Internal Trade in Canada

Provincial trade barriers have created problems in Canada since Confederation. Over five years ago an attempt was made to resolve many of the issues around inter-provincial trade. The Agreement on Internal Trade, however, "has failed to ensure free trade within Canada. The Agreement remains virtually unknown to most Canadians, including most business people, officials and politicians who are affected by and responsible for it. Those who are aware of the Agreement are skeptical about its effectiveness....Yet the Agreement is important, particularly for those small and medium-sized businesses that count on access to larger markets to become competitive and grow". (CGA, 2001, p.3).
The purpose of this brief bibliography is to direct you to some resources relating to Canadian internal trade and the Agreement that was reached.
The place to begin your research is the web site maintained by the Internal Trade Secretariat. The original text of the Agreement will be found there, along with a pdf consolidation and the amendments. In addition, the site provides, among other things, "news releases", "press clippings", the annual reports of the Secretariat and the full text of some studies. At the time this document was prepared, the site also included a bibliography of useful publications which we harvested and is included in this document. Listed below, as well, are some of the books on the subject that are found in the Western Libraries. A good starting point, is the position paper prepared by the CGA, It Can Work if We Want it To.

Update- 2008: This guide was originally prepared in 2001. The subject is again popular in 2007-08, largely because of TILMA - the "Trade, Investment and Labour Mobility Agreement" signed by Alberta and British Columbia. Here are some new resources to supplement the older ones below.
A New Prescription:Can the BC-Alberta TILMA Resuscitate Internal Trade in Canada?", by Kathleen E. Macmillan and Patrick Grady (a C.D. Howe Backgrounder).
"Momentum Builds to Clear Economic Barrier Between Provinces," by Judith Maxwell, the Globe and Mail, Oct.22, 2007, p.B2.
"Interprovincial Trade: How to Bulldoze a Wall" (editorial), the G&M, Jan. 18, 2008, p.A16.
"Ex-Cabinet Minister Tackles Barriers to Trade Between Quebec, Ontario: Some of the Biggest Remaining Snags Affect Agricultural and Food Goods," by Kathryn Leger, Montreal Gazette, Jan.4, 2008, p.B3.
(Note: a systematic review was not done at this time (2008), so additional sources can be found easily by using our various databases.)
See also "AIT and TILMA" in the Nov. 2007 issue of our newsletter - The Bottom Feeder.

Selected Books in Western Libraries

Brown, David M.
Free To Move: Strengthening The Canadian Economic Union (DBW HC 113.B87 1992)

Canada West Foundation.
The Canadian Common Market: Interprovincial Trade And International Competitiveness (BUS HF 3216.5.C26 1985)

Certified General Accountants' Association of Canada
Canada's Agreement on Internal Trade: It Can Work if We Want It To (BUS HF 3226.5.K56 2001)
CGA-Canada Round Table On The Agreement On Internal Trade Proceedings And Recommendations
(DBW GOV CA5 CGA 96C31 1996)

Doern, G. Bruce.
Free-Trade Federalism: Negotiating The Canadian Agreement On Internal Trade (DBW HF 3226.5.D63 1999)

Flatters, Frank
Common Ground For The Canadian Common Market (DBW HF 1479.F58 1983)

Helliwell, John F.
Effects Of The Canada-United States Free Trade Agreement On Interprovincial Trade
(DBW GOV CA1 IND134 99S05 1999 and an electronic copy is available by clicking on the link above).

Helliwell, John F.
How Much Do National Borders Matter? (BUS HF 3226.5.H45 1998)

Loizides, Setlios and Grant, Michael
Barriers to Interprovincial Trade: Implications for Business (BUS HF 1766.L65 1992)

Melvin, James R.
The Effects Of Energy Price Changes On Commodity Prices, Interprovincial Trade, And Employment
(DBW HD 9574.C23O52 1976)

Trebilcock, Michael and Schwanen, Daniel Eds.
Getting There: An Assessment Of The Agreement On Internal Trade (DBW HF 3226.5.G47 1995)

Bibliographic Information/Renseignements Bibliographiques

This bibliography has been copied from the Internal Trade Secretariat mentioned above. These documents are not available through the Secretariat. For your convenience, the bibliographic entries below contain links to the items found in the collections of the Western Libraries. Note that some of the government documents that do not have links, may still be found in the D.B. Weldon Library. Ask for assistance at the Reference Desk.

Anderson, Michael A. and Stephen L.S. Smith, "Canadian provinces in world trade: engagement and detachment", Canadian Journal of Economics, 1999.

Balassas, B., Trade creation and trade diversion in the Common Market, Manchester School of Economic and Social Studies, #42, 1974.

Barichello, R., Analysis of the implications of the NAFTA for Canadian agriculture, over the period of 1990 to 1993, several publications ( sponsored by IATRC, C.D. Howe Institute).

Bohman, Mary and Patricia Lindsey. "Trade Liberalization and Environmental Protection: Finding Policy Solutions" forthcoming in Towards a Continental Agricultural Policy. Eds. T. Josling and C. Reynolds.

Bohman, Mary and Patricia Lindsey. "Divergent Environmental Regulations and Trade Liberalization" forthcoming in the Canadian Journal of Agricultural Economics.

Bohman, Mary and John Janmaat. "Supply Management and Vertical Coordination: the role of cooperatives" In Regulation and Protectionism Under GATT: Case Studies in North American Agriculture. Eds. A. Schmitx, K.G. Coffin, and K.A. Rosassen, Boulder, CO: Westview Press, 1996.

Brander, John. "Transportation and Regional Development: Transportation as a Competitive Factor in Atlantic Canada", Report for Transport Canada, 1992.

Brander, John. "Marketing Study for the Port of Saint John", Report for the City of Saint John, Sponsored by Ernst, Whinney, Stevenson and Kellog Ltd. 1987.

Canadian Manufacturers Association, Canada, 1993: A Plan for the Creation of a Single Economic Market in Canada, Toronto, 1991.

Canadian Chamber of Commerce, (1996) The Agreement on Internal Trade and Interprovincial Trade Flows: Building a Strong United Canada, Toronto.

Canadian Manufacturers Association (1991), Canada 1993, A Plan for the Creation of a Single Economic Market in Canada, Toronto.

Cairncross, A., Giersch, H., Lamfalussy, A., Petrelli, G., and Uri, P., (1974), Economic Policy for the European Community: The Way Forward, Kiel, Germany, Institut fur Welwirtschaft an der Universitat Kiel.

Cecchini, P., (1988), The European Challenge, Commission of the European Communities, Gower Press, Brookfield.

Clendenning Consulting Inc., (1992) Barriers to Interprovincial Trade Corporate Registration Project, Ottawa.

Comanor, W. and Leibenstein, (1969) "Allocative Efficiency, X-Efficiency and the measurement of welfare losses", Economica, #36.

Conference Board of Canada (1990), An Assessment of the Impacts of Liberalised Interprovincial Trade in Canada, Ottawa.

Conference Board of Canada (1990), The Canadian Brewing Industry, An Assessment of the Impacts of Liberalized Interprovincial Trade in Canada, Ottawa.

Conference Board of Canada, (1992), Industrial Competitiveness, Trade and the Environment, Ottawa.

Conference Board of Canada (1992), Barriers to Interprovincial Trade: Implications for Business, Ottawa.

Council of Maritime Premiers, (1992),The Maritime Economic Initiative, Halifax.

Doern, Bruce G., and MacDonald, Mark, Free-Trade Federalism: Negotiating the Canadian Agreement on Internal Trade, University of Toronto Press, 1999.

Drewes, T., "Regional Unemployment Disparity and Market Adjustment Failure", Canadian Journal of Regional Science, Vol. IX:3, (Autumn, 1986).

Drewes, T., " Regional Wage Spillover in Canada", The Review of Economics and Statistics, Vol. LXIX:2, ( May 1987).

Drewes, T., "Internal and External Labour Mobility in Canada", Applied Economics, Vol.25, (1993).

Drewes, T., Barriers to Interprovincial Labour Mobility: Assessing the Cost, Report Prepared for the Internal Trade Secretariat, Industry, Science and Technology Canada, (June, 1993).

Drewes, T., Labour Market Impacts of Occupational Standards and Certification, Program Evaluation Report, Strategic Policy and Planning, Human Resources Development Canada, (June, 1994).

Duncan, S., and Penner, T., (1989), Time for Action: Reducing Interprovincial Barriers to Trade, Canada West Foundation, Calgary.

Emerson, M. et al.., (1988) The Economics of 1992, Oxford University Press, Oxford.

Group Mac (1988) The Cost of Non-Europe: Technical Barriers in six industries, Paris.

GEWIPLAN GMBH (1988) Removal of Technical Trade Barriers, Frankfurt.

Economic Council of Canada (1981), Reforming Regulation, Ottawa.

Emerson, M., et. al. (1988), The Economics of 1992, The E.C. Commission's Assessment of the Economic Effects of Completing the Internal Market, Oxford University Press, New York.

European Commission (1996), The impact and effectiveness of the Single Market, Brussels.

Gaspar, V., C. Gatette and J. Vercammen, "Optimal Hedging under Alternative Capital Structures and Risk Aversion: A Comment," Canadian Journal of Agricultural Economics, 1992,40:499-502.

Grady, Patrick and Kathleen Macmillan, "Why Is Interprovinicial Trade Down and International Trade Up?", CanadianBusiness Economics, Summer 1998.

Helliwell, J.F., and McCallum, J., (1995), "National Borders Still Matter for Trade", Policy Options, Ottawa.

International Monetary Fund (1993), Trade as an Engine of Growth, World Economic Outlook, Washington.

Irvine, I. & Sims, W., " Interprovincial or international free trade: the brewing industry" Canadian Journal of Economics, 1990, vol 23, p332-347.

Irvine, I. & Sims, W., " The welfare effects of alcohol taxation". Journal of Public Economics, 1993, p83-100.

Irvine, I. & Sims, W., " GATT ruling, excise reform and trade patterns", Journal of Economic Integration, 1993, vol 8, p68-88.

Irvine, I. & Sims, W., " Interprovincial barriers to trade: The case of beer", In 'Provincial trade wars', published by the Fraser Institute, Vancouver, edited by P.Palda 1994, p1-46.

Irvine, I. & Sims, W., " Taxation and the demand for alcohol in Canada: A review", Paper currently under review at Empirical Economics.

Kent, Christopher, "Canada's Agreement on Internal Trade Presents New Opportunities, New Challenges For Canadian Business", Alliance of Canadian Manufacturers/CMA Plant Newspaper, August 14, 1995.

Kent, Christopher, "Standards and Environmental Protection Under the Agreement on Internal Trade: Has Anything Meaningful Been Accomplished?", CMA Plant Newspaper, Nov. 20, 1995.

Lipsey, R., Purvis, D., and Steiner, M., (1991) MicroEconomics, 7th Edition, Toronto.

Loizides, Selkos and Grant, M., (1992) Barriers to Interprovincial Trade: Fifty Case Studies, Conference Board of Canada, Ottawa.

MacDonald, D., (1985), Report of the Royal Commission on the Economic Union and Development Prospects for Canada, Ottawa.

MacMillan, K., (1985), The Canadian Common Market, Canada West Foundation, Calgary.

Milne, William and David Murrell, "Indices of Diversification: Definition, Calculations, and Economic Performance", Report for the Atlantic Canada Opportunities Agency, sponsored by New Brunswick Department of Advanced Education and Labour, 1994.

Milne, William and Peter Sephton. "An Evaluation Framework for the NB WORKS Program", Report for the Canadian Employment Research Forum, sponsored by New Brunswick Department of Advanced Education and Labour, 1995.

Milne, William. " Transportation and Disadvantaged Regions: Pros and Cons of Assistance to Transportation as a Means of Promoting 'Catchup' ", Report for Canada's Royal Commission on National Passenger Transportation, 1991.

Milne, William. "Population-Output Linkages: A National and Regional Perspective", Canadian Journal of Regional Science, 1994.

Milne, William. "Income Security in Canada: The Myths, the Realities and the Necessary Reforms", sponsored by the Donner Canadian Foundation, 1994.

Milne, William. "Macroeconomic Influences on Migration", Regional Studies, 1993.

Nankivell, N., (1996), "Premiers miss opportunity to lower east-west bariers", Financial Post, August 24th.

Nerb, G. (1992) "The completion of the internal market: A survey of European industry's perception of the likely effects", European Community, Luxembourg.

Palda, F., (1994), Provincial Trade Wars: Why the Blockade Must End, The Fraser Institute, Vancouver.

Parsons, G., Internal Trade and Economic Cooperation Par II: A Distant vision, OWEC, Regina, 1996.

Parsons, G., Restoring the Economic Union, OWEC, Regina, 1996.

Parsons, G., The Economic Impact of Provincial Railway Taxes in Western Canada, OWEC, Regina, 1996.

Parsons, G., Provincial Rail Taxes in Western Canada, Hidden Freight Rate, Export Tax of Effective Taxation, OWEC, Regina, 1996.

Parsons, G., The Economic Impact of Provincial Railway Taxes on Manitoba, OWEC, Regina, 1996.

Parsons, G., Internal Trade and Economic Cooperation: Down to the Wire on an Internal Trade Agreement, Canada West Foundation, Calgary, 1994.

Rousseau, F., "Accord sur le commerce interieur: Dimensions Constitutionnelles" December 7, 1994.

Rousseau, F., "L'Accord sur les commerce interieur et ses procedures de reglement des differents", March 9, 1995.

Schwanen, D., Drawing on our Inner Strength: Canada's Economic Citizenship in an era of Evolving Federalism, C.D. Howe Institute Commentary No. 82, Toronto, June 1996, 19 pages.

Schwanen, D., Getting There: An Assessment of the Agreement on Internal Trade, edited with Michael J. Trebilock, C.D. Howe Institute Policy Study No. 26, Toronto, Sept. 1995, 222 pages.

Schwanen, D., One Market, Many Opportunities: The Last Stage in Removing Obstacles to Interprovincial Trade, C.D. Howe Institute Commentary No. 60, Toronto, March 1994, 11 pages.

Schwanen, D.,"Open Exchange: Freeing the Trade of Goods and Services within the Canadian Economic Union", in Free to Move: Strengthening the Canadian Economic Union, The Canada Round No. 14, Toronto: C.D. Howe Institute, May 1992, pp1-37.

Schwartz, Bryan, "Assessing the Agreement on Internal Trade: The Case for a "More Perfect Union", in Canada: The State of the Federation 1995, Institute of Intergovernmental Relations.

Statistics Canada (1996), Economic Benefits of Interprovincial Trade in Canada, Ottawa.

Statistics Canada (1996), Provincial Economic Accounts, Annual Estimates, 1981 - 1985, Revised. Ottawa.

Trebilcock, M., et al., (1983), "Provincially Induced Barriers to Trade in Canada: A Survey," in Federalism and The Canadian Economic Union, University of Toronto Press, Toronto.

Vercammen, J. "Diversification by the Prairie Pools: Motives, and Implications for Rules of Governance," Canadian Journal of Agricultural Economics, 1993, 41: 453-58.

Vercammen, J. and A. Schmitz, " Supply Management and Import Concessions," Canadian Journal of Economics, 1992, XXV:957-71.

Wu, T., "Negotiating Chile's Accession to NAFTA: Antidumping and Countervailing Duty Issues: (with N. Longley). Journal of World Trade, Vol 30, No. 1, 1996.

Wu, T., "Extending NAFTA to Chile: Issues and Implications" (with N. Longley), Proceedings of Pan-Pacific Conference XII, 1995.

Wu, T., "Mexican and U.S. Antidumping and Countervailing duty Policies: Issues in the Free Trade Negotiations" (with N. Longley), Law and Policy in International Business, Vol. 23, No. 4, 1992, pp.891-912.

Yu, Weiqui. "The Economic Impact of 'Not for Profit' Sales on the Alcoholic Beverages Market in New Brunswick", Report for Barroom Operators Association of New Brunswick (BOANBK), Sponsored by New Brunswick Department of Finance,1996

Business Library Staff
01/09