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Breaking Down Canada’s Internal Trade Barriers

Author

Listed:
  • Christopher Cotton

    (Queen's University)

  • Daniel Teeter

Abstract

This paper provides an overview of Canada’s internal trade barriers that limit cross-province trade and competition. It summarizes the different types of barriers, how costly they are for consumers and the economy, recent efforts to reduce them, and why they persist. It then summarizes 22 reforms and investments that could be undertaken by Canadian provincial and federal governments to break down the barriers. The paper classifies these reforms into four categories and presents several strategies for incentivizing reform.

Suggested Citation

  • Christopher Cotton & Daniel Teeter, 2025. "Breaking Down Canada’s Internal Trade Barriers," Working Paper 1529, Economics Department, Queen's University.
    • Handle: RePEc:qed:wpaper:1529
    as

    Download full text from publisher

    File URL: https://www.econ.queensu.ca/sites/econ.queensu.ca/files/wpaper/qed_wp_1529.pdf
    File Function: First version 2025
    Download Restriction: no
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    References listed on IDEAS

    as
    1. Mr. Jorge A Alvarez & Mr. Ivo Krznar & Trevor Tombe, 2019. "Internal Trade in Canada: Case for Liberalization," IMF Working Papers 2019/158, International Monetary Fund.
    2. Lukas Albrecht & Trevor Tombe, 2016. "Internal trade, productivity and interconnected industries: A quantitative analysis," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 49(1), pages 237-263, February.
    3. Tweedle, Jesse & Brown, Mark & Bemrose, Robby, 2017. "Going the Distance: Estimating the Effect of Provincial Borders on Trade when Geography Matters," Analytical Studies Branch Research Paper Series 2017394e, Statistics Canada, Analytical Studies Branch.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Internal Trade Barriers; Interprovincial Trade; Trade Barriers; Economic Trade; Canada;
    All these keywords.

    JEL classification:

    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
    • F15 - International Economics - - Trade - - - Economic Integration
    • L51 - Industrial Organization - - Regulation and Industrial Policy - - - Economics of Regulation
    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers

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