What type of economic system does Newfoundland have? Newfoundland, Canada’s tenth province, occupies the easternmost part of North America. The extensive fishing grounds, lying off the coast, are the reason why Newfoundland was settled, and fish remains one of its most important resources. The most important fish is cod. In the 19th and early part of the 20th century, the people in Newfoundland were almost completely dependent upon fishing for their income. In the 1960s and 1970s Newfoundland’s fishing industry suffered from the effects of over fishing by fleets of ships operating off its coast. In order to prevent the fish from being wiped out, the government limited the areas where fishing was allowed. When that didn’t work, and the number of fish continued to decline, the government had to declare a moratorium on fishing so the supply could increase. Today, once again, people can become commercial fishermen, own their own boats, sell to any buyer, and make a profit, but the industry is still regulated by the government.