Canadians Should Root for Romney; What's Good for the U.S. Is Good for Canada

By Caldwell, Theo | The Washington Times (Washington, DC), September 14, 2012 | Go to article overview

Canadians Should Root for Romney; What's Good for the U.S. Is Good for Canada


Caldwell, Theo, The Washington Times (Washington, DC)


Byline: Theo Caldwell, SPECIAL TO THE WASHINGTON TIMES

Many Canadians are predisposed to dislike Mitt Romney. He is a Republican and can seem robotic even by GOP standards. In this land of center-left sensibilities, such party affiliation and corporate mien often rankle. I would urge my Canadian compatriots to reconsider. Mr. Romney is running for a foreign office, not joining your curling team, and if he can unseat President Obama, the Great White North will be greater for it.

Whatever one's views on North American free trade or capitalism in general, it remains immutable that Canada and the United States share the largest bilateral exchange of goods and services in history. Even those Canadians who instinctively gravitate toward Democratic candidates should wish for Canada to gain the greatest possible benefit from that arrangement.

Canada is, essentially, an exporter nation, largely because we have lots of natural stuff, and we send it to places that do not. This is a function of how and where the Good Lord placed us, and it is not necessarily the case that a country is entering terminal stages of Dutch Disease simply because resources represent a major portion of its economy. Indeed, with strong capital markets, technology and other industries, Canada has achieved a pleasant equilibrium, all things considered.

Still, perched as we are beside the largest consumer market in the world, we have a particular sensitivity, and advantage, when it comes to international trade. The U.S. consumer represents 70 percent of the country's economy, and 20 percent of the global economy. Canada benefits most when America is open to its products, and has the money to pay for them. Emotionally satisfying as it may be for Canadians to see the loonie at parity or soaring above the American dollar, a stronger U.S. currency maximizes Canada's strengths.

Mr. Obama inherited a massive budget deficit, which he proceeded to triple. At no point in his projected budget plan does he propose to balance the budget. Those ongoing deficits will be financed in large measure by an increased money supply. This augurs continued weakness in the U.S. dollar, making it harder for Americans to afford Canadian goods.

Mr. Romney's plan eventually will balance the budget, and even some measure of government spending restraint will result in a stronger U.S. greenback.

As a matter of basic policy, Mr. Romney is, like most Republicans, a free-market, global trader. Mr. Obama, meanwhile, like most Democrats, is beholden to American union interests and thereby eager to hose foreign workers whenever possible.

Fundamental to Canada-U. …

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