Economy of Toronto
The economy of Toronto is the largest contributor to the
History
Toronto is located on a crossroads dating back to aboriginal times with excellent harbours with many rivers. The economy grew based on the settlement of Ontario. During the late 19th century, Toronto became the centre of railways and the supplier of goods to Ontario. Its status as a political centre gave it some stability during periods of economic uncertainty. Toronto saw a large boom after World War II when immigrants, especially from war-decimated Europe, chose the area to settle. Manufacturing, notably automotive manufacturing, grew to supply the population growth.
Toronto grew at a faster rate than the other great centre of Canada at the time, Montreal, and surpassed it in the 1970s. Shipping by water was instrumental in Toronto's early growth, but this has diminished to the point where the harbour is lightly used by industry. The area around Pearson Airport, the country's busiest airport, has become one of the largest industrial areas.
Further growth in the Toronto area is often attributed to the rise of Quebec separatism, though the extent of its influence is still contested by some, who argue that its effect was exaggerated by the English media. During the 1970s, the Quebec Liberal Party and the Parti Québécois enacted a series of French-language laws, which were perceived as unfavourable towards English-language businesses (especially multinational corporations, whose markets extended far beyond Quebec's borders) and English-speaking Montrealers. Some of the former (including the Bank of Montreal) and a number of the latter subsequently relocated to Toronto, where French proficiency is not a necessity for business or employment.
Much of Toronto's manufacturing sector has moved to outlying suburbs in the Greater Toronto Area, seeking lower land costs and land for expansion. This is not a new trend; it has been present for over 100 years. Early suburbs, such as West Toronto, developed for industry and were later engulfed by the expansion of the City of Toronto. West Toronto once had a large stockyard, which has moved well north of the city. Much of the older industrial land has been converted into new residential neighbourhoods, supporting loft and condominium development and the industrial concerns have moved further away. The sector remains a large employer, employing 25,000 directly.[4]
Toronto itself has diversified into service-based industries. It is the centre of the Anglophone media industry in Canada, the advertising industry, the entertainment industry, the fashion industry, the communication and technology industry, the pharmaceutical industry, the retail industry and the centre of the financial industry in Canada. The area is a large site of computer software development. Toronto has also become the site of many headquarters of companies, which have their primary activities elsewhere, such as mining and real estate, which need to stay close to the centre of finance. As Toronto developed, it has also developed its tourism industry, developing attractions such as the
Key industries
Finance
As the country’s commercial and financial hub and one of the largest
The Financial District in Toronto centers on Bay Street, the equivalent to Wall Street in New York. The city hosts the headquarters of all five of Canada's largest banks, Royal Bank of Canada, Toronto-Dominion Bank, Scotiabank, Bank of Montreal and Canadian Imperial Bank of Commerce, and was ranked as the safest banking system in the world between 2007 and 2014 the World Economic Forum.[1] Toronto's economy has seen a steady boom in growth thanks to a large number of corporations relocating their Canadian headquarters into the city, and Canada's growing cultural significance. Resulting in a number of companies setting up shop in Toronto.
The city's budget for the fiscal year 2019 was $11.559 billion and is funded primarily by property taxes (the net budget) totaling $4.398 billion.[11]
Media and entertainment
Toronto is one of the centres of Canada's film and television industry, due in part to the lower cost of production in Canada. The city's streets and landmarks are seen in a variety of films, mimicking the scenes of American cities such as Chicago and New York. The city provides a diversity of settings and neighbourhoods to shoot films, with production facilitated by Toronto's Film and Television Office.
Toronto is home to major film studios such as Pinewood Toronto Studios, Cinespace Film Studios and Revival 629. While the surrounding region has seen the arrival of new production spaces such as CBS Stages Canada and Markham Movieland.
A major new film studio,
Toronto's film industry has extended beyond the Toronto CMA into adjoining cities such as Hamilton and Oshawa.
As well as numerous film production spaces, Toronto is also home to the headquarters of many media and entertainment corporations.
Technology
Toronto is a large hub of the Canadian and global technology industry, generating $52 billion in revenues annually. In 2017, Toronto tech firms offered almost 30,000 jobs which is higher than the combination of San Francisco Bay area, Seattle and Washington, D.C.
The region has also emerged as the Canada's largest biotechnology cluster, with over 50% of the country's life sciences companies based in the area. Toronto's biotech industry is centered around the Discovery District, a 2.5 km2 area of the downtown core hosting a number of large hospitals, leading research institutions, and the MaRS buildings.
Tourism
Toronto is home to a sprawling and diverse commercial infrastructure. The
Along Queen Street East, Toronto's biggest camera stores can be found there. Big-box stores are not generally found in downtown Toronto, but the suburbs have many large malls, big-box stores, as well as specialty stores, for example, stores selling discount fashions and lighting nearby
The fashion district is located near King and Spadina, close to the old Chinatown to the north and entertainment district to the east. Sunday shopping in Toronto first got its start in the fashion district in the 1980s.
St. Lawrence Market is a large, historic vendors market with an open air section in summer selling fresh locally grown produce. Kensington Market also has an outdoor vendor section located close to Chinatown.
The city itself has many large and unique malls and shopping centers, such as CF Sherway Gardens and Fairview Mall. Shopping in Toronto has become a large draw for tourists, with, for example, the Eaton Center being designated as a tourist attraction in the 1980s. Toronto and its immediate area also boasts many large ethnic shopping malls, the largest of which is Pacific Mall in Markham, catering to the area's large Chinese population.
The
Toronto is home to a number of major league sports and is home to professional sports teams including the
Real Estate & Construction
Home to a variety of large commercial and residential real estate developers as well as construction, engineering and architectural firms, real estate and construction is a major component of Toronto's economy. In 2016 real estate and construction directly accounted for 18% of Toronto's economy.[23]
Major commercial property developers and managers include companies such as Brookfield Properties, Oxford Properties and Cadillac Fairview. With a well established condominium construction industry, Toronto is a major North American centre for multi-unit residential construction.
Corporate headquarters based in Toronto
Half of the
Several companies with their Canadian headquarters located in Toronto include:
- Apple Canada (communications & media)
- Ubisoft Toronto (video games & technology)
- ASUS(electronics)
- BMG Music Canada (media)
- Coca-Cola Company (non-alcoholic beverages)
- Citibank Canada (financial service)
- Google Canada (communications and media)
- Intel (electronics)
- McDonald's Canada (fast food restaurants)
- Marriott International (hotelier)
- Microsoft Canada (communication & media)
- Nordstrom (retail)
- SAP SECanada (communication and media)
- Sirius Canada (satellite radio)
- Toyota Motor Manufacturing Canada (automaker)
- XM Radio Canada (satellite radio)
Several companies with their global headquarters located in Toronto include:
- Brookfield Asset Management(property management)
- Celestica (communication & media)
- Cinespace Film Studios (entertainment)
- Cookie Jar Group (entertainment)
- Entertainment One (communication & media)
- Fairmont Hotels and Resorts (hotelier)
- Four Seasons Hotels and Resorts (hotelier)
- George Weston Limited (food production)
- Hudson's Bay Company (retailer)
- McClelland & Stewart (media-publisher)
- Manulife Financial(insurance and financial services)
- Nortel (communication & media)
- Nelvana (entertainment)[24]
- Oxford Properties (property management)
- Porter Airlines (airline)[25]
- Rogers Communications (communications & media)[26]
- Onex Corporation (private equity and investment firm)
- Restaurant Brands International (hospitality)
- Sunwing Airlines (airline)
- Thomson Reuters (media)
See also
- Economy of Ontario
- Greater Toronto Area
- Golden Horseshoe
- Great Lakes Megalopolis
- Toronto Industry Network
Notes
- ^ The events of the Canadian Open for tennis alternate between the cities of Montreal and Toronto. In even-numbered years the men's tournament is held in Toronto, while the women's tournament is held in Montreal, and vice versa in odd-numbered years
References
- ^ a b c Invest Toronto. "Invest Toronto 2014: Annual Report" (PDF). Invest Toronto. Invest Toronto. Retrieved 2016-03-05.
- ^ "Gross domestic product (GDP) at basic prices, by census metropolitan area (CMA) (x 1,000,000)". Statistics Canada.
- ^ "Toronto at a Glance". City of Toronto. 2017-11-14. Retrieved 2023-08-05.
- ^ "What is the Toronto Industry Network?". www.torontoindustrynetwork.com. Toronto Industry Network. Retrieved October 9, 2019.
- ^ "The Global Financial Centres Index 28" (PDF). Long Finance. September 2020. Retrieved 26 September 2020.
- ^ "Facts and Figures – Toronto UNESCO Creative City of Media Arts".
- ^ Toronto Stock Exchange (TSX), Encyclopædia Britannica. Retrieved on 2016-01-22.
- ^ Toronto Stock Exchange Celebrates 25 Years of Listing and Trading Exchange Traded Funds. Retrieved on 2016-01-22.
- ^ Toronto Transit Strike Looms as Talks Pass Deadline, Joe Schneider. Retrieved on 2008-04-24.
- ^ Forbes Economic Growth GDP, Rob Taylor. Retrieved on 2008-08-23.
- ^ "2019 Budget Committee Recommended Operating Budget" (PDF). Retrieved 2019-09-23.
- ^ "e-architect: "Toronto Architecture - Key Buildings in North America."". Retrieved 2008-02-04.
- ^ "Torontoist: "Curtain Rising On New Film Megastudio."". Retrieved 2008-02-04.
- ^ Silagadze, Mike (August 15, 2018). "Toronto's Tech Scene Is Having A Moment, But Not For The Reason You'd Think". Forbes.
- ^ "York Region an Integral Leader in Digital Corridor - Techvibes.com". www.techvibes.com. Retrieved 2015-11-18.
- ^ "Toronto area is third largest North America centre for ICT firms: Report". IT World Canada. Retrieved 2015-11-18.
- ^ Invest Toronto. "Toronto's Tech Sector" (PDF). Invest Toronto. Archived from the original (PDF) on 2016-11-10. Retrieved 2015-11-18.
- ^ "Three Canadian Cities Ranked Top 20 Most Active Startup Scenes | BetaKit". betakit.com. Retrieved 2015-11-18.
- ^ "Toronto Eaton Centre | Tourism Toronto". www.seetorontonow.com. Archived from the original on 2018-07-02. Retrieved 2016-01-23.
- ^ "PATH - Toronto's Downtown Underground Pedestrian Walkway - Getting Here & Around - Visitor Information Services | City of Toronto". Archived from the original on 2014-06-20. Retrieved 2016-01-23.
- ^ City of Toronto, Attractions, City of Toronto. Retrieved on 2006-12-03.
- ^ Grainger, Lia (16 May 2016). "Toronto declared the world's most diverse city". Yahoo News. Yahoo. Retrieved 11 December 2020.
- ^ "Facts and Figures – Toronto UNESCO Creative City of Media Arts".
- ^ "Contact Us." Nelvana. Retrieved on August 24, 2009.
- ^ "Contact Us Archived 2009-07-21 at the Wayback Machine." Porter Airlines. Retrieved on May 25, 2009.
- ^ "Contact Us Mail or Fax." Rogers Communications. Retrieved on August 24, 2009.