Economy and Development

  • Oct 27, 1500

    First Occupants (1500-1608)

    First Occupants (1500-1608)
    Quebec was occupied by 3 linguistic families: Algonquian, Iroquoian and Inuktitut. Life impacted by the characteristics of the territory they inhabited (climate, wildlife, plants, etc.) Their means of transportation
    were snowshoes, canoes, and walking
  • Period: Oct 27, 1500 to

    Economy and Development

  • Oct 27, 1501

    Aboriginal Trade Network/Barter System

    Aboriginal Trade Network/Barter System
    Around 1500, the different nomadic and sedentary Aboriginal groups used the barter system, that is, they traded goods. They only traded for what they needed. Not for stock or profit.
  • Oct 28, 1502

    The Significance of Trade

    The Significance of Trade
    The FNPs only traded for what they needed. They had no desire to accumulate wealth or make a profit. Trading can help build and maintain relationships between nations. Trade was also a way to pay war tributes, formalize meetings between chiefs, and peace treaties
  • Oct 26, 1503

    European Exploration

    European Exploration
    In the 15th century, many European states hoped to find precious metals and trade with Asia without having to rely on middle eastern trading centers. Christopher Columbus arrived in North America in 1492. This lead to further exploration of the territory, and in 1497, John Cabot reached Newfoundland. The majority of Europeans were Catholics and had days of abstinence, and were not allowed to eat meat. But they could have fish. Therefore, fish quickly became a popular protein.
  • Oct 30, 1504

    The Fisheries

    The Fisheries
    The Europeans would be gone for months so they would need to preserve the fish. To do so they would need to go ashore and that's when they first made contact with the Native population. The sailors had two cod-preserving techniques in which they used. The green fish technique which is preserving the fish with salt, and the dried fish technique where they built wooden structures on the shore and arranged the fish on them.​
  • Oct 30, 1505

    Interracial Trades

    Interracial Trades
    Metal tools, beads, mirrors, textiles, etc. that were made in Europe were gradually introduced to Aboriginal communities. The Native peoples valued these new objects and they circulated them throughout their own trade networks. In return for these goods, European fishers received mostly furs, which they could easily sell on the European market, and was now a second source of profit for them.
  • Oct 30, 1506

    North America’s Role in the European Economic System

    North America’s Role in the European Economic System
    The fur trade was now seen by the French merchants as a new way to get rich. The French state, therefore allowed merchants and shipowners to invest large sums of money in building a network of fur trading posts in the colony. A lot of competition arose, and merchants demanded that the state granted them a monopoly.
  • Oct 30, 1507

    Slash-and-burn agriculture

    Slash-and-burn agriculture
    They would slash the vegetation around and then burn it in order to prepare the land for cultivation. By burning the vegetation, the nutrients needed for farming would then be in the ground. When the land was depleted the Iroquoians abandoned the area and set up in another part of the territory.
  • French Regime (1608-1760)

    French Regime (1608-1760)
    During the 16th century, meetings between Aboriginal peoples and Europeans increased because of the fishing activities. However, it was the fur trade that would lead the French to settle permanently in the territory as of 1608. The French developed this trade through the companies, which helped with the expansion of their colonization in North America. During the French regime, the fur trade became one of the main reasons for the Franco-Aboriginal alliance.
  • The Charter Company System (Company of one Hundred Associates)

    The Charter Company System (Company of one Hundred Associates)
    From 1601 to 1627, monopolies followed one after the other, but only a mall handful of French people settled in the colony. Monopoly holders did not consider settlement profitable because only a few employees were needed to manage and send furs to the mother country. The state made it a requirement that the holders of fur trading monopolies must populate the St Lawrence Valley.
  • The Company of one Hundred Associates

    The Company of one Hundred Associates
    In 1627, the Company of one Hundred Associates was created. The company was an association of a hundred shareholders that invested start-up capital. Each shareholder was to receive a share of the profits from the fur trade. In 1627, France and England went to war against each other. An English fleet intercepted the first ships to New France, which were carrying almost 400 colonist and provisions for the colony. The company suffered heavy financial losses and was unable to settle the territory.
  • Mercantilism

    Mercantilism
    Mercantilism is based on a nation’s accumulation of wealth. This was achieved by colonizing territories that had resources that the mother country could export. These resources would then be changed into products which the mother could sell to colonists for profit. In addition, the production within the colony was restricted to increase demand for these products.
  • King Louis XIV

    King Louis XIV
    King Louis XIV began his reign in 1661, and in 1663 he dissolved the Company of One Hundred Associates. To gain control of economic activities in New France, and assert territorial claims in North America, Louis XIV set up crown corporations, like the Dutch West India Company. This system ended in 1674
  • Commerce and Exploration

    Commerce and Exploration
    Throughout the 17th century, the French sent many exploratory expeditions around the Great Lakes and further south, along the Mississippi and Ohio rivers. They built trading posts and forts on the banks of main waterways. These settlements served as warehouses, trade sites, and military bases. Some Administrators, such as Jean Talon, were in favor of this expansion. They saw it as a way to guarantee French domination of the fur trade and to contain the expansion of Britain’s Thirteen Colonies.
  • Alliances and Rivalries

    Alliances and Rivalries
    The fur trade was built between the French and Native peoples. They traded goods, furs, information, and military assistance. Champlain established alliances with the Algonquins. However, the French had rivals in North America. The English had supplied arms and goods to the Iroquois Confederacy, whose aim was to destroy the Huron (French Allies). After The Huron were decimated through the war with the Iroquois. The French and Iroquois entered into a peace treaty that spanned from 1667-1680.
  • Hudson’s Bay Company

    Hudson’s Bay Company
    In 1659, two coureur de bois (Groseillier and Radisson) went to go trade with a group of Aboriginals, northwest of the Great Lakes. The two explorers returned with information about the territory and brought back high-quality furs, but the French authorities did not want to finance a commercial expedition to Hudson Bay. They then decided to offer their services to the English crown, which funded a maritime expedition to Hudson Bay in 1668, this creating the Hudson’s Bay Company in 1670.
  • Shipbuilding and Ironworks

    Shipbuilding and Ironworks
    In 1738, the Royal Navy shipyard was established in Quebec City, primarily for warships. Trois-Riviere had a lot of iron ore which led to a lot of related industries, such as wood stoves, cooking pots, and plowing equipment
  • Triangular Trade

    Triangular Trade
    According to the principles of mercantilism, the colony’s had to import most of their products for consumption from the mother country and could not trade with other empires. Therefore, Canada traded its resources with the French colonies in the Antilles, while continuing to provide the mother country with raw materials in return for manufactured goods. This is called Triangular Trade.
  • British Regime (1760-1876): Intro

    British Regime (1760-1876): Intro
    Treaty of Paris 1763 and the British takeover.
    Great Britain’s Mercantilist Policies: The colonies primarily served as a source for the supply of raw materials and goods.Until mid 19th century, Great Britain maintained a policy of protectionism that favored​ the purchasing of resources from within the Empire.
  • Economy Based on Fur

    Economy Based on Fur
    The fur trade fell into the possession of the British. Then there was the creation of the North West Company (1783) after the American Revolution that eventually merges with Hudson Bay Company in 1821. There was a decline of fur trade in the beginning of the 19th century because:
    1) There wasn't much demand
    2) War
    3) Timber
  • Competition Between Two Trading Companies

    Competition Between Two Trading Companies
    In 1774, the British Parliament adopted the Quebec Act, expanding the territory to include the region around the Great Lakes. As the trading territory expanded, competition for the furs grew. In 1779, a few Montreal merchants established the Northwest Company as a way to participate in the competitive trade. The company consisted of English, Scottish, and Canadian Merchants whose main goal was to compete with the Hudson’s Bay Company.
  • Economy Based on Timber #1

    Economy Based on Timber #1
    Napoleon sets up a naval blockade in 1806 preventing Britain’s access to timber. Therefore it increases demand. There were new jobs (lumberjack, mills, luggers, etc.) Improvement and development of transportation (Canals, railroads, steamships).
  • Economy Based on Timber #2

    Economy Based on Timber #2
    In the mid 19th century, the timber trade had an important effect in the development of territory as it led to the colonization of new regions, like the Saguenay. Important waterways crossed, which were essential for timber transportation and for fueling sawmills by hydraulic energy.
  • Changes in Agriculture

    Changes in Agriculture
    After the passing of the Corn Laws (1815-1846) in the early 19th century, tariffs encouraged the growing and export of wheat. In addition to increasing numbers of immigrants and new technologies, the farm system was pushed to diversify.
  • Bank of Montreal

    Bank of Montreal
    Creation of the Bank of Montreal in 1817 to allow access to credit and investment.
  • Economic Policies

    Economic Policies
    Protectionism: tariffs to protect local markets (ex. Corn laws)
    Also known as preferential tariffs or treatment. In 1846, Britain ends this and adopts Free Trade Policies (No customs or duties)
  • Free Trade

    Free Trade
    ​An economic system in which customs/duties on trading are partially or entirely abolished between participating countries. In 1846, Corn laws were abolished. In 1849, the Navigation Acts were also abolished. The abolition of preferential tariffs drove the colonies to diversify their markets and find new trading partners.
  • Reciprocity Treaty

    Reciprocity Treaty
    1854 Reciprocity treaty signed (lasts 10 years) According to this treaty, raw materials or primary manufactured products could be traded between the countries without customs duties.
  • First Phase of Industrialization

    First Phase of Industrialization
    During this period, skilled craftsmen were too costly and took too long. So industries shifted to cheap unskilled workers to manage the machinery that mass produced goods quickly at a low cost. Several factors encouraged industrialization in Quebec. (Rural exodus & immigration). The St Lawrence river, the canals, and the new railways formed a good transportation system. Industries were powered by coal/steam engines and mostly British capital used to finance the new industries.
  • Urbanization

    Urbanization
    In the second half of the 19th century, the construction near waterways attracted industries. More and more people settled close to these workplaces, which contributed to the phenomenon of urbanization. Industrialization and urbanization affected Quebec’s society and territory. Working class neighborhoods were created close to factories and living conditions were hard. Most homes were made of wood and did not have running water, electricity, or toilets.They also had poor working conditions.
  • Contemporary Period (1867-present)

    Contemporary Period (1867-present)
    Exploitation based on each “period” of industrial development (agriculture, forest, mining, hydroelectricity) New natural resources (ore, pulp, and paper) Source of capital shifts from Britain to American in different economic sectors. The birth of crown corporations.
  • Economic Organization in the Dominion

    Economic Organization in the Dominion
    Within the dominion, each level of government could exercise its jurisdiction in specific economic affairs. However, certain jurisdictions were shared, such as the exploitation of natural resources. This shared jurisdiction was at the center of numerous debated between the different levels of government since the dominion’s economy depended on the exploitation of natural resources, like forests, fisheries, and mines.
  • Railway

    Railway
    When Macdonald came to power in 1878, he made it a priority to complete the Canadian Pacific Railway line. The Canadian government paid many subsidies to the companies in charge of developing the railway. n spite of obstacles that slowed down its construction (labor shortage, uneven terrain, disputes with First Nations Peoples), the CPR was completed in 1885 and became essential for the colonization of the territory in the West.
  • Development of the Dairy Industry

    Development of the Dairy Industry
    Dairy production was the agricultural sector that experienced the greatest progress after 1880 In addition to milk, farmers produced butter, cheese, and cream. In 1890, more than 80% of cheese production was intended for export, whereas butter was mainly sold in the local market. To support the growth in the dairy industry, the government encouraged the establishment of specialized schools in areas like Saint-Denis.
  • Second Phase of Industrialization

    Second Phase of Industrialization
    The second phase of industrialization, which lasted from about 1900 to 1929, was primarily characterized by the quick expansion of industrial territories which had developed due to new energy sources: hydroelectricity and oil.
    Three conditions for Industrialization
    1) wheat
    2) Foreign Investment
    3) First world war
  • The Great Depression of the 1930s

    The Great Depression of the 1930s
    Europeans pumped money into the world economy. Surpluses accumulated in warehouses leads to falling price and stop of production. Workers were being laid off, which lowered the value of the companies on the stock market. In 1929, the stock market crashes. The root of the crash was an overproduction problem.