Q:

What type of economy does Canada have?

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Quick Answer

According to Economy Watch, Canada has a market-oriented economy similar to that of the United States. The Canadian economy differs from that of the United States because Canada focuses more on exporting goods than importing them. CanadaFAQ.ca notes that the primary industries that contribute to the economy are the service sector, agriculture, energy and manufacturing.

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What type of economy does Canada have?
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Full Answer

Economy Watch notes that the advanced Canadian economy is unique because its primary industries are oil and logging. Canada is the 10th largest exporter of oil in the world and the third largest exporter of natural gas, as of 2010. The country has the 21st largest amount of proven natural gas reserves and second largest oil reserves in the world. Aircraft and automobile manufacturing are also large components of the economy. The low cost of labor and the comprehensive Social Security and healthcare systems sponsored for employees by the government make the country a good place for automotive and aircraft manufacturers to build manufacturing plants.

CanadaFAQ.ca notes that the country is also well-known for its wireless products and plastics production. Canada is a large exporter of organic foods to Europe, Japan and the United States. The country's cold climate and fertile soil provide optimal conditions for growing foods without the use of chemicals or pesticides.

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