What factors causes poverty in canada?Including globalization..In arguments please...

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readerofbooks eNotes educator| Certified Educator

This is an very insightful question, because not many people would consider the topic poverty in Canada. Canada consistently ranks very high in terms of standard of living. Moreover, since Canada is a commodity based country, it has been faring better than other countries. With that said, poverty is a real issue.

One of the great factors for poverty is globalization for two reasons. First, with globalization domestic jobs go overseas, which means less jobs for citizens. Many Western countries face this dilemma.

Second, Canada, like many other nations realize that we live in a global world where companies need to be more competitive. Hence, Canada has been giving  more tax breaks to companies to be more profitable. The hope is the stimulate the economy to create more jobs and increase tax revenues in the future. However, for the time being, with these tax breaks, the government made cuts to social welfare. This has exacerbated the poverty problem.