As Canadian multinationals expand abroad, the headquarter activities within Canada increase. That's number one. So we've seen a lot of discussion in the media about this sphere of headquarter activity.
Secondly, the evidence is very clear. This is true within the Canadian, American, and European contexts that when multinationals within any particular country move abroad, it's complementary to domestic trade.
So when the Canadian multinational moves into the U.S. or Latin America, it increases its footprint in that foreign jurisdiction. When it increases its footprint in that foreign jurisdiction, this increases the demand for Canadian production. So jobs within Canada increase to service those markets that are opened by the presence of Canadian multinationals in those foreign jurisdictions. The evidence is very clear on that.
But secondly, much of the income that's generated in those foreign jurisdictions flows back to Canada, and when it is paid out to individuals, to shareholders of these multinational companies, those dividends are taxed.
When the money comes back to a Canadian multinational, it may escape taxation at one level. But when that income is paid out to shareholders—and almost every Canadian has stocks in their RRSPs—the dividend payments that they receive are much higher as a result of these Canadian multinationals being more competitive in the global economy.