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Originally Posted by Truenorth00
Eh? You should tell that to Silicon Valley, New York, London, Singapore, etc.
Who gets 80% of the value of an iPhone being manufactured? The places where the materials were mined, the place where the phone is manufactured or the place where it's designed and marketed from?
Services can be highly lucrative. Providing your service sector isn't just low end tourism and retail.
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Well, banking services certainly can create national wealth because you can sell your services internationally. A service job at Burger King and A&W, not so much.
With an international corporation, company ownership and higher value added research jobs in the US certainly makes up for the loss of manufacturing jobs overseas, but, this scenario applies less to Canada, as we are not really even in the same ballpark as the US in terms of home grown multinational corporations.
In fact, Canada always loses out to the US in these matters. If a Canadian tech start-up comes up with a promising new piece of innovative tech, what usually happens is that they sell out to an American tech giant rather than going through the bother of trying to market and sell their products themselves. The eventual value of these new pieces of tech then ultimately contribute to the US GDP and not the Canadian GDP.
Canada remains left with a branch plant and extractive economy with comparatively reduced value and a decreased impact on our national GDP. We are poorer than we should be as a result.