The Canadian government addressed the issue of unfair advantage by
(a) passing Bill C-58. Advertising expenses of Canadian firms would not qualify for tax deductions unless those firms had advertised in Canadian-owned and Canadian-based publications (p. 185).
(b) passing Customs Tariff Code 9958. This was a law passed against "split-run" magazines. To make a Canadian edition of a magazine, US publishers would often remove the American advertisements and put Canadian advertising in their place. Thus, it was basically the same foreign magazine, except that it was paid for by Canadian advertisers. …show more content…
187). However, this measure was prohibited by the World Trade Organization. It was unsuccessful (p. 185).
The government tried again with Bill C-55, a bill that was designed to get around the WTO. However, the US strongly pressured the Canadian government and in the end, the US and Canada were able to reach a compromise. Whether this compromise was successful in protecting Canadian magazines is still a matter of debate (p. 185).
Freedom of the press is often seen as a cornerstone of democracy, and directly related to freedom of expression. There are however concerns that "freedom of the press belongs to those who own one." After you read the section on newspaper publishing, explain what you understand by these concerns.
The market structure of the Canadian press industry has changed very much over recent decades.
In the past, the press was closer to a perfectly competitive market. It consisted of a great number of small independently owned newspapers, run by professional journalists committed to their job: to find and show valuable information to the public. Under this context, freedom of the press was an extremely important right, a right that liberal democratic society depended on. In the past, there was no need for any specific legislation to regulate the press industry. Small newspapers, in the event that they broke the law, were easy to deal with using