Terms of trade in central Canada

This paper examines Ontario's and Quebec's adjustments to the resource boom. Higher commodity prices, an appreciating dollar, and increased foreign competition between 2002 and 2007 led to a restructuring of the Central Canadian economies. The restructuring manifested itself in all areas of the economy: manufacturing employment and output declined, while services and construction rose; within manufacturing there were declines across most industries in Ontario, and a shift away from consumer products towards capital products in Quebec; purchasing power increased in Ontario and Quebec as export and import prices adjusted.