The Facts on Free Trade, edited
by Ed Finn with Duncan Cameron and John Clavert, James Lorimer & Company,
Toronto, 1988; Free Trade Free Canada, edited by Earle Gray, Canadian Speeches,
Woodville, Ontario, 1988.
The official text of the
Canada-United States Free Trade Agreement and many of the summary documents,
are complicated to the point of being virtually incomprehensible to the average
reader. Scholarly studies and conferences of economists are only slightly more
useful in trying to understand the nature of the treaty. It is no surprise
therefore that the fate of the agreement, in Canada at least, is going to be
decided on ideological, emotional and political grounds. These two little
collections of essays reflect diametrically opposed opinions on this issue.
All the contributors in the
collection compiled by Ed Finn are opposed to free trade. Bob White president
of the Canadian Auto Workers argues that safeguards for jobs in Canada under
the AutoPact have been surrendered. Bruce Wilkensen, a professor of economics
at the University of Alberta sees the pact as a step toward political
affiliation to the United States. Ian Scott, Attorney General of Ontario,
claims the treaty is unconstitutional since it deals with some areas of purely
provincial jurisdiction; Eric Kierans, a former Quebec politician dismisses it
as an unnecessary step which will do nothing to meet the real problem of
foreign ownership, Jeff Rose President of CUPE worries that the inevitable
result will be changes in Canada's more progressive social programs.
Perhaps the most passionate essay
is by professor Duncan Cameron of Ottawa University. He doubts the fundamental
assumption about the two countries working toward common policies. Considering
the different size of the nations: "is the US going to adopt universal
medicare, unemployment insurance, and start paying liveable pensions? Or are we
going to privatise, deregulate, and undermine our public sector through tax
cuts for the affluent? Is the U.S. going t start working to fight starvation
and improve living conditions in the Third World? Or are we going to fight
against the communist menace and work to improve access by multinational
companies to Third World resources?...I am a Canadian not an American. My
citizenship is important to me. I don't want to live in Canada under laws
determined by U.S. decisions about which I can do nothing. I want my country to
stand for something more than further co-operation with the United
States."
The other side of the argument is
found in the collection by Earle Gray based upon speeches by well known
supporters of free trade including chief negotiator Simon Reisman, Grant
Devine, Premier of Saskatchewan, Allan Gotlieb, Ambassador to the United
States, novelist Mordecai Richler, artist Christopher Pratt and a several
business leaders.
David Daubney MP notes that free
trade is not a panacea for economic ills. It provides an opportunity to improve
productivity not a guarantee. Thomas d'Aquino of the Business Council on
National Issues rejects the idea of economic ties leading to political ones.
"In this century there is not a single example where a high level of trade
liberalisation between two countries led to political integration. And
furthermore there is no significant support in either Canada and the United
States for a common market or a political union."
Gerald Regan a former Premier of
Nova Scotia and later a federal Trade Minister says that the pressure to
compete in the United States under a free trade system will not force us to
dismantle our social programs. "In recent years tariffs with the United
States have been reduced by 85 per cent. That increasing dependence on the
United States has not eroded the social security system. Indeed during those
years the Unemployment Insurance system was expanded and extra billing for
medical services banned. If the removal of 85 percent of the barriers has left
our social system intact, why should a dismantling of the remaining 15 percent
cause such a change? The answer, of course is that it will not and that such
claims are unmitigated nonsense and scare tactics...I am afraid that the
opposition of many organisations and many people is related to the fact that
they do not like the United States. I am as Canadian as anyone in this country,
and I do not see the question of strengthening our country by having better
access to the American market as in any way diminishing my Canadianism."
Most Canadian opinion probably lies
somewhere between the two extremes but works like these, distasteful as they
may be to the other side, will help the vast majority of parliamentarians and
electors decide exactly where they fit. It is interesting that both proponents
and opponents of free trade assume an election or referendum would support
their position. There will, of course, be a federal election very soon and free
trade will be one of the main issues. Yet the positions outlined in these two
books are so fundamentally opposed that it is difficult to imagine anyone
changing his mind over something as simple as an election.
Gary Levy
Editor