Sell Canadian
Two unions, the Canadian Auto Workers and the United Steel Workers, want the Federal government to copy the U.S. stimulus bill and bring a "Buy Canadian" policy so that the majority of public funds are spent on goods and services made in Canada. The President of the CAW, Ken Lewenza, dismisses the claims of protectionism and says that it is just "common sense." Out of pure self-interest, it may seem like common sense for the union but not for the rest of the country.
If protecting one industry is somehow seen as good for Canada, why not protect all industries. Why not have a "Buy Canadian" policy in place across the board and don't just limit it to government, but make people buy only Canadian products. It seems on the surface to make sense. It is using Canadian money staying within the economy protecting Canadian jobs. We have to protect our own.
Except, it doesn't work and should be discouraged. Because by throwing up trade barriers we invite every other country to do the same thing with our products. We cannot give any nations an excuse from limiting Canadian goods from entering their marketplace. By definition, "Buy Canadian" invites trade barriers. We are a trading nation. We have plenty of goods the world wants and we need to buy things that others make. We rely on selling to world markets. Can Research in Motion make it by just selling to Canadians? Can Bombardier move enough planes, trains, and snowmobiles in this country to be profitable? By throwing up trade barriers and shouting "Buy Canadian" we actually end up with less money buying fewer goods and losing jobs. We would be worse off. But the unions rather tired argument is that everyone else is doing it so we should as well.
It seems odd that the CAW supports this. It must be a brotherly love thing for another union. For the North American auto companies, Canada accounts for twenty percent of production, but only ten percent of consumption. So, if the American consumer wanted to only buy an American-made car, half the output of CAW plants is gone. And with it, the jobs that put the cars together.
So instead of "Buy Canadian" we need to embrace the opposite - "Sell Canadian."
We should do everything we can to encourage Canadian companies that sell their products around the world. Every company from basic resource companies to high tech manufacturers should be helped. And not helped by giving them handouts or subsidies, but through policies that help make Canada's business environment stand out as a world leader. Fair and stable tax rates, maintaining regulation where required but eliminating government intrusion and bureaucracy where necessary. Solid investments in education that not just provide the workers of tomorrow but foster the culture of innovation. Investments in infrastructure that speed the flow of goods from within our borders to markets around the globe. Canada's labour standards and worker protections are amongst the highest in the world. We now need reasons for businesses to remain, to re-locate, to expand their operations here.
For Canadian companies to thrive, for Canadian workers to have jobs, for Canada as a country to be able to afford the society we desire, the answer is not to close the door to international trade and say "Buy Canadian." We must be open to trade and promote Canadian companies and its workers through a "Sell Canadian" mindset.
If protecting one industry is somehow seen as good for Canada, why not protect all industries. Why not have a "Buy Canadian" policy in place across the board and don't just limit it to government, but make people buy only Canadian products. It seems on the surface to make sense. It is using Canadian money staying within the economy protecting Canadian jobs. We have to protect our own.
Except, it doesn't work and should be discouraged. Because by throwing up trade barriers we invite every other country to do the same thing with our products. We cannot give any nations an excuse from limiting Canadian goods from entering their marketplace. By definition, "Buy Canadian" invites trade barriers. We are a trading nation. We have plenty of goods the world wants and we need to buy things that others make. We rely on selling to world markets. Can Research in Motion make it by just selling to Canadians? Can Bombardier move enough planes, trains, and snowmobiles in this country to be profitable? By throwing up trade barriers and shouting "Buy Canadian" we actually end up with less money buying fewer goods and losing jobs. We would be worse off. But the unions rather tired argument is that everyone else is doing it so we should as well.
It seems odd that the CAW supports this. It must be a brotherly love thing for another union. For the North American auto companies, Canada accounts for twenty percent of production, but only ten percent of consumption. So, if the American consumer wanted to only buy an American-made car, half the output of CAW plants is gone. And with it, the jobs that put the cars together.
So instead of "Buy Canadian" we need to embrace the opposite - "Sell Canadian."
We should do everything we can to encourage Canadian companies that sell their products around the world. Every company from basic resource companies to high tech manufacturers should be helped. And not helped by giving them handouts or subsidies, but through policies that help make Canada's business environment stand out as a world leader. Fair and stable tax rates, maintaining regulation where required but eliminating government intrusion and bureaucracy where necessary. Solid investments in education that not just provide the workers of tomorrow but foster the culture of innovation. Investments in infrastructure that speed the flow of goods from within our borders to markets around the globe. Canada's labour standards and worker protections are amongst the highest in the world. We now need reasons for businesses to remain, to re-locate, to expand their operations here.
For Canadian companies to thrive, for Canadian workers to have jobs, for Canada as a country to be able to afford the society we desire, the answer is not to close the door to international trade and say "Buy Canadian." We must be open to trade and promote Canadian companies and its workers through a "Sell Canadian" mindset.
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