ABSTRACT
This chapter provides the Canada's problems in technological development are established in more detail. It presents small scale of Canadian high technology production is set within the framework of Canada's international trading pattern and the recurring issue of a trade agreement with the US The chapter also presents locational structure and changes in Canadian high technology industry are identified and the dominance of the Toronto region rather than Silicon Valley North is established. It also provides incompatibility of these trends with federal and Ontario government programmes is assessed. The notable feature of policy delivery in Canada is that it is overwhelmingly passive in its mode of approaching the problem of reducing the technology gap. The replacement of the federal Liberal with a Conservative government has initiated policy changes both of an organisational type and in the financial base of support for high technology industry.
