1. UBC POLI 101 Canadian Politics
Canada and the US Canada and the World

2. Canada in the (US) World
Canada is in a world where the USA is the dominant power – the only “great power” according to most
The CD indicates how important Canada’s particular relationship with the US is: it puts the Canada-US chapter before the Canada in the World chapter!
Canada isn’t the only country dealing with US dominance. Everyone has to
deal with the US dollar
worry about US foreign policy and defense policy
protect a fair trade relationship with the US

3. Mainly a peaceful history: “the world’s longest undefended border”
Canada and the US
Mainly a peaceful history: “the world’s longest undefended border”
Trade relationship is vital to Canada (87% of Cdn exports)
this means Canada is vulnerable to trade wars
Investment relationship is vital to Canada
The relationship is asymmetrical
Canada doesn’t have the same leverage as the US: The US matters more to Canada than Canada matters to the US!
Cultural ties are as strong as any two countries in the world – e.g. Canadian Movie Industry

4. Economic (and Political?) Integration? The 51st State?
A Constant theme of Canadian Political Development:
Economic Nationalism
a means to political autonomy
Canadian ownership of economy allows gov’t direction of the econmy
dependence stunts Canada’s economic maturation
profits not re-invested in Canada
Instruments: Foreign Investment Review, National Energy Policy
vs.
Continentalism
Prosperity depends on economic integration
Specialization = efficiency. Canada can compete!
Wealth enables social programs
Instruments: Free Trade, Encouraging Foreign Investment

5. Canada is a small player The Forces of Globalization:
Canada in the World
Canada is a small player
The Forces of Globalization:
economic competition is wider
conflicts more likely to spill over
barriers to cultural transmission come down (internet), so protecting distinctiveness is harder
Internationalism / Multilateralism
Canada as a “middle power”
Attempt to be a broker, peace-maker in conflicts
promotion of international ‘responsibility’
all states have a role in int’l affairs; not just great powers
make foreign policy distinct from the US

6. Canada’s Fundamental International Challenge
Canadians want Canada to make its own decisions in international affairs
culture of peace-making and peace-keeping (land mines)
greater ‘sympathy’, responsibility – foreign aid
But… No other country has to keep the US happy the way Canada does
so Canada juggles! dances! shadow-boxes!
trade, defense, culture, etc.
Areas of conflict with US policy (neighbourly stuff!):
Cold War policy (communism, China, Cuba, etc.)
Joint continental defense (NORAD, NATO)
Environment (acid rain, global warming, forest practices, shared water resources, fishing boundaries etc.)

7. Illustration: Softwood Lumber and Afghanistan
Softwood Lumber Typical trade dispute with USA, despite free trade
Canadian governments own land differently, want to use it for ‘national purposes’
Government control was key to economic development and perhaps even political development in Canada
So Canada leases land; In the US, the land is privately owned or there is a system of ‘competitive bidding’
There is no way for these pricing systems to come to an equilibrium
So the US says the Canadian system charges too little, making the lumber cheaper than US lumber – SUBSIDY
And they say we’re DUMPING: selling it in the US cheaper than here, because part of the cost here is higher b/c of higher taxes
So the US imposed ‘countervailing duties’, causing US buyers to buy US wood, and Canadian firms had to shut down mills, lay off workers
What to do? Is fighting too risky? Does a compromise mean the US lumber industry has won? Can provinces agree?
different interests in both countries on both sides of the issue!

8. Traditional international role is peacekeeping
Canada in Afganistan
Traditional international role is peacekeeping
no participation in Vietnam (unlike Australia)
active in conflict zones through the UN
But Canada needs to be seen as an ally by the US
Choice between traditional role and a more active role more valuable to the US
Reasoning is that it might help us on other issues
(and it might improve military morale)
Canadian public hasn’t judged the government on foreign policy the way the US public judges its government. So it can be used as a tool to get better results in areas the public really cares about.