Download Study guide for final exam

STUDY GUIDE
ECONOMICS 310
APRIL 2007
Questions on the final examination may be identical to those listed here, they may be
combinations of questions, they may be only portions of questions or they may be
new questions on topics covered here. Material not covered on this study guide will
not be included in the final examination.
This study guide is a compilation of many old and some new examination questions.
The number of questions on a topic reflects the length of time a topic has been in the
course syllabus, not its importance in the course as presented this year. The emphasis
placed on the material in the classroom is a better guide to the importance of the
material than the number of questions on the study guide.
1.
By the mid 17th century New England had a population of perhaps 50,000,
Quebec about 3,000 and Newfoundland had a trivial permanent
population. Explain the reasons why these colonies developed so
differently.
2.
By the mid 17th century New England had a population of perhaps 50,000,
Quebec about 3,000 and Newfoundland had a trivial permanent
population. Which pattern of development was most valued by the
mercantilist mother countries?
3.
Compare and contrast the impact of Europeans on native peoples in Central
America and on native peoples in Canada, giving explanations for the
differences.
4.
Describe the various types of native economies found in Canada at about
the time of European contact.
5.
Discuss the impact of monopoly on the fur trading companies and on native
peoples.
6.
Discuss the major tenants of mercantilism and explain how the colonies of
New France and Newfoundland met the policy goals of their governments.
7.
Discuss the place of Canada in trade within North America and between
North America and Europe in the 17th and the 18th centuries.
During the early 17th century many attempts were made to settle Newfoundland, but
they all failed. At the same time, settlement was established and flourished in New
England. Use the staples theory and the livelihood model to explain why settlement
was so much more successful in New England than in Newfoundland. Do these
models tell the whole story? Explain briefly.
Explain why the fur trade had a strong tendency towards monopoly.
8.
9.
10. Explain why the Spanish discovery of the New World had a lasting impact
on the economies of the new and old world while the Viking discovery of
the New World had no lasting impact.
11. Fishermen may have begun coming to Newfoundland to dry fish as early as
the late 15th century, but a residential fishery replaced the migratory
fishery only at the end of the 18th century. Explain the factors which
delayed the growth of a residential fishery.
12. How would the evolution of Canada's economy have differed if there had
been no European demand for furs in the 17th and 18th centuries?
13. The fishery and the fur trade differed greatly in their organisation.
Compare and contrast the nature of competition in the two industries and
discuss the impact of competition on the income of the participants in each
trade
14. The Old World governments which promoted settlement in the New World
believed that the colony should serve the interests of the mother country.
Discuss the benefits mother countries expected to receive from their
colonies and indicate which colonies of all those in the New World best met
the goals of the mother countries.
15. Discuss the place of Canada in trade within North America and between
North America and Europe in the 17th and the 18th centuries.
16. Compare and contrast the impact of Europeans on native peoples in Central
America and on native peoples in Canada, giving explanations for the
differences.
17. Discuss the importance of military alliances between native peoples and
Europeans to the evolution of the fur trade.
18. How would the evolution of Canada's economy differed if the French
government had not taken direct control of the colony during the second
half of the 17th century?
19. The English colony of New England developed a thriving commerce with
the West Indies and Europe. Quebec's commerce was not nearly as
vigorous. Outline the major reasons for the differences in economic
performance.
20. The staples thesis argues that economic development is driven by the
markets for staple export products while the livelihood model argues that
the productive capacity of a region is more important in determining
development. Discuss which approach best explains the development of
Ontario up to Confederation
21. According to the staples thesis, each staple creates a set of linkages which
stimulate the economic development of the region. Discuss the factors
which determine whether a region is able to capture the linkages of the
staple it produces?
22. Discuss role of agricultural resources in determining the timing and the
2
extent of settlement in Newfoundland, the Maritimes and Central Canada.
Use the livelihood model in your answer.
23. Use the staples model to explain the impact of fish, fur and timber
production on the pace and nature of economic development. Which staple
was better for the economic development of a region? Justify your answer.
24. Using the staples thesis, describe the linkages of the fur trade and discuss
the contribution of that industry to the economic and political development
of Canada.
25. Timber has been an important Canadian export from the early nineteenth
century to the present. Using the staples thesis, compare the impact the
timber industry had on economic development in Southern Ontario with
the impact it had on economic development in the Maritimes during the
early nineteenth century.
26. The staples thesis argues that economic development is driven by the
markets for staple export products while the livelihood model argues that
the productive capacity of a region is more important in determining
development. Discuss which approach best explains the development of
Ontario up to 1850.
27. The staples thesis argues that the pace of development of a region is
determined by the external demand for a staple and the richness of the
staple's linkages. Briefly describe the staples which were important in the
colonies of British North American before 1850 and discuss the impact of
the success or failure of staples production on the rate of settlement and the
pace of economic development in those colonies.
28. The fishery, the first industry to attract labour and capital to Canada, has
had a long and often troubled history in Canada, but was the basis for
much of the early economic activity in Atlantic Canada. Discuss the
strengths as well as the weaknesses of the fishery as a source of economic
development in the pre-confederation period. Be sure to use the staples
model in your answer.
29. Discuss the nature of agricultural development and the impact of
agriculture on the economies of the Maritimes and Central Canada in the
pre-confederation period, using the livelihood model in your answer.
30. By Confederation differences had emerged in the development of Ontario
and the Maritimes. Using the livelihood model explain why these
differences emerged in the two parts of British North America. Be sure to
discuss manufacturing as well as agriculture.
31. New world colonies tended to be abundant in natural resources, and have
relatively short supplies of capital and labour. Discuss the implications of
this economic situation for diversification away from natural resource
production, considering the role of tariffs and transportation costs in your
3
discussion.
32. Between the beginning of British control of the territories which became
Canada to Confederation Britain moved from a policy of mercantilism to a
policy of free trade, but the British North American Colonies became free to
set their own tariffs. Discuss the changes in British tariff policies, and
explain the differences in the tariff policies of the Canadas, New Brunswick
and Nova Scotia. Include the Reciprocity Treaty in your discussion.
33. Galt claimed that the tariff changes introduced in Canada in the 1850s were
intended to raise needed revenue and were only incidentally protective.
Discuss the structure of the tariff schedule imposed and determine if his
statement is plausible. Compare the tariff policies of New Brunswick and
Nova Scotia before Confederation and explain why those provinces
adopted somewhat different policies.
34. Over its history Canada has experienced a number of tariff regimes, from inclusion
within a free trade area established by British mercantilism to the current NAFTA
agreement. Describe the differences between these regimes, and discuss the
advantages and disadvantages of free trade and tariff protection for the development
of the Canadian economy.
35. The fur trade, like many other natural resource sectors, suffered from
depletion of natural resources. Discuss the evidence that depletion occurred
and consider the changes in the extent of depletion which occurred when
there was competition between rival trading companies compared to when
one company monopolised the trade.
36. Equality of opportunity and efficiency in development of agriculture are
two goals we might believe a land granting system should achieve.
Compare and contrast the extent to which the Seigneurial system, the
British land granting practices in the late eighteenth and early nineteenth
centuries, and the Dominion Land Act applied to settlement in the Prairies
achieved these goals.
37. Equality of opportunity and efficiency in development of agriculture are two goals
we might believe a land granting system should achieve. Compare and contrast the
extent to which the Seigneurial system, the British land granting practices in the late
eighteenth and early nineteenth centuries, and the Dominion Land Act applied to
settlement in the Prairies achieved these goals.
38. Discuss the role of agriculture in the economy of New France and describe
its place in trade in the New World.
39. Commentators often assumed that the abundance of land resulted in little
real poverty and relatively equal social status among settlers. Discuss the
extent to which the evidence supports the assumption of equality of
opportunity in the Maritimes and in Ontario in the early nineteenth
century.
4
40. From 1840-1867 many changes occurred in the transportation system and
tariff structure of British North America. Discuss the economic impact of
these changes on British North America.
41. Between the beginning of British control of the territories which became
Canada to 1850 Britain moved from a policy of mercantilism to a policy of
free trade. Explain the impact of British tariff policies on British North
American timber and wheat exports.
42. The Reciprocity treaty was implemented in 1855 and ended in 1867. Discuss
the provisions of this treaty, the strategies used to ensure American
agreement to it. Explain the impact it had on Nova Scotia’s economy.
43. Compare and contrast the tariff policies implemented in Ontario and in
New Brunswick before Confederation. Explain why the governments of the
two provinces chose different tariff policies. Which do you think was better
for development?
44. Galt claimed that the tariff changes introduced in Canada in the 1850s were
intended to raise needed revenue and were only incidentally protective.
Discuss the structure of the tariff schedule imposed and determine if his
statement is plausible. Compare the tariff policies of New Brunswick and
Nova Scotia before Confederation and explain why those provinces
adopted somewhat different policies.
45. Canada has experienced many changes in its own and its trading partners'
tariff policies. Describe the changes in British, Canadian and American
tariff policies during the nineteenth century and discuss the impact the
changes had on the development of staples production and secondary
manufacturing in Canada.
46. Over its history Canada has experienced a number of tariff regimes:
inclusion within a free trade area established by British mercantilism,
adoption of various tariff structures by each province, reciprocity in the
mid-19th century and creation of the national policy tariffs in the late 19th
century. Describe the differences in these regimes and explain their impact
on Canadian economic development, considering whether protection or
free trade was the better policy.
47. From 1840-1867 many changes occurred in the transportation system and
tariff structure of British North America. Discuss the economic impact of
these changes on British North America and consider the extent to which
they aided the development of the economy as a whole or they merely
benefited a particular interest group.
48. Discuss the impact of the tariff of 1879 on the textile industry and on the
agricultural implements industry. You should use supply and demand
curves in your answer and discuss the relationship between the tariff and
the strength of monopolies in these industries.
5
49. Standard economic theory argues that tariffs hurt an economy by forcing it
to shift resources out of industries in which it has a comparative advantage
and into industries in which it lacks a comparative advantage. Explain the
extent to which this analysis is relevant to Canada during the nineteenth
century and discuss the impact of the National Policy tariff on the size of
the Canadian economy, the prevalence of monopoly, the level of
industrialisation and the degree of national independence of the Canadian
economy.
50. MacDonald introduced highly protective tariffs in 1878. Discuss the impact
of these tariffs on total gross domestic product, per capita income, and the
degree of competition in the Canadian economy.
51. In 1878 Canadians expressed their preference for a highly protective tariff
by electing J. A. MacDonald. Using economic analysis, discuss the likely
impact of that tariff on the size and the structure of the Canadian economy,
as well as on per capita income.
52. During the early nineteenth century, both Upper Canada and Lower
Canada invested in a number of canals, but a complete system of canals
along the St. Lawrence River was only finished in the 1840s after unification
of the two colonies. Explain the benefits of improvements in transportation
to an economy and discuss the reasons why the Lower Canadian legislature
was less willing to invest in canals along the St. Lawrence than the Upper
Canadian legislature.
53. Railroads were the high technology industry of the mid 19th century.
Discuss the impact of railroad development on the economy of Canada,
considering both the impact of the improvements in transportation offered
by the railroad and the impact of the production of rail services themselves.
54. The Canadian government adopted a number of policies in the postConfederation period to encourage the settlement of the Canadian prairies.
Briefly describe these policies and explain in detail why extensive
settlement of the prairies occurred only after 1895.
55. The wheat boom began only in the later 1890s, but policy devised to
stimulate settlement in the Canadian prairies had been in place for one to
two decades. Describe the policies intended to encourage settlement of the
Canadian prairies and explain why settlement did not begin until the very
end of the century.
56. From 1895 to 1913 and from 1950 to 1973 Canada experienced strong economic
growth. Compare and contrast the contributions of technological change,
immigration, foreign investment, tariff policy and natural resource development to
economic development in these two era.
57. Although the Dominion Land Act was passed in 1879 and the Canadian
Pacific Railroad was completed into the prairies by 1884, extensive
6
settlement of the West was delayed until the late 1890s. Discuss the reasons
for this delay in settlement of the West.
58. The staples thesis has played a key role in the study of the Canadian
economy, and wheat has often been assumed to be the ideal staple which
was responsible for the very rapid growth in income during the period
from the mid 1890s to World War I. Discuss the extent to which wheat
production stimulated rapid growth in per capita income, and the extent to
which other industries played a crucial role in the dynamic economy of
those years.
59. The endowment of natural resources in each region had a strong influence on its
early settlement and subsequent economic development. That resource endowment
has been changed over time by new technologies and new resource discoveries.
Compare and contrast the resource endowments of the various regions of Canada
and discuss how they have influenced the timing of settlement and subsequent
economic diversification to the present day.
60. Canada enjoyed a major economic expansion from 1895 to 1913. Discuss
the economic factors which led to this prosperity throughout Canada and
consider whether the staples theory provides an adequate explanation of
the period of growth.
61. The late nineteenth century was a period of dramatic changes in technology
and exploitation of new natural resources. Discuss the impact these changes
had on the capital intensity of production, on foreign ownership of
Canadian industry and on the integration of the Canadian and the
American economies.
62. A central fact of the contemporary Canadian economy is the concentration
of manufacturing in Ontario and Quebec and the failure of the Maritimes to
sustain a manufacturing sector. The staples thesis has been used to explain
the emergence of this distribution of economic activity, but the livelihood
thesis argues that the distribution of agricultural resources in Canada may
have been a determining factor. Explain how the distribution of natural
resources across Canada helped to determine this pattern of economic
development from the beginnings of settlement into the 1920s.
63. Describe changes in the rates of growth of GDP, investment and exports in
the Canadian economy between Confederation and World War I. Explain
the role of the development of wheat production on the pattern of growth.
What other factors might have contributed to this rapid growth?
64. Maritimers have been known to complain that Confederation was
destructive to their economy. The national policy tariff brought in by J. A.
MacDonald has been closely associated with Confederation and the
construction of a national economy. Discuss the advantages and the
disadvantages of the tariff to the Maritime economy and other parts of
Canada that relied on exports rather than production for the domestic
7
market.
65. During the late nineteenth century, firms grew dramatically in size and
manufacturing became increasingly concentrated in particular urban
centres. Explain how changes in economies of scale and transportation costs
encouraged these changes.
66. In the late nineteenth and early twentieth century manufacturing displayed
a strong tendency to cluster in particular regions of each nation. Discuss the
economic forces which tended to lead to the clustering of manufacturing
activity and explain the impact of these economic forces on the economic
development of the Maritimes and Central Canada.
67. The Great Depression of the 1930s led to a prolonged period of
unemployment and poor economic performance. Discuss both the
monetary and real events of the 1920s which caused the Depression and
discuss the impact of the depression on the Canadian economy of the 1930s.
Explain how the experience with the Depression influenced attitudes
towards government management of the economy.
68. During the 1920s Central Canada experienced a boom, particularly in
manufacturing, while the Maritimes experienced hard economic times. All
of Canada suffered from difficult economic circumstances during the 1930s,
which ended with rearmament and production for war during World War
II. At the end of these decades, Central Canada clearly dominated
manufacturing in Canada, while the Maritimes had become a natural
resource producing hinterland. Explain why these regions experienced such
different fates.
69. During the 1930s the Canadian economy experienced a dramatic decline in
output, prices and employment. Discuss the real and the monetary factors
which contributed to this decline.
70. Describe the pattern of the business cycle in Canada from the mid 1920's to
the 1980's, explaining how this economic experience first led to the
adoption of Keynesian economic policies and then led to disillusionment
with such policies.
71. Discuss the role of the international monetary system in transmitting the
depression of the 1930’s to Canada.
72. During the 20th century, the extent of American investment in Canadian
resources grew. Discuss and evaluate the reasons which have been given
for Canadian dependence on American capital.
73. The pulp and paper industry first developed in the late 19th century.
Discuss how both supply and demand forces interacted to lead to the
growth of this industry.
74. Describe the trade dispute in the early 20th century between Canada and the
United States over the pulp and paper industry. Discuss how the dispute
8
was resolved. Was political action necessary for Canada to become a
supplier of newsprint to the United States in the long-run? Explain your
answer.
75. Discuss the implications of the development of hydro-electricity for the
economic development of Canada.
9