Canada's Economic Independence Hangs in the Balance

Canada's recent spat with the US over trade has raised questions about the country's economic dependence on its southern neighbor. According to author John Rapley, Canada has long enjoyed the benefits of being a close ally without shouldering the responsibilities that come with it.

Rapley argues that Canada has been able to 'shelve concerns with innovation or industrial modernization' thanks to free trade and a lack of investment in defense. This has allowed the country to slash its defense budget, offloading security costs onto the US.

However, with the breakdown of trade talks, Prime Minister Mark Carney has vowed that Canada will be 'masters of our own destiny.' Rapley notes that while this is an achievable goal, it won't be easy. He warns that a future MAGA president could potentially obtain a mandate to implement a 'Donroe doctrine' and craft a strategy to crush Canada's economy.

To avoid becoming the 51st American state, Canada needs to develop a total-defence approach akin to Finland's during the Winter War. This would involve fortifying its economy by diversifying markets and developing new industries that other countries can't easily replace.