Glossary of Frequently-Used Terms.
General Agreement on Tariffs and Trade (GATT) (Accord général sur les tarifs douaniers et le commerce (GATT)).
Established in 1947, GATT is a multilateral institution that was created to oversee the global trading system. It set out rights and obligations aimed at promoting world trade. GATT was superseded by the World Trade Organization in January 1995. For more information, visit the World Trade Organization Web site.
General Agreement on Trade in Services (GATS) (Accord général le commerce des services (AGCS)).
A set of multilaterally agreed and legally enforceable rules and disciplines negotiated under the auspices of the World Trade Organization to cover international trade in services. For more information, visit the WTO's GATS Web page.
The integration of international markets as a result of advances in communications and transportation, the liberalisation of trade, and the emergence of new competitors in the developing world.
goods and services tax (GST) (taxe sur les produits et services (TPS)).
A 7-per-cent value-added tax applied to most goods and services sold in Canada for domestic consumption. The GST does not apply to basic groceries, most medical services and devices, prescription drugs, residential rents and exports. For more information, visit the Canada Customs and Revenue Agency Goods and Services Tax (GST) and Harmonized Sales Tax (HST) Web page.
See also harmonized sales tax (HST); input tax credit.
goods and services tax (GST) credit( crédit pour taxe sur les produits et services (TPS)).
A refundable tax credit that provides cash payments to low- and middle-income Canadians to help offset the costs of paying the GST on taxable purchases. Effective July 1, 1999, a basic amount of $199 per adult and $105 per child, and a supplement of up to $105 for singles and single parents, is available. The phase-in threshold for the supplement is $6,456 for singles without children and the threshold for the regular GST credit phase-out of 5 per cent is $25,921. Visit the Canada Customs and Revenue Agency Goods and Services Tax/Harmonized Sales Tax Credit (GST/HST) and Goods and Services Tax (GST) and Harmonized Sales Tax (HST) Web pages for information on eligibility and to find out how to apply.
See also tax-exempt goods and services.
goods and services tax (GST) rebate (remboursement de taxe sur les produits et services (TPS)).
Taxable (including zero-rated) sales by all sectors are eligible for full rebate of tax paid on associated inputs through the input tax credit mechanism. However, certain sectors are also eligible for rebates of a portion of the GST paid on inputs into exempt sales. For more information, visit the Canada Customs and Revenue Agency Goods and Services Tax (GST) and Harmonized Sales Tax (HST) Web page.
Government of Canada security (titre du gouvernement du Canada).
Financial instrument issued by the Government of Canada. Government of Canada securities include fixed-coupon marketable bonds, medium term notes, Treasury bills, retail debt (primarily Canada Savings Bonds), real return bonds, and Canada bills. For more information, visit the Department of Finance Government of Canada Securities Web page.
gross domestic product (GDP) (produit intérieur brut (PIB)).
The total value of all goods and services produced within Canada during a given year. It is a measure of the income generated by production within Canada. Also referred to as annual economic output or, more simply, output. To avoid counting the same output more than once, GDP includes only final goods and services not those that are used to make another product. GDP would not include the wheat used to make bread, but would include the bread itself.
gross federal debt (dette fédérale brute).
The total amount the federal government owes. It includes both market debt in the form of outstanding securities such as Treasury bills and Canada Savings Bonds, and internal debt owed mainly to the superannuation (pension) fund for government employees.
Group of Seven (G-7) (Groupe des Sept (G-7)).
The G-7 consists of the world's seven largest industrial market economies: the United States, Japan, Germany, France, Britain, Italy and Canada. The leaders of these countries meet annually to discuss political and economic issues of mutual concern. In addition, G-7 finance ministers meet several times a year to discuss economic policy. Their work is supported by regular, functional meetings of officials, including the G-7 Finance Deputies.
growth or economic growth (croissance ou croissance économique).
An increase in the production of goods and services over a given period. Nominal growth is the increase including changes in prices while real growth is the increase excluding changes in prices. Statisticians and economists have developed a concept called constant dollars so that they can exclude price changes from measures of growth. Constant dollar gross domestic product (GDP) is a measure of growth using the prices of a base year. Changes in constant dollar GDP only capture changes in actual or real production.
Guaranteed Income Supplement (GIS)
A non-taxable monthly benefit paid to lower-income Old Age Security (OAS) recipients on the basis of family income. Benefits are fully phased out at a net income (including OAS benefits) of about $16,600 for individuals and $25,100 for couples. For more information, visit Human Resources Development Canada's Guaranteed Income Supplement Web page.