Confederation and After

In 1867 the British North America Act united the Province of Canada and two other British colonies (New Brunswick and Nova Scotia) in a federation known as the Dominion of Canada. Ottawa was chosen as the Dominion capital. Canada West became the province of Ontario, with Toronto as its capital. One of the reasons for the separation of Canada West and Canada East (now Quebec) was the continued conflict between English-speaking and French-speaking peoples. Oliver Mowat became premier of Ontario in 1872. He remained in office until 1896 and strongly championed the rights of the provinces against expansion of the powers of the federal government.

Despite periods of economic depression during the last half of the 19th century, transportation improvements and industrial, commercial, and agricultural development continued in Ontario. In 1876 the Intercolonial Railway connected Ontario with the Maritime Provinces. The completion of the Canadian Pacific Railway in 1885 opened northern Ontario to settlement. The introduction of scientific farming methods, the diversification of industry, and the discovery of mineral deposits were important in Ontario's progress.

In the early years of the 20th century, Ontario lost population to the farm lands of the Prairie Provinces, but gained a large number of immigrants from Europe. In 1912 the province was enlarged by the Ontario Boundaries Extension Act, which gave Ontario former federal territory on its northwest border. Unprecedented prosperity began in the new century and lasted until the Great Depression of the 1930's. From 1901 to 1931, population increased by more than a million persons. During this period, Ontario became the leading province in the production of manufactured goods, agricultural commodities, minerals, and furs.

World War II brought an end to the depression and stimulated economic expansion. After the war large numbers of European refugees entered Ontario, their numbers dramatically increasing population and their skills contributing to industrial growth.

Important mineral discoveries were made at Elliot Lake (uranium), Lake Manitouwadge (copper and zinc), and Timmins (copper, zinc, and silver). The construction of natural-gas and oil pipelines from western Canada led to the development of a petroleum industry and provided power for industrial and domestic use. The St. Lawrence Seaway, constructed by Canada and the United States, provided hydroelectric power and made it possible for large oceangoing ships to dock at Ontario ports. The economic boom also made possible an expansion of Ontario's health and social-welfare services.

In the mid-1970's, economic growth was slowed by recession. Also in the 1970's, Ontario began placing restrictions on foreign ownership and control of industry, reflecting Canada's new mood of economic and cultural nationalism. Recession again affected the economy in the 1980's. In 1990,the left-of-center New Democratic party came to power, but it was defeated by the Progressive Conservative party in the 1995 elections.

During the 1980's and early 1990's, Ontario faced a growing budget deficit. To try to reduce the deficit, Progressive Conservative Premier Michael D. Harris decreased funding for such government programs as welfare, health care, education, and the environment. He also reduced income taxes. The economic and social programs of his government caused controversy, but the Conservatives still won reelection in 1999.

Toronto merged with its surrounding communities in 1998 in an effort to reduce duplication of municipal services. In 2001, more municipalities merged with surrounding areas.

Harris stepped down as Ontario's premier in 2002. Ernie Eves replaced Harris as premier. The Liberals won the provincial election in 2003, and Dalton McGuinty took over as premier.