Canada is the second largest country in the world. However, the country only has a population of less than 40 million people. Canada is not only huge, but also covers a lot of inhospitable terrain, and has a harsh climate for much of the year. So, considering the factors working against Canada, surely the nation must be poor and underdeveloped? Definitely not, in fact, Canada is one the most developed countries in the world, and we’ll explain why…
1. Canada Has A Large Economy
A first reason why Canada is a developed country is because it has a large economy.
Canada’s GDP is 1.98 trillion dollars. This is the eighth highest GDP in the world. A country’s GDP – gross domestic product, is essentially the total value of the goods and services the nation produces. Countries with higher GDPs have larger economies, and so are more developed.
Having a large economy helps a country to develop because it means people are better off, and also that there more successful businesses. This means the government has more revenue to tax, increasing the amount the government can spend on developing the country. This is a key reason why Canada is a developed nation.
The fact that Canada has an advanced economy, based on technological processes and high-skilled labor, adds to the reasons why it is a developed country.
2. Canada Has A High Per Capita Income
A second reason why Canada is a developed country is because it has a high per capita income.
A nation’s per capita income is essentially the average amount a citizen of that country makes in a year. Canada has a per capita income of 51,690 USD. This is the eleventh highest in the world. The fact that Canada has one of the highest per capita incomes globally defines it as a developed nation.
Like with GDP, nations with higher per capita incomes are able to develop, partly because their citizens are richer, meaning the government has more revenue to tax. The government can then use this money to fund things like infrastructure, healthcare and education. This forms a virtuous cycle where by the economy grows and per capita income rises, and in-turn the nation becomes more developed. This is a major reason why Canada was able to develop.
3. There Is Good Infrastructure Across Canada
A third reason why Canada is a developed nation is because the country has good infrastructure.
Infrastructure is the physical structures that help a nation to function. It includes roads, railways, airports, utilities and tele-communication networks. Nations need good Infrastructure in order for people, goods and information to move easily. However, countries not only need to fund infrastructure, but also to update and maintain it.
Canada has been able to build world-class infrastructure throughout its territory. Even rural and remote communities in Canada have access to roads, utilities and phone and internet connections. Major population centers in Canada are linked by highways and railways. There are 26 airports across Canada.
The quality of infrastructure in Canada has allowed the country to develop because it has allowed for an efficient economy and ensured ease of doing business.
4. Canada Has An Accountable Political Systems
Another reason why Canada is a developed country is because it has an accountable political system.
An accountable political system is one where leaders are held to account, and the views of the population are the bases of political decisions. Accountable political systems also go hand-in-hand with the rule of law and a fair and independent judiciary. These are needed for a country to develop because they provide people and businesses with protections, and also ensure that sound economic and political decisions are taken.
There is a thriving democracy in Canada. The country has regular free and fair elections, and political leaders in Canada are accountable to the people. The strong democratic controls in Canada limits corruption – a further factor that has helped the country develop.
Canada has an accountable political system and this has been a key factor in the country becoming developed.
5. Canadians Receive Quality Education
One reason why Canada is a developed nation is because Canadians receive a quality education.
For a country to become developed, it needs to have an educated population. This is because developed nations need high-skilled workers to take productive jobs. Developed economies also need innovative businesses to be started and for people to design and manufacture advanced technologies. For all of these factors to occurs, it’s vital that a developed nation has people who have received good schooling.
Canada’s education system is ranked 4th in the world. All Canadian children between the ages of 5 and 18 receive free schooling. Higher education in Canada is heavily subsidized by the state, allowing 66% of people in Canada to have obtained a degree.
The fact that all Canadians receive high quality education has allowed it to become a developed nation.
6. Canadians Have Worldclass Healthcare
A key factor in why Canada is a developed nation is because the country has good healthcare.
As with education, for a nation to become developed it needs to ensure that all its citizens have access to the healthcare they need. When a country lacks quality healthcare, people are forced to become economically unproductive as they leave the labour force due to ill-health, or because they have to look after sick relatives. This holds back a nation’s development.
Canada a has one of the best healthcare systems in the world. In fact, the Canadian medical system is ranked ninth globally. Everyone in Canada can access the medical aid they need when they are ill. Even in remote and rural areas of Canada there is healthcare provision. Canada’s strong healthcare system has helped the country develop by ensuring the population remains generally fit, well, and free from curable diseases.
7. Canada Is Rich In Natural Resources
A final reason why Canada is a developed nation is because it is rich in natural resources.
There are enormous deposits of minerals including coal, natural gas, oil, and crude bitumen in Canada. Resources such as these are vital to the global economy. Canada’s natural resource wealth has helped the country become developed. This is partly because Canada has been able to trade the resources it has internationally, bringing in significant revenue, but also it has helped Canadian businesses become efficient as they have the resources they need domestically.
Canada has been able to avoid the trap many resource-rich nations fall into. This is where resource extraction dominates the economy, squeezing out other economic activities. Canada has a highly diversified economy, with mineral resources making up just 13%. This has meant Canada has been able to develop on the back of its natural resource wealth, and not actually be held back by it.