TRUDEAU AND THE ECONOMY IN THE 1970S

Содержание

1. TRUDEAU AND THE ECONOMY IN THE 1970S
2. TRUDEAU RESPONDS TO INCREASING CONTROL OVER THE
3. FOREIGN INVESTMENT REVIEW AGENCY (F.I.RA)Review any proposed
4. INFLATION THAT MEANS RISING PRICES
5. UNEMPLOYMENT AND INFLATION
6. Wage and Price ControlsTrudeau- criticized Wage and
7. Trudeau and Price and Wage ControlsTrudeau changed
8. Oil Producing regions in the World
9. WHAT IS O.P.E.C?
10. Price spiked due to O.P.E.C.
11. How does it work?
12. Canada’s primary producer
13. National Energy Program Goalsto protect consumers from
14. How did the program work?Gave Ottawa part
15. Western Reaction Felt province should have full
16. Reaction to the NEPWe have to keep
17. What was the impact of the NEP?Alberta
18. Trudeau and Debt
19. Скачать презентанцию

TRUDEAU RESPONDS TO INCREASING CONTROL OVER THE CANADIAN ECONOMY Trudeau wanted Canada to be less dependent on the United States. He lobbied for increased Canadian ownership and protection of the country's

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Слайд 1TRUDEAU AND THE ECONOMY IN THE 1970S

Слайд 2TRUDEAU RESPONDS TO INCREASING CONTROL OVER THE CANADIAN ECONOMY
Trudeau wanted

Canada to be less dependent on the United States.
He

lobbied for increased Canadian ownership and protection of the country's resources.
Creating Petro-Canada in 1975 was part of that plan. The Crown-owned company would develop and control Canada's presence in the energy sector.

TRUDEAU RESPONDS TO INCREASING CONTROL OVER THE CANADIAN ECONOMY Trudeau wanted Canada to be less dependent on

Слайд 3FOREIGN INVESTMENT REVIEW AGENCY (F.I.RA)
Review any proposed takeover of a

Canadian firm by a foreign business.
If the takeover was

not in the best interests of the Canadian economy, FIRA would recommend to Cabinet that the takeover not be allowed to occur

FOREIGN INVESTMENT REVIEW AGENCY (F.I.RA)Review any proposed takeover of a Canadian firm by a foreign business. If

Слайд 4
INFLATION THAT MEANS RISING PRICES WHICH HURTS THE ECONOMY-

SOLUTION WAS TO RAISE INTEREST RATES AND “COOL” OUT THE

ECONOMY-(LESS CONSUMERS PURCHASING) THIS MEANS SOME PEOPLE LOSE THEIR JOBS IN THE SHORT TERMS
IF ANTI-INFLATIONARY POLICY IS TOO SEVERE OR IMPLEMENTED FOR TOO LONG ECONOMY WILL SLUMP
THE PROBLEM WAS TO FIND A BALANCE BETWEEN INFLATION AND UNEMPLOYMENT
IF BOTH HAPPEN- RISING PRICES AND RISING UNEMPLOYMENT YOU HAVE STAGFLATION

STAGFLATION

INFLATION THAT MEANS RISING PRICES WHICH HURTS THE ECONOMY- SOLUTION WAS TO RAISE INTEREST RATES

Слайд 5UNEMPLOYMENT AND INFLATION

Слайд 6Wage and Price Controls
Trudeau- criticized Wage and Price Controls –said

it would not work- he studied at the London School

of Economics
“a disaster waiting to happen whenever they were tried in the world”

Conservatives run their campaign on Wage and Price Freeze

Wage and Price ControlsTrudeau- criticized Wage and Price Controls –said it would not work- he studied at

Слайд 7Trudeau and Price and Wage Controls
Trudeau changed his mind in

1975
Said unions were driving wages up
Put in a freeze but

it is hard to administer in a modern economy and can be very unfair
Inflation was controlled but some economists felt it would have happened without control

Trudeau and Price and Wage ControlsTrudeau changed his mind in 1975Said unions were driving wages upPut in

Слайд 8Oil Producing regions in the World

Слайд 9WHAT IS O.P.E.C?

Слайд 10

Price spiked due to O.P.E.C.

Слайд 11How does it work?

Слайд 12Canada’s primary producer

Слайд 13National Energy Program Goals

to protect consumers from from large price increases,

to protect country from further foreign disruption of supply,
To achieve

greater Canadian ownership of the oil industry

National Energy Program Goalsto protect consumers from from large price increases, to protect country from further foreign

Слайд 14How did the program work?
Gave Ottawa part ownership in every

new oil well
Paid less for oil from established wells (so

consumers paid less) and more for new oil wells
Federal Government was to use the tax windfall to subsidize Canadian exploration and Canadian Consumers

How did the program work?Gave Ottawa part ownership in every new oil wellPaid less for oil from

Слайд 15Western Reaction
Felt province should have full control over resources
Reduced

shipments to 180 000 barrels a day
“Let the East have

Trudeau. Let the West have Freedom?

Western Reaction Felt province should have full control over resourcesReduced shipments to 180 000 barrels a day“Let

Слайд 16Reaction to the NEP
We have to keep in mind that

this country has been built because we have been able

to share in this nation..We have to make sure that every person in every part of Canda benefits from the potential and the wealth that belongs to the people of Canada.They have right to share of these opportunities. It’s what building a nation is all bout.

We saw hundreds of billions of dollars leave this province in what was a very unfair program. We’re just not prepared to accept that

Reaction to the NEPWe have to keep in mind that this country has been built because we

Слайд 17What was the impact of the NEP?
Alberta lost revenue during

the period to Ottawa
Boom times not as strong in Alberta

(compared to other oil producers like Norway)
Ottawa held in contempt
Program ended in 1984- but prices had already dropped so revenue was limited anyway