Understand Canada

Canadian citizenship test prep

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Canada's Economy

Canada has long been a trading nation, and its economy rests on three pillars: service industries (more than 75% of jobs — banking, health care, tourism, and more), manufacturing (automobiles, aerospace, paper), and natural resources (forestry, fishing, mining, energy). For centuries before industrialization, farming and exporting resources like fur, fish, and timber were the backbone of the economy.

The United States is by far Canada's largest trading partner — more than three-quarters of Canadian exports go there — a relationship formalized by free trade in 1988 and expanded through NAFTA in 1994. Canada is a member of the G7, the group of major industrialized economies, and the Canada–U.S. border is often called the world's longest undefended border.

Based on Discover Canada — chapter “Canada's Economy.”

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