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So I am not very familiar with how the politics go here in Canada I heard there were going to be elections but now I see there is a new Prime Minister without elections. Can somebody please explain it to me like I am 5 years old. Thanks!

In Canada we don't elect the Prime Minister. The Prime Minister is the leader of the party in power. Since the Liberals had a Leadership Race to elect new leader since Justin Trudeau is stepping down as leader, Mark Carney is the new Liberal leader and therefore is also the Prime Minister-elect.

also many times where party leaders of provincial and federal governments are selected in leadership races who are not elected. In the Manitoba PC Leadership race, of the two, one is elected and the other isn't.  
Maxime Bernier is leader of the PPC and isn't a sitting MP.  
 
Since there is a chance of an election, Carney will run for a seat in a safe Liberal riding. Otherwise he would run in a by-election where another Liberal MP in a safe Liberal seat would step down.  
 
These same things happen with all party's and they would do the same. Conservatives would do the same exact thing if in the same position. When Brian Mulroney stepped down as PC leader and Prime Minister, they held a Leadership race and selected Kim Campbell, though she was a sitting MP at the time.  
 
Many seem to think our elections are like in the US where you directly vote for the President, it is not!!

I just wanted to commend you for trying to learn. So many people act like they know what they are talking about when they do not.  
 
You are honest that you don't understand, and that is to be admired.  
 
Thank you.

Thank you all for your replies!