Toronto is a city that was founded based on its potential to be a place of economic vitality. The French originally occupied the land hoping to take advantage of the Toronto Passage, which was an important segment of the fur trade route across Canada. When the city of York, now Toronto, was officially planned and created in 1973, it “attracted merchants, craftsmen and labourers, while the spreading rural settlement beyond made it a local market center” (Careless 2015). The city experienced a similar increase when, in 1834, it was incorporated as the city of Toronto.

After its incorporation, Toronto experienced a number of economic shifts. The construction of local, regional, and national infrastructure enabled the expansion and enhancement of Toronto’s economy. Specifically, the completion of the regional Grand Trunk Railway, as well as the establishment of the Toronto Transportation Commission contributed to the city’s interest in becoming industrialized, as well as led to a significant increase in the city’s population. By the 1880’s the city had acquired a notable amount of industry from a variety of sectors. This resulted in substantial growth of the city, which was only heightened by “industrial tariff protection after 1879” and “the tapping of Northern Ontario's forests and mines in the 1890s and 1900s opened further markets and resources to Toronto” (Careless 2015).

However, similar to many other cities, Toronto fell into the Great Depression in the 1930’s after the Toronto Stock Exchange (TSX) crashed. During this period, employment rates fell and quality of life worsened. What eventually brought the city out of the Depression and began to remedy such ills was World War II. The war created a demand for warfare machinery, including the production of airplanes, which today remains a primary sector of Toronto’s economy. Such progress boosted the economy and led to another substantial population increase, as the city’s population reached over a million by 1951 (Careless 2015).

During each major economic shift in Toronto’s history, the city experienced some form of social or spatial change. The economic climate was, and remains, directly related to the quality of life of the city’s residents. Thus, if the city was struggling, so was the majority of its population. Alternatively, if industry was thriving and the city was growing, its population had additional money to invest in the local economy.  The significant rise in the city’s population, as well as the increase of jobs and wages generated a need for more space and additional homes. As a result, the city limits were expanded, and modern high-rises were constructed. Such structures, which continue to dominate the cityscape today, efficiently accommodate the notably high population density of the contemporary city. Relatedly, much of the city’s infrastructure has been upgraded to address such density. The city’s subway system was built in 1949, and while it has allowed for significant automobile usage, it has maintained its emphasis on public transit, later installing a public streetcar and bus routes.