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E-mail Print Lessons from Canada for California, and Vice Versa
Capital Ideas
By: K. Lloyd Billingsley
8.6.2003

Capital IdeasCapital Ideas

WINDSOR, ONTARIO - This town, just across the river from Detroit, is not the Canadian capital and it’s far from being the country’s largest city. But still one can draw some economic lessons for California, which is not booming while Windsor definitely is.

They build the Chrysler mini-van here, and that vehicle is still a big seller. Though loathed by upscale environmentalists, along with SUVs, the minivan is good for families with kids. They also build the new Chrysler Pacifica here, and it too may catch on. The many support industries here are working overtime to supply parts. And homes are going up everywhere.

Despite it being an “information age,” one still needs an actual product. And it is best to produce something that has a market. If California wants to encourage this activity, it needs to be more friendly to industry. Reform of the state’s corrupt workers’ compensation system would be a good place to start.

Chrysler, of course, is now Daimler Chrysler, partners with the people who build the Mercedes-Benz. Workers here know that foreign investment is a good thing, much better for a local economy than having residents live on welfare. If California wants to attract similar investment, the state will have to cultivate a more receptive climate with more responsible government. Investors can’t be expected to sink money into a weak economy and a state with deficits nearing $40 billion.

California should boost production, attract investment, and improve its education system to train more skilled workers. But in some areas California has a few things to teach its northern neighbor.

In Canada’s ruling-class circles, the prevailing ethos is a mélange of politically correct statism, socialism, tax worship, corporate demonology, and anti-American bigotry of a ferocity that has to be experienced to be believed. In these circles, to favor free enterprise and entrepreneurship is to be pro-American. To favor an ever-expanding state, high taxes, and political correctness is to be patriotic. There are speech codes at every turn. It’s okay to have your own opinion, of course, but when it differs from that of the government that’s going too far.

The government maintains hiring quotas for women and those it calls “visible minorities,” an even sillier designation than “people of color.” A recent immigrant from, say, Pakistan is a visible minority, whereas those of French and English ancestry, who established the country, along with other European immigrants who built the place, are apparently invisible. California voters, of course, banned the type of government-supported racial quotas which are the rule here, and which Canada’s “Heritage Minister,” Sheila Copps, is about to escalate.

People here are also fond of lawn ornaments such as deer, rabbits, and flamingos. This is not a custom California should adopt.



K. Lloyd Billingsley is editorial director of the Pacific Research Institute in San Francisco. He can be reached via email at klbillingsley@pacificresearch.org.


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