Prior to the onset of the global financial crisis and recession in 2008,Canada was experiencing strong growth in demand for its commodities (notably from China and India)which caused a(n)________ of its currency.Other things being equal,this change in the exchange rate caused a(n)________ in economic activity in Ontario and Quebec manufacturing industries.

Question

Quizplus · Accepted Answer

An appreciation of Canada's currency would make Canadian goods more expensive to foreign buyers, leading to a decrease in exports from manufacturing industries in Ontario and Quebec.

Prior to the Onset of the Global Financial Crisis and Recession