Can Canada Fight Back in a Trade Fight?
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Canada and the United States buy and sell many things to each other. Canada sends about 70 percent of all its goods to the United States. Now there is a problem between the two countries. They are fighting about trade. Canada wants to know how to help itself.
What Is Trade?
Trade means buying and selling things between countries. The United States wants to charge extra money for Canadian goods. Canada does not like this. Canada sells oil, wood, and food to America. America sells cars and machines to Canada.
Canada Needs Help
Canada depends on the United States very much. When you depend on someone, you need that person. Canada sells so much to America that Canada needs this money. This makes it hard for Canada to fight back. But Canada still wants to try.
What Can Canada Do?
Canada has some power too. Canada can charge extra money for American goods. Canada can make it hard for American companies to do business. Canada can also work with other countries. When countries work together, they are stronger.
A Real Problem
This fight is bad for both countries. People in Canada may lose jobs. American people may pay more money for things. Both countries need to find a good answer. They need to talk and make a deal.
Discussion Questions
- Why do you think Canada sells most of its goods to the United States?
- What happens to people in Canada if there is a trade fight with America?
- Can you think of things that America sells to Canada?
- Why do two countries need to make a deal when they fight about trade?
- Do you think it is good or bad when one country depends on another country?
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