review mr. wilson history 404 chapter 2 – economy and development
TRANSCRIPT
Review
Mr. Wilson History 404
Chapter 2 – Economy and Development
Make a Pie Chart using table 2.2 on page 48 concerning the proportion of each sector of activity according to the 2005 Gross Domestic Product [GDP]
What are the definitions of the following economic terms:
1. Gross– Money before taxes and deductions
2. Net– Money after taxes and deductions.
3. Capital– Can be money or capital goods that can be used as an Can be money or capital goods that can be used as an
investment or for a returninvestment or for a return4. Disparity
– Refers to an inequality between the distribution of Refers to an inequality between the distribution of economic assets or income. Can be applied to economic assets or income. Can be applied to Countries as well!Countries as well!
5. Gross Domestic Product– How much a country or a region PRODUCES before any How much a country or a region PRODUCES before any
deductions (a good measure of economic growth.)deductions (a good measure of economic growth.)6. Corporation
– A publicly owned business (i.e.: run by the A publicly owned business (i.e.: run by the shareholders!)shareholders!)
What are the definitions of the following economic terms:
Unemployment ratePercentage of the populations that is unemployed
or looking for work.Barter
The exchange of goods and services for goods and services.
MonopolyWhen a company has exclusive rights or there is
not enough competition in one given area of the economy.
CurrencyThe physical representation of a nation’s wealth.
Describe the three sectors of the Describe the three sectors of the economyeconomy The Primary Sector:
natural resourcesnatural resourcesThe Secondary Sector:
Processing the resources or Processing the resources or manufacturing goodsmanufacturing goods
The Tertiary Sector:
retail, transportation and retail, transportation and servicesservices
Describe how the first trades started between the Natives and the Europeans?When Jean Cabot first came over to
Newfoundland, he discovered the massive cod fisheries of the Atlantic.
At the time most of Europe was Catholic and starving!
Thus, the discovery of these fisheries turned into a very lucrative fishing industry, where the sailors would dry their catch on the rock near the shore.
Invariably they came into contact with some of the natives there, and some small trading started to happen.
What was the main reason the Europeans were so interested in the cod fisheries off the coast of Newfoundland?
Because of the Catholic holidays, where it was forbidden to eat meat, fish was in great demand.
The fish near Newfoundland was therefore extremely needed to help feed Europe’s population.
Besides cod fishing, what was the other big economic activity in the Northern AtlanticWhaling also became a large industry.One whale could provide huge amounts of
meat, oil and bone.These were used for lamps, cosmetics and
even women’s clothing!
These early trades were a precursor to what which economic activity that would come to define Canada…
The early trades usually involved fur.The Europeans quickly realized that
the fur they were getting from the natives was much more valuable then the small trinkets they traded for it.
This would eventually lead to the Fur Trade once beaver felt top hats would become a massive fashion crazy in Europe.
Although the fishing continued, as settlements started to be developed along the St-Laurence river, what became the dominant economic activity and why?The Fur Trade started to take over around
the time of Champlain and the Company of One Hundred Associates.
Settlements were set up with the intended goal of trading furs with the natives and to easily transport them back to Europe.
Examples?
This new economic activity represents which economic sector and why?The Fur trade was all Primary.Why? Because no manufacturing was
done in the colony whatsoever – they would just bundle up the furs so they would not get wet and ship them back to Europe to be felted and manufactured into hats.
What effect did this economic activity have on the expansion of territory and on the population?
The Fur Trade led explorers to push further and further in-land in search for new territories and new business.
The Mississippi, Louisiana, British-Columbia, the Hudson Bay area…All explored while looking for furs.
The population was mostly men, and almost all of them were connected to the fur trade in some way.
Because the fur trade was doing so well – what did the King decide to do and what effect did it have on the business
The King decided to tax all of the trades based on fur – up to 25%!!!
This made it very hard for the French to do business, and the natives started to sell more of their furs to the English and the Dutch in order to get more values for their bundles.
Besides the fur trade, what was the second biggest economic activity in New France and why?
The second biggest economic activity was wheat farming.
Why? Because people needed to eat and farming required a lot of people!
Farming family were large, or they relied on Les Engages to help support them.
Again this is all primary sector stuff.
What was Jean Talon’s plan for the economy of New France? Was this a good idea or a bad one?Jean Talon wanted to diversify the
economy of New France – in the hopes of making it more independent and not completely reliant on one industry.
He brought in new types of grain, diversified animal farming and encouraged trade with other colonies.
This was an excellent idea, because as we know, the fur trade did not last forever.
What were some of the obstacles Jean Talon’s plan for diversification had to face?
Lack of specialized labourers.New products require higher
production costs (capital!)Lack of capital to start new ventures.The weakness of the local market
(too small).Competition from the “Mother
Country.”
Place the following on a time-line between 1608 and 1763...1. Administration entrusted to trade
companies.2. Fur centered economy.3. Exclusive wheat production.4. Exports.5. Attempts to diversify the economy.6. Road construction
After the British took over in 1763, what happened to the Fur Trade and why?The Fur Trade came to a virtual halt as
the fashion in Europe changed overnight.
At the same time, England had a massive navy and needed wood to support it!
So all of sudden, men who were involved in the fur trade started working in the Timber Industry and farmers would work as lumberjacks during the winter.
Which industry started to become more lucrative and why?
Complete the following tableEvent: Consequence:
1763 = The Treaty of Paris New British government! This had an effect on how business was done, and at the same time – the fur trade started to decline.
1775-1783 = The America Revolution
The loss of territory down south was big blow to the English, because most Primary sector industry rely on territory.
1806 = The Napoleonic Wars
Napoleon sets up his blockade of Europe – so England starts to get it’s wood exclusively from Canada = BIG BUSINESS!
1821 = The Merger of the Northwest company and the Hudson’s Bay Company.
The end of the fur trade, the companies can no longer rely on fur to support their businesses and they have to diversify.
Explain how the timber industry had an impact on the territory and on Canadian society.The Timber Industry had a huge impact
on the territory of Canada, not just in terms of cutting trees, but the clearing of the land led to massive agricultural expansion – not to mention erosion.
Our country would never look the same!In terms of society, timber was big
business and everybody was working! Remember that war is always good for business…
With the expansion of the Timber industry – what other industries suddenly became more important?Transportation becomes hugely valuable.Before, the French used to rely on the
native to bring the furs to them – now they have to build some kind of transportation network.
Road construction becomes extremely importantCanal building also becomes importantHowever, with the invention of the steam engine,
all that changed!
Based on Table 2.28 on page 78 draw a diagram showing the evolution of Quebec’s three sectors from 1850 to 2000
How do you explain what happens in the diagram?Time and education, coupled with the
industrial revolution and electricity have led fewer and fewer people having to work in the primary sector.
After machinery and electricity was introduced to farming, people started to live in more urbanized areas (secondary sector).
Today, manufacturing is still important but less people intensive – instead the tertiary sector has taken over.
How was the modernization of agriculture implemented in the 1930’s?After WWII, the countryside was electrified!
In Quebec, wheat farming was less important because on the West and many farmers started to move towards dairy farming instead.
The number of farms decreased but productivity continued to rise.
Complete the following table concerning the MAIN ECONOMIC ACTIVITY(IES) of the time
Regime: Consequence on the Territory:
Consequence on Society:
French Regime (1508-1763)
Fur Trade
Killing animals – extinction.
Expansion of territory.
Lots of money.
Lots of jobs (not very specialized work!)
Mostly MEN.
Settlement was completely dependant on ONE industry.
Complete the following table concerning the MAIN ECONOMIC ACTIVITY(IES) of the time
Regime: Consequence on the Territory:
Consequence on Society:
British Regime (1763 – 1867)
Fur tradeTimber Industry
Expansion of territory.
Destroying habitats.
Erosion and new farmland.
More jobs, more diversified economy.The need for transportation.More farmland led to more farming!
Complete the following table concerning the MAIN ECONOMIC ACTIVITY(IES) of the time
Regime: Consequence on the Territory:
Consequence on Society:
Contemporary Period (1867 – Present)
TransportationIndustrializationElectricity/UrbanizationTertiary Sector
Pollution, problems with the water!
Unsanitary living conditions, population density.
Hydro – Habitat depletion.
Higher standard of living = more consumption.
People moving to the cities, more disease, more poverty.Primary sector required fewer workers for the same production.Tertiary sector = more training = more education!