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Original Articles

Canada—U.S. Relations after Free Trade: Lessons Learned and Unmet Challenges

Pages 603-619 | Published online: 11 Nov 2009

NOTES

  • The ideas expressed in this article were first road tested as a speech at a conference celebrating the tenth anniversary of the NAFTA at the Wilson Center, in December 2002, and has benefited from a number of conversations, particularly with my colleague Bill Dymond
  • Chapters 10 and 12 in Hart, A Trading Nation: Canadian Trade Policy from Colonialism to Globalization (Vancouver: UBC Press, 2002) provide more complete discussion of this theme
  • John Kingdon, Agendas, Alternatives, and Public Policies, 2nd ed. (New York: HarperCollins, 1995)
  • See Hart, with Bill Dymond and Colin Robertson, Decision at Midnight: Inside the Canada-U.S. Free Trade Negotiations (Vancouver: UBC Press, 1994); Hart, A North American Free Trade Agreement: The Strategic Implication for Canada(Centre for Trade Policy and Law and Institute for Research on Public Policy, 1990); and Maxwell A. Cameron and Brian W. Tomlin, The Making of NAFTA: Haw the Deal Was Done, (Ithaca, N.Y.: Cornell University Press, 2000)
  • The Task Force on the Future of North America, organized by the Councils on Foreign Relations in New York and Mexico City and the Canadian Council of Chief Executives in Ottawa, provide a good indication of emerging political interest. See Mary Janigan, “Unclogging the Border: U.S. Crossings Could Be Smoother, if Ottawa Had the Courage to Take Some Obvious Steps,” Macleans, 15 November 2004
  • Stephen Clarkson, Uncle Sam and Us: Globalization, Neoconservatism, and the Canadian State (Toronto: University of Toronto Press, 2002)
  • To some extent, of course, there is an ongoing agenda of issues under discussion between Canadian and U.S. officials, some of which leads to useful agreements, arrangements, and understandings, such as the 30-point Smart Border Accord forged by former U.S. Secretary of Homeland Security Tom Ridge and former Canadian Deputy Prime Minister John Manley. In this paper, however, I am making the case for something more than the incrementalism inherent in this process
  • See, for example, the websites of the Canadian Council of Chief Executives, the Canadian Chamber of Commerce, and the Canadian Alliance of Manufacturers and Exporters for recent statements and press releases on Canada-U.S. relations and the implications of deepening integration
  • I explore the changing political economy of trade negotiations in “The WTO and the Political Economy of Globalization,” Journal of World Trade 31, no. 5 (October 1997) and, with Bill Dymond, “Post-Modern Trade Policy: Reflections on the Challenges to Multilateral Trade Negotiations after Seattle,” Journal of World Trade 34, no. 3 (June 2000)
  • Martin Wolf, in Why Globalization Works (New Haven, Conn.: Yale University Press, 2004) does an excellent job of debunking the claims of the former and responding to the worries of the latter. See also Jagdish Bhagwati, In Defense of Globalization (New York: Oxford University Press, 2004) and Douglas Irwin, Free Trade Under Fire (Princeton: Princeton University Press, 2002)
  • David Henderson, Innocence and Design: The Influence of Economic Ideas and policy (Oxford: Basil Blackwell, 1986)
  • A good recent primer for those still skeptical about the basic canons of economic orthodoxy is Charles Wheelan, Naked Economics: Undressing the Dismal Science (New York: Norton, 2002)
  • See Andrew Rose, “Do We Really Know that the WTO Increases Trade?” CEPR Discussion Paper 3538, and “Weighing up the WTO: Does the World's Free-trade Club Actually Work?” The Economist, 21 November 2002
  • Bill Dymond and I explore this theme further in “Special and Differential Treatment and the Doha 'Development' Round,” Journal of World Trade 37, no. 2 (April 2003)
  • John Mueller in Capitalism, Democracy and Ralph's Pretty Good Grocery (Princeton: Princeton University Press, 1999), does an excellent job of showing the important interrelationships between democracy, capitalism, and markets
  • I review recent polling data in “A New Accommodation with the United States: The Trade and Economic Dimension,” Art of the State II: Thinking North America: Prospects and Pathways, Institute for Research on Public Policy, March 2004
  • I explore these themes in more detail in “A New Accommodation with the United States.”
  • For a more complete discussion of the issues involved, see the Report of the External Advisory Committee on Smart Regulation, Smart Regulation: A Regulatory Strategy for Canada, Ottawa, 26 September 2004, www.smartregulation.gc.ca/en/04/pr-03.asp, including my own contribution to the Committee's work, Risks and Rewards: New Frontiers in International Regulatory Cooperation, at www.smartregulation.gc.ca/en/05/01/il-02.asp.
  • For a discussion of the importance, and limits, of rules and institutions in the development of modem economies, see Nathan Rosenberg and L.E. Birdzell, How the West Grew Rich: The Economic Transformation of the Industrialized World (New York: Basic Books, 1986)
  • I review competing perspectives in “A New Accommodation with the United States.”
  • Brian Tomlin and I explore the issues involved in addressing the emerging agenda from Canadian and U.S. perspectives in “Inside the Perimeter: The U.S. Policy Agenda and its Implications for Canada,” in G. Bruce Doern, ed., How Ottawa Spends 2002–2003 (Toronto: Oxford University Press, 2002); and “The Emerging Policy Shift in Canada-U.S. Relations,” in Doern, ed., How Ottawa Spends 2004–2005 (Montreal: McGill-Queens University Press, 2004)

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