Regional Economic Analysis of Ontario: A Comprehensive Overview

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Contents
Introduction..............................................................................................................................III
Dominant Economic Activities................................................................................................III
A brief overview of the natural resources................................................................................III
Population Data of Ontario......................................................................................................IV
The Core and the Periphery Areas...........................................................................................VI
The Fault Lines in Ontario......................................................................................................VII
Challenges for Ontario............................................................................................................VII
Conclusion.............................................................................................................................VIII
Works Cited.............................................................................................................................IX

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Introduction
Ontario is known for its varied landscape and vibrant multiculturalism. In this report,
the major economic activities of the region are outlined. Furthermore, the natural resources
found in Ontario are also highlighted and the population dispersion and the population
density are briefly discussed. A small discussion on the location of the core areas of Ontario
is done. At last, a description of the Bone's fault lines in the region is provided. The report
concludes by discussing the major challenges people of Ontario face.
Dominant Economic Activities
The economy of Ontario is dominantly dependant on its natural resources,
manufacturing, and agriculture, and service industry. Ontario contributes 37% of the national
GDP and is currently providing employment to more than 50% of the workers indulged in
high-tech financial services and other industries. Being a part of the North American Free
Trade Area, Ontario generates over $18 trillion (Winfield and Dolter, 203). Talking about the
manufacturing sector, the key manufacturing industries are pharmaceuticals, automobile, ICT
devices, medical device, biotechnological machines, etc. As per the data provided by
Statistics Canada 2015, more than 88% of automobile manufactured in Ontario are exported
to the USA. More than 50% of the high quality, high yield farms of Canada are located in
Ontario and contribute one-fourth of agriculture revenue in Canada (Flick, et.al, 125).
Agriculture production comprises apples, berries, grapes, vegetable, cash crops, etc.
A brief overview of the natural resources
With its varied landscapes, Ontario has a plethora of natural resources. It has
innumerable lakes, streams, and rivers that play a significant role in the development of the
province. They serve as a source of food and mean of transportation and determine the
pattern of industrialization and settlement in earlier times (Stokes, et.al, 495). The St.

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Lawrence River basin and Great Lakes contributes majorly to over 75% manufacturing
industry, especially to food processing and agriculture. The forest area is 66% of the total
Ontario's land and provides 55000 jobs in the forest-based industries. In addition to this, over
2, 50,000 direct and indirect jobs are provided to the communities of Ontario (Government of
Ontario, 2017). The mineral production in 2018 in Ontario was nearly $10 billion. In terms of
productivity, Ontario is a global leader and follows almost all environmental standards. It is
famous for nickel, platinum, copper, gold, Zinc, lime, gypsum, and sedimentary rock. In
addition to this, the presence of oil and natural gas in the region is another plus point for the
region.
Population Data of Ontario
Ontario is the most populated province of Canada with more than 38% of the
country’s total population. The population of Ontario in 2016 was 14, 322,757 with the gross
population density per square kilometers of 14.8. The projected growth in the population is
30.2 % in the next 24 years and the projected increase in the population is estimated to be 4.3
million. The annual rate of growth of population in the region is 1.8%. As per the
government, of all the increase in the population, 75% of growth will be due to in-migration
of people within the country and from outside the region (Government of Ontario, 2017).

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Figure 1: Population Projection of Ontario
Source: Statistics Canada Website, 2017
As per the data provided by the Ministry of Finance Projection, the growth in
population will be more in the GTA and gradual in the north and south regions of Ontario as
shown in figure 2 and 3
Figure 2: Population growth in Ontario between 2017 and 2041

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Source: Ontario’s Ministry of Finance Projection
Figure 3: Population Increase Percentage in Ontario
The Core and the Periphery Areas
Friedman's core/periphery model is introduced to comprehend the regional-economic
relationship in Ontario. The model can be used to understand the spatial nature of the
economy of Ontario while the region is under the influence of changing technology and mark
the golden future for Ontario among other provinces. Southern Ontario is the main part of
Ontario province being economically and culturally strong and densely populated (Mitchell,
et al, 470). Therefore, it can be stated that Southern Ontario and GTA are the core areas,
whereas the northwest and east areas of Ontario can be called periphery areas. The
application of the model would ignore the social significance and issues up to some extent.
These are associated with four fault lines. It can be seen that the region has undergone an
economic turmoil in the fast few years but now it is regaining its status of being an economic

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engine for the country. In 2017, the GDP of the region experienced a rise of 3% symbolizing
the rejuvenation of the economy of Ontario.
The Fault Lines in Ontario
Canada has many existing fault lines and tension cracks. According to Allegra, et.al,
these appear due to tectonic forces in the earth crust (568). According to Bone, the four fault
lines have divided Canada into different characteristics (Allegra, et.al, 570). The particular
relevance is given to decentralist and centralist views of Canada, French and English
Speaking Canada, Indigenous and non-indigenous, and new and old Canadian. Even though
these fault lines have threatened the country, Canada is still sustaining. This has been
achieved majorly by making use of compromise. Talking about the Indigenous and non-
indigenous fault line which is still existing in the country and is still the intricate one.
Government is taking steps to reduce the gulf between the two communities (Rosella, et.al,
532). Policies have been made and special status is being provided to the indigenous people
in order to safeguard their culture along with the development undergoing in the country. In
the next 10 years, the fault line will shrink for sure due to the steps taken up by the
government and policies made by them to address them individually.
Challenges for Ontario
There are many major challenges faced by Ontario. The first and foremost is the
meager growth in the economy and increasing demand and supply gap in jobs. Currently, the
government is focusing on economic growth without much focus on creating permanent jobs.
The other challenge is the energy issues and the rising price of gas and natural fuel (Calvert
and Mabee, 212). This has increased the concerns of the industrialist in the region. The other
issue is the government's effort failed in health sector putting a negative impact on economic

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growth. To resolve the energy issue, the government should think of a renewable source of
energy instead of fossil fuels (Winfield and Dolter, 201). In addition to this, it should provide
subsidy in the health sector and promote the public-private partnership model to provide
better services.
Conclusion
In this report, the discussion on Ontario’s economic, regional, social, and other
features had been done. The economic activities majorly contributing to the economy had
been discussed and their contribution to the GDP of the country had been outlined. The
challenges faced by the region were also enlisted.

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Works Cited
Allegra, Marco, Anna Casaglia, and Jonathan Rokem. "The political geographies of urban
polarization: a critical review of research on divided cities." Geography Compass 6.9
(2012): 560-574.
Calvert, K., and W. Mabee. "More solar farms or more bioenergy crops? Mapping and
assessing potential land-use conflicts among renewable energy technologies in eastern
Ontario, Canada." Applied Geography 56 (2015): 209-221.
Flick, Tatyana, Sean Feagan, and Lenore Fahrig. "Effects of landscape structure on butterfly
species richness and abundance in agricultural landscapes in eastern Ontario,
Canada." Agriculture, ecosystems & environment 156 (2012): 123-133.
The government of Ontario. "About Ontario." Ontario.ca. N.p., 2017. Web. 15 Feb. 2019
Retrieved from< https://www.ontario.ca/page/about-ontario>
Mitchell, Bruce, et al. "Integrated water resource management: lessons from conservation
authorities in Ontario, Canada." International Journal of Water Resources
Development 30.3 (2014): 460-474.
Rosella, Laura C., et al. "High-cost health care users in Ontario, Canada: demographic, socio-
economic, and health status characteristics." BMC health services research 14.1
(2014): 532.
Statistics Canada. "Census Profile, 2016 Census - Ontario [Province] And Canada
[Country]." Www12.statcan.gc.ca. N.p., 2017. Web. 15 Feb. 2019.

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Stokes, Leah C. "The politics of renewable energy policies: The case of feed-in tariffs in
Ontario, Canada." Energy Policy56 (2013): 490-500.
Winfield, Mark, and Brett Dolter. "Energy, economic and environmental discourses and their
policy impact: The case of Ontario׳ s Green Energy and Green Economy
Act." Energy Policy 68 (2014): 423-435.