trade, more advanced systems are required. The
globalization pushed also pushed people for creating better systems in order to track
international trade.
The scope of the globalization of the foreign trade or activities towards the outer
world is known to be quite broad in nature. In order to effect globalization of the foreign
trade, one of the main measures improving the foreign direct investment. Despite increasing
and attractiveness of investment activities in the country, the investors are less likely to
participate in the cross border activities for which the reason is still be ascertained. The
challenge concerning globalization lies in how the country is preparing to deal with the issues
faced
Impact of globalization on the international students
The globalization for the international students also means commercialization of
higher education. Globalization is also known to reshape the higher education in the United
States prompting more universities and colleges to internalize by sending more students for
studying abroad. The cities also become strategic sites where globalization is known to touch
down and also fuses with the local conditions for inducing social change. Globalization
known to radically transform the world in every aspect (Deresky, 2017). It has known to
transform the world economy that had become increasingly inter connected as well as inter
dependent. The global education interconnect methods of teaching from the worldwide. As
globalization in the world economy continues to be unabated in nature, a parallel growth of
globalization of knowledge have been taking place. The globalization also known to enhance
the ability of the students to acquire and utilize the knowledge and also enhances the ability
of learners to access, assess, adopt as well as apply knowledge to think independently.

IMPACT OF GLOBALIZATION ON CANADA
Conclusion
The impact of globalization known to have both positive as well as negative impact
on the Canadian economy. The advancement in the technology as well as internet will be
having positive forces on the economy of Canada. Most pf the people believes that
globalization with trading influences will be having a positive impact on the economy of
Canada. The growing number of international trade and agreements are known to strongly
affect the decision making of the political economy of the country. The changes in
technology and advancements known to expand the sphere of cultural aspects. Globalization
have a huge impact on the international trade and had the effect of increased competition. The
products and services which are available within one country are made available to the new
markets outside the country as a result of globalization. Also, the countries with positive
relations between them are able to increase their economies through the increased trade and
investment. The trend of off shoring shifted because a high number of services and products
were purchased by Canadian industries from the outside countries. Furthermore, the economy
of Canada is becoming increasingly oriented to high end services

IMPACT OF GLOBALIZATION ON CANADA
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IMPACT OF GLOBALIZATION ON CANADA
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IMPACT OF GLOBALIZATION ON CANADA