The government instituted the Goods and Services Tax(GST), designed to increase federal revenue by imposing a 9 percent across-the-board tax on goods and services. The measure met stiff resistance from citizens, who often crossed the border, shopped in the U.S., and smuggled goods back into Canada.
A survey of cigarette smokers revealed that Canada was the only country in the world with more women than men smokers. Terry Fox had initiated the Marathon of Hope (1980) in Canada to demonstrate the need for cancer research and education.
The Toronto Blue Jays reached the World Series in baseball and won against the Atlanta Braves. The Blue Jays were the first non-U.S. team to win the series.
Catherine Callbeck of Prince Edward Island became the first woman elected as a Canadian provincial premier. Callbeck had gained leadership of the province's Liberal Party in January.
The federal government, the Northwest Territories, and the Inuit (Eskimos) of the eastern and central Arctic region signed a new native land claims agreement.
The House of Commons approved the proposed North American Free Trade Agreement(NAFTA). Canada became the first of the three countries (which included the U.S. and Mexico) to approve the arrangement.
Kim Campbell became Canada's first woman prime minister, following her election to the head of the ruling Progressive Conservative Party. Campbell resigned after serving for only 134 days (Nov. 4). Her chief rival, Jean Charest, soon replaced her as interim head of the party (Dec. 13).
Fisheries minister Brian Tobin reported plans to close all but one of Canada's Atlantic cod-fishing grounds. The closure was expected to result in the loss of some 5,000 jobs.