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The Canada-U.S. Economic Relationship: Insights and Impacts on Trade and Social Programs

This overview explores the intricate economic relationship between Canada and the U.S., detailing the interdependence in trade, particularly the importance of within-firm trade and industry clusters. A focus is given to the lessons from Canada regarding environmental policies, healthcare systems, and banking structures, alongside discussions about socioeconomic inequality and social programs. It highlights how this bilateral relationship functions in a post-9/11 security context and examines the need to balance economic integration with national security concerns.

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The Canada-U.S. Economic Relationship: Insights and Impacts on Trade and Social Programs

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  1. The Canada-U.S Economic Relationship Peace Arch Crossing State Department Photo “America’s Unhappy Borders” The Economist, 8/27/05 Study Canada Summer Institute, 2009 Dr. Paul A. Storer

  2. Outline of Talk • Canada-U.S. Interdependence: - Scale and Composition of Trade - Costs and Benefits of Trade • Lessons from Canada: - Environment - Health Care - Banking System - Inequality and Social Program

  3. Source: Embassy of Canada

  4. Canada-U.S. Integration • 36 states have Canada as their largest export market. • More than 40% of Canada-U.S. trade is within-firm trade. Clusters (eg autos) matter. • Strong growth of intra-industry trade.

  5. Tradition …

  6. The Modern Canadian Economy: Technology …

  7. …Transportation.

  8. Bellingham Airport Bellingham Herald October 26, 2006

  9. Energy Trade An Important Supplier of Secure Energy

  10. Source: “The World’s Largest Trading Relationship”, Embassy of Canada.

  11. U.S. Petroleum Imports (2006)(Source: U.S. Energy Info. Agency)

  12. Source: http://www.pse.com/energyEnvironment/EnergySupply_NaturalGasProfile.aspx

  13. Oil Sands Reserves Source: www.ubc.ca

  14. Source: www.guardian.com

  15. The Post-9/11 Reality How do we balance security and integration?

  16. Canada-U.S. Free Trade: A Break with History Source: Hart, M. A Trading Nation

  17. DHS Secretary Napolitano: Hope and Change? View #1: “the myth I’m trying to bust is that there’s no real border between Canada and the United States” View #2: “We don’t want to damage economic security in the name of homeland security.” Source: Globe and Mail

  18. The Modern Canadian Economy:ContinentalIntegration&“JIT”

  19. Canada: A Source of “Vulnerabilities?” Source: Bellingham Herald Source: ABC news Source: International Border Commission

  20. “Alphabet Soup” Programs

  21. Environment and Natural Resources National versus Regional Policies

  22. Globe and Mail, Dec. 11, 2002

  23. B.C. Carbon Tax Program

  24. Source: 2008 Budget, B.C. Ministry of Finance

  25. Source: 2008 Budget, B.C. Ministry of Finance

  26. Health Care Are we following the Canadian path?

  27. June 9, 2009

  28. The HMO Approach

  29. The Canadian System Like my Group Health (HMO) cards except: - Good everywhere - No co-pay/deductible

  30. Health Care Spending, % of GDP, 2003

  31. U.S. Canada Health Care as a % of GDP

  32. Banking and Finance Did Canada “Get it right?”

  33. The Economist, U.S. Edition, May 23, 2009

  34. Social Programs andthe Role of Government

  35. www.inequality.com

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