Re: The next Great Depression?

Stan R wrote:
> Frank Bures contributed these words of wisdom on 11/04/08 00:05:

>> Also, Canada is not just resources.  For instance, Ontario 
>> manufactures over 5 million cars a year.  That's the reason it is so 
>> vulnerable to changes in credit availability.
> 
> Given the state of the Detroit big car companies, is this particular 
> sector not likely to be more of a liability than anything else going 
> forward?

Exactly.  Ontario has been loosing jobs for some time now.

> 
> The car industry has several plants here as well, but much of it has 
> been only surviving for many years thanks to government subsidies. Or at

> least so they claim.

Well, our major subsidies were low $ and government sponsored (tax-payer 
financed) health care.  Now with the CAD on or near par that advantage 
disappeared and health care itself is not able to compensate for lower 
Canadian work efficiency.  I would dare to predict that Big 3 will 
eventually scale down Canadian manufacturing considerably and all that
will 
be left would be Japanese factories that do not utilize local part 
manufacturing at all and that are basically just assembling stuff im****ted

from Japan here to avoid im****t duties.  They do not create any secondary 
benefits and cannot provide the kind of employment as the Big 3 provide.

Cheers
Frank

-- 

<feeb@[EMAIL PROTECTED]
>