Listening to all the news on the United State wanting to drop out of the North America Free Trade Agreement (NAFTA), or at least awing it in their favour, got me thinking about what lays in my future as a Canadian. And to be fair, I am only referencing this on my own personal life–a life that is almost spanning five decades now. So I think I have some experience under my belt. I remember a time before NAFTA. There was a time long ago, that Canada only had bi-lateral agreements with other trading nations, and it worked. But people wanted bigger, better, with more profits, and the ability to grow at more accelerated rates, and at the time, this was the Automobile Market that launched it. But this was far from the utopia of free markets that the businesses wanted. There will always be outside forces that could bring down, or at least distort, the economy, and as corporations grew mightier then the countries they lived in, so to were the negative effects of the market shifts.
When listening to the U.S. president say he was pulling out of NAFTA, or at least change it into his favour, I thought to myself this must be a April Fool’s Joke of some kind. Could this be true, or just another one of his “flip-flopping” agendas he is so famous for? Changing his mind through an early morning Tweet on Twitter, like a teenager on social networking. The ramifications of all of this is the Markets bouncing up, then down, reacting to every tweet, like a farmer in his fields watching storm clouds pass by.
Sure, it is nerve-racking, as the media plays on every and tweet the US presidents throws out into the Internet. But remember, you can only cry “Wolf” so many times before no hears again.
So here is how I look at it. And I have lived through a bunch of rescissions in my lifetime. We may have our cars and oil increase in costs, but these are commodities that will not bring down our neighborhoods and governments. Sure, it will sting as a small portion of the work force will have to adapts into new industries, but there basic needs that can be met to keep our nation running as long as we have the will to do so.
We can produce our own basic needs like food, building materials and modes of transportation. Unlike some other countries, Canada has the ability to move forward at both the micro and macro levels inside our borders with self sustaining ease. We are, after all, an exporting country, thought not as efficient as China or the U.S. due to our small population, but we can pick ourselves up and run with it. We are fortunate that we are not reliant upon service industries, and raw resources, we have kept a sizable manufacturing sector alive.
So it is far from not being the end of the world when the U.S. president tweets the end to free trade. In the end, he will only hurt the people he leads–his own country. Sure Canada, and Mexico, will under go a transformation too, but both nations will pick up where they left off, and continue to grow, as we all look for more stable markets to trade with. And with the changing world dynamics through tools like the Internet, and digital money, it is quiet possible the U.S. will be left behind if they stagnate.
We need to eat, and we can grow our own food. We need homes, and we can build them. The only thing that will hurt us in the current market economy, is the mountain of debt that the average Canada carries–this we must get under control. But perhaps we need this market shift to correct the economy after all? Homes are out of reach for now for many people, so a good shake up might be what we need.