Economic Activities for U.S. & Canada

1. Economic Activities for U.S. & Canada World Geography Mr. Paul Farmer

2. Economic Systems • Free-market economy • Freedom to own, operate, & profit from own businesses. • Laws protect private property rights, employment opportunities, & health/safety of workers. • Canada: govt. owns & administers many services such as broadcasting & healthcare. • U.S.: more private and non-govt. corporations

3. Agriculture • Subsistence vs. Commercial • Most of the world has subsistence farming within their countries. • In the U.S. & Canada it is largely commercial. • Large corps. Make up 5% of farm ownership. • Most farms are still family owned & operated. • U.S. devote 1 bil acres of land to agriculture, Canada devotes 167 mil acres. • Only 2% of Americans & 4%of Canadians work in agriculture. • U.S. & Canada are the world’s leading producers for beef, dairy, corn, wheat, & grains.

4. Industry • Cottage vs. Commercial • Cottage Industries are businesses that employ workers in their homes. • For example: traditional crafts, shoe making, jewelry, woodcarvings, weaving textiles, pottery. • Commercial Industry is organized as a business. • Manufacturing • Makes up 20% of the regions economy & workforce. • Manufacturing of auto, aerospace, aircraft. • Food-processing • Service • Makes up 75% of the regions workers. • Service jobs include government, education, health care, tourism, entertainment, banking, real estate, etc.

5. Trade • NAFTA • Promotes free trade within North America, Canada, U.S., & Mexico • Globalization • Increasing economic interdependence throughout the globe. • Backbone is trade. • Outsourcingis turning over of production to a 3rd party. • Example: Many large companies now outsource jobs such as call center services, e-mail services, & payroll. • Example: China is a major recipient of industrial work. India ranks 2nd. • When outsourced work is located outside of a country it is often called offshore.