Test your understanding of Canada's economic transformation through conservative policies and free trade agreements.
Part I: Multiple Choice Questions
Choose the best answer for each question.
1. The "trickle-down effect" economic theory believed that:
2. Mulroney replaced the Foreign Investment Review Agency (FIRA) with:
3. The Free Trade Agreement (FTA) between Canada and the US was established in:
4. NAFTA expanded free trade to include which country?
5. Kim Campbell became Canada's first female Prime Minister in:
Part II: True or False
Determine whether each statement is true or false.
6. The National Energy Program (NEP) was successful in sheltering Canadians from oil price increases.
7. Cultural industries were exempt from the Canada-US Free Trade Agreement.
8. Mulroney's plan to cut the national debt was successful.
9. The Conservative Party won only two seats in the 1993 federal election.
10. Complete free trade between Canada and the US was achieved by 1999.
Part III: Matching Economic Concepts
Match each economic concept with its correct description. Click on items to select them.
11. Match the economic terms with their definitions:
Economic Concepts:
Deficit
Tariff
Recession
GST
Definitions:
Government spending exceeds revenue
Tax on imported goods
Period of economic decline
Goods and Services Tax
Part IV: Critical Thinking Questions
Answer the following questions in 4-6 sentences each. Analyze economic theories, policies, and their consequences.
12. Analyze the economic challenges Canada faced in the early 1980s and how they influenced the shift toward conservative economic policies. What were the key problems and proposed solutions?
13. Evaluate the arguments for and against the Canada-US Free Trade Agreement. Which side presented the most compelling case, and what has been the long-term impact?
14. Assess why Mulroney's debt reduction strategy failed. What factors contributed to the continued growth of Canada's national debt despite conservative economic policies?
15. Analyze the political consequences of economic policies in the 1990s. How did economic issues contribute to the Conservative Party's dramatic defeat in 1993?