Introduction
Canada can boast about being the ninth largest economy in the world and a member of the G7. The country enjoys a vast reserve of natural resources and its primary sectors of economy center around the logging and oil industries. The amount of oil stored in its oilfields is second only to Saudi Arabia. However, it is important to note that all the natural resources are of diminishing nature and are perishable due to prolonged tapping of such resources. Therefore, a comprehensive plan on replenishment of these natural resources is also needed. The secondary sectors such as the automobile sectors are also facing a slump because companies prefer to outsource their manufacturing plants to developing nations where labor is cheaper.
The tertiary sector of economy in the country, namely, the service industry however is currently dominating the economy of the country, as has been the case in all developed country. About three fourths of its population is employed in the service industry and it accounts for more than 66.66 percent or two thirds of its GDP. Therefore it would be prudent to note that being the key element of Canada’s economy, this industry needs to be further strengthened to meet the demands that may arise in the future due to the depletion of natural resources and the subsequent slump in the primary sectors. The services industries include financial services such as banking, the retail sectors, telecommunications sectors, IT industries, entertainment and health and tourism sectors. In order to grow as an economy these industries need to be strengthened in the future. (Rugman, 33-54)
Retail Sectors
Currently some of the biggest supermarkets are owned by the United States such as Wal-Mart and Future Shop. There should be bigger drive to ensure that many such retail industries, which are either state owned or owned by Canadian companies, are developed. This sector currently employs 12 percent of the population and there is great possibility in this sector.
Business Services
Even though this sector is predominantly centered on the urban societies, the sector has immense potential and has shown wonderful growth in the last few years. A combination of factors such as technological developments, change in the roles of competitors in the market and changes caused due to demographic change in the domestic needs have fostered this growth. Many financial service providers are thus formulating and implementing newer plans to ensure that this growth can be sustained and nurtured in the future.
Another key element in this sector is the real estate market. This industry too has shown considerable growth along with the communications and IT sectors.
Health and Education Sectors
The health care industry is the third largest industry in Canada. Due to the growth and potential of this industry, the government has been finding it difficult to provide adequate funding. One solution would be to allow privatization of certain state owned facilities. This would allow independent bankers and industrial and other corporate houses to enter this sector and thus provide adequate funds. (Veeman, 371-377)
Apart from the above elements, various other sectors such as the entertainment and tourism industries can also be developed and have shown great promise for the future. Therefore, it can be said that by careful planning the country can still grow in this sector of the economy and sustain its economy.
Works Cited
Rugman, Alan M; A Canadian perspective on NAFTA; The International Executive; 36, 1, 33-54; University of Toronto, 246 Bloor Street West, Toronto, Ontario, Canada, M5S IV4 (2007).
Veeman, Michele; Canada’s Trade Policy: Choices and Challenges; Canadian Journal of Economics; 46, 4, 371-377; Department of Economy, University of Alberta, Edmonton, Alberta (2008).