WEBVTT

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[sil.]

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[music]

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[sil.]

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I say to you that it’s time
for us to become a stronger

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and a more reliable ally of the United States
and our friends in the Western Alliance.

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If this means giving our friends

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the benefit of the doubt from time
to time, so be it, I am gonna do it.

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[sil.]

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True to his campaign promise, Brian Mulroney
has come to visit President Ronald Reagan,

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a week after he was sworn in
as Prime Minister of Canada.

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The two leaders want the public
to see them together as friends,

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so the press has been invited to the White House. So they’re gonna have to
move into the side, because we’ve got groups coming out. Move this way.

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For the American journalist, this
is just another routine assignment,

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the state visit of yet another foreign
leader. Their story will be reported

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on the back pages of the newspapers and perhaps
make a 20-second spot on the television news

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if it’s not preempted by
a disaster somewhere.

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Oh, between friends (inaudible).

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For the Canadian press, this is the day’s major
story. … issue with US policies, and the feeling here

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is that he could well become the most pro-American
prime minister the Canada has ever had.

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David Halton, CBC News, Washington.

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[sil.]

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Ronald Reagan would like
everyone to be pro-American.

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He has come to power by promising that he
will restore his nation to its rightful place

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as the world’s supreme economic and military power.
A firm alliance with Canada is crucial to his aim,

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so he is doing his best to make the new
Prime Minister feel right at home.

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…an important economic partner and great friend.
I congratulated Prime Minister Mulroney

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on winning a decisive and
historical electoral mandate

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from the people of Canada. He is the other North
American Irishman, I also wished him well

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on his new responsibilities. We two intend to
give our neighbor the benefit of the doubt.

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So I thank you Mr. Prime
Minister for coming here today

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and once again, congratulations
on your decisive victory and,

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…

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To become Prime Minister of Canada, you have
to, have been friendly to the United States.

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But once you stay in office
for a long period of time,

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and you served as a kind of intermediary between
the power here and the folks back home in Canada,

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your attitude to the
United States may change.

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[music]

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You may begin to realize that this is a very
difficult relationship for you to manage.

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[music]

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How do we protect our political and
economical interests as a people

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while living next door to the most
powerful nation in the world?

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[music]

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Living next to you is in some ways like sleeping
with an elephant. No matter how friendly

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or even tempered as the beast effect, if I can call
it that, one is affected by every twitch and grump.

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[sil.]

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When those who contend that the United States is
aggressive and seized territory like (inaudible),

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Canada would not have maintained its
existence as an independent nation.

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We are so accustomed

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to the undefended boundaries,
3,000 miles longs.

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The United States is particularly
gratified to find Canada at our side.

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To gift to providence

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that we really cherish is that
we were given as our neighbors,

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the people and the nation of Canada.

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No final example could be given to the
world, that which has been developed

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between the United States and Canada over
the years. Geography has made us neighbors,

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history has made us friends,
economics has made us partners,

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and necessity has made us allies.

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Those who nature has so joined
together, let no man put us under.

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You know with all that
talk, all those clichés

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through all those years about the undefended
border between Canada and the United States,

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it’s hardly surprising that
Canadians often forget that

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our relationship with the United States began with a
series of wars. First it was the American Revolution,

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then along came the War of 1812.

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You know when the Americans sign their national anthem
with all those words about bombs busting in air,

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they are singing about a
battle between them and us.

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The Americans have always assumed that we would join them
some day. When Thomas Jefferson and the Founding Fathers

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drew up their first constitution in 1781,

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they put an article in it, Article 11, which
said that Canada could join any time it wanted

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with no fuss or bother.

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[music]

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When John A. Macdonald arrived in this town as the
first Canadian Prime Minister to visit Washington,

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there were no bands to meet him, there was in fact
from the American government that came to meet him.

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John A. was not here in his official
capacity as Prime Minister of Canada,

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but as part of the a delegation of British
commissioners who were attempting to settle the claims

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between Britain and the United States
that arose out of the American Civil War.

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The president of the day
was Ulysses S. Grant,

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the great hero of the victorious northern armies. Grant
demanded that Britain turn over Canada to the United States

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as compensation for the
British sail of a ship

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to confederate rebels during the Civil War.

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And the custody battle that ensued, John A.
Managed to hang on to his infant country,

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and thereafter made it his policy to keep
the Yankee on his own side of the fence.

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John A. called his method of
protection, the National Policy.

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He claimed that his opponents
in the Liberal Party

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who were for an open border simply
wanted to sell out the country.

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The National Policy rested on
three government initiatives,

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build a railway to the Pacific,

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open up the West to immigrant settlers and
create a tariff wall around the country

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to block imports and encourage
industries in Central Canada.

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[sil.]

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The settlers of the West and the people of the maritime
would serve as the captive market for these factories,

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and they resented it.

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When industries are protected by tariffs,

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the conventional wisdom is, that the industries
are weak, inefficient and uncreative.

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That’s not always true, and it’s certainly was not the case
with the industries that grew up around Brantford, Ontario,

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when Sir John A. implemented
the National Policy.

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Around me are the home of the industrialists and businessmen of
that period, and they were anything but weak and uncompetitive.

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These were innovative leaders, whose companies
won prizes at international exhibitions,

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and whose products sold in
markets around the world.

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The National Policy and the protected home market
simply gave the Brantford businessmen a chance.

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[music]

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Under the National Policy, Canada prospered

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and joined the parade of
industrialized nations.

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The election of 1911, Liberal Prime
Minister Sir Wilfrid Laurier,

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sympathizing with the West, said
that Canada was a mature nation

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which now could compete with the United
States without the benefit of protection.

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A few leading American politicians let it be
known that they considered Laurier’s free trade,

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the first step towards the
annexation of Canada.

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The voters panicked and soundly defeated the
Liberals to the conservative rally and cry,

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no whole truck or trade with Yankees.

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The issue of free trade
was buried with Laurier

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and no Canadian Prime Minister dared to raise
it in public again for another 70 years.

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One of the mourners was Laurier’s
supporter and heir apparent,

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William Lyon Mackenzie
King, a shrewd politician.

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He moved into Laurier’s house
and later became prime minister

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and held that office for longer than
anyone in history, in spite of the fact

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that few people really liked him.

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This is his study, his hideaway. In this room you
see things that meant a lot to Mackenzie King.

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Here’s a statue of a dog, very
much like his beloved pet,

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and there’s the crystal ball which tells
us about is fascination with spiritualism.

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And yet Mackenzie King was a lot
like the Canada of his period,

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with its gray exterior and
its burning internal fires.

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[music]

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In the Hollywood movies of the time,
Canada seemed to be populated

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by singing Mounties,
comical French-Canadians,

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and untrustworthy Indian.
Huh… You’re making fun of me.

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It was a good place for
American crooks to hide out.

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Well, it’s the first time I’ve ever
walked from the United States to Canada.

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You ought to be glad you’re here. As soon as you cross
the border, you were in the middle of a wilderness,

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a wilderness that was very attractive
to a rapidly expanding America,

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looking for a room to grow.
I like quiet harmony,

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the hum of the bees and the whispering of
the little wild things under the leaves.

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Mackenzie King welcomed American interest.

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He said that Canada needed the United States as a
counterweight to the influence of Imperial Britain.

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He was drawn to the power, the souring
energy of the American eagle.

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He’d been an advisor to the richest man
in the world, John D. Rockefeller,

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but the American who really fascinated
King was Franklin Delano Roosevelt.

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I Franklin Delano Roosevelt,
who solemnly swear…

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King liked to think he was
very close to Roosevelt,

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he even dreamed about the president.

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When he went to Washington to introduce himself, he told
Franklin Roosevelt about his dream in which Jesus indicated

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that the United States and Canada should
stand together in spiritual brotherhood

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and set an example to the
other nations of the world.

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Eleanor Roosevelt couldn’t stand King, but
the president like a rich benevolent uncle

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took a liking to his
eccentric country cousin.

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Roosevelt was genuinely fond
of Canada and Canadians.

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He owned a summer home on
Campobello Island in New Brunswick.

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His advisors told him that Canada was a
potential economic rival of the United States

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and it would serve him well
to cultivate this friendship.

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I say this. When I’ve been in Canada,

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I have never heard a Canadian refer
to an American as a foreigner,

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he is just an American.

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He flattered and, you know, he
was a great and charming man,

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and he flattered the pants
off Mackenzie King,

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and Mackenzie King was a not
a difficult man to flatter.

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King really thought that this…
this was the wave of the future

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and that you were building a
new United States a great,

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plentiful, social democracy.

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In Europe, the Fascists
were puling out the knives

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for a different kind of social experiment.

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As war approached, it was
comforting for Canadians

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to have the architect of the
new deal as their neighbor.

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I give to you assurance

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that the people of the United
States will not stand ideally by

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if domination of Canadian
soil is threatened by

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any other empire.

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By the summer of 1940, the Third Reich was
attempting to bomb Britain into submission.

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Roosevelt telephoned Mackenzie King

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and said they had to meet immediately to
discuss what they would do if Britain fell.

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King went for a haircut
at the Chateau Laurier

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and leaving all his advisors
behind and got into his car

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and headed for the American border.

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His destination was Ogdensburg,

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a small town in the St. Lawrence River,
just a 90-minute drive from Ottawa.

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Mackenzie King met with Franklin Roosevelt

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in the President’s private railway car, and
together they discussed the recent events in Europe

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until the early hours of the morning.

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Roosevelt was worried about whether Canada would
be vulnerable in the event that Britain failed.

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Mackenzie King worried about whether America
would come to Canada’s aid if need be.

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Roosevelt jotted a few particulars
down on a piece of paper.

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And the next morning while the president reviewed
the local militia, a six sentence statement

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announcing the formation of a permanent joint
board of defense was released to the press.

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King was acting completely on his own
authority, neither his cabinet or parliament

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had been consulted about the agreement. And
now to this remarkable informal meeting

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began the whole complex Canadian-American defense relationship that
exists today. At Ogdensburg, King exchanged Canada’s allegiance

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to a faltering British Empire
for an assured association

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with the rising superpower to the south.

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By the time the United
States entered the war,

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Canada had already become Britain’s
arsenal. As a result of Ogdensburg

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and subsequent agreements, we became a part
of American defense production as well.

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Mackenzie King put American born
Minister of Ammunition and Supply,

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C. D. Howe, in-charge of
Canada’s industrial war machine.

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Howe recruited the brightest
executives from Canadian industry

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to work with him, and together
they amazed the other allies

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with their achievements.

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As there was a not a private company to do the job,
Howe’s solution was to create a government owned

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Crown Corporation.

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During the war, Canada became the fourth
largest industrial power in the world.

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Many Canadians were asking the question,
how? Before the war, during the depression,

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most Canadians families would have
been hard pressed to buy a bicycle,

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hundreds of thousands of people couldn’t
even find a job. Then within a few years,

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we were building bombs, jeeps, thousands of
tanks, and aircrafts like this Lancaster bomber.

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Unemployment ended, and thousands of women

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flooded into the labor
force for the first time.

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Wartime provided the incentive for the government
to do what it wouldn’t do during the depression,

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spend money, massive amounts of money.

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The tax revenues and profits that
rolled back from the souring economy

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gave Canadians the second highest
standard of living in the world.

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But number one was the
United States of America.

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Our economic rivals and Europe and Japan

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lay in ruins.

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The American dollar was the standard by
which all other currencies were judged.

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The new President Harry Truman

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had all the economic levers in his hands,
three quarters of the world’s gold,

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the International Monetary Fund,

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the World Bank and the
military power to back it up.

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[sil.]

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They didn’t think a person like King,

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people thought of Empires as old-fashioned thing. You
know, like the British Empire, the French Empire.

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They didn’t really see sufficiently clearly
that the Americans had established

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the greatest empire since Rome, you know,
probably the greatest empire of all time.

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Mackenzie King toyed with the idea of an
economic union with the American empire.

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He instructed his bureaucrats to
being working out the details

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for a free trade agreement.

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He insisted that this be
done in complete secrecy.

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King was reaching the end of his political
career, and spending more and more time

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at his retreat in the Gatineau Hills,
wandering among his collection of ruins.

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This ruin is called the Temple.

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This was the Prime Minister’s special spot,

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almost holy ground. He came
here to sit and ponder

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his most pressing problems. In 1948, the most
important thing on Mackenzie King’s mind

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were the secret talks on free trade going
on between Canada and the United States.

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Mackenzie King brooded on the
issues for several months,

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and then at the 11th hour, much to
the consternation and amazement

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of his close advisors, he cancelled the talks, and order
all the papers concerning free trade to be destroyed.

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Perhaps, the ever shrewd
King was remembering

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that Laurier’s free trade policy had been a
political disaster for the Liberal Party.

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He later claimed he acted
because he realized

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that the ultimate American objective
was complete control of the continent

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and that free trade would be the first step
toward the end of Canadian sovereignty.

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[sil.]

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With or without free trade, Canada
boomed in the post war years.

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Arts and wheels, steeple chase and midway

00:21:45.000 --> 00:21:49.999
may have their lucky winners, but
here’s a lottery that tops them all.

00:21:50.000 --> 00:21:54.999
For each of these veterans and his
family, the prize is a bright new home.

00:21:55.000 --> 00:21:59.999
After years of depression and war,
everyone wanted to settle down,

00:22:00.000 --> 00:22:04.999
buy a home and have kids.
Unemployment was 2.5%

00:22:05.000 --> 00:22:09.999
and the storage were full of
all the modern conveniences.

00:22:10.000 --> 00:22:14.999
[music]

00:22:15.000 --> 00:22:19.999
Thousands of displaced people
from Europe added their skills

00:22:20.000 --> 00:22:24.999
to an expanding economy, and the
population swelled by two million.

00:22:25.000 --> 00:22:29.999
Canada’s expansion since the end of the
war has been so great and so rapid

00:22:30.000 --> 00:22:34.999
that the cities in danger are being
strangled by its own prosperity.

00:22:35.000 --> 00:22:39.999
Let’s see what the world would lose
if Canada suddenly disappeared.

00:22:40.000 --> 00:22:48.000
[music]

00:22:50.000 --> 00:22:58.000
[non-English narration]

00:23:00.000 --> 00:23:04.999
Hollywood says goodbye to a $60 million market. The Canadian disaster has
knocked the paddle out of the stock market. In the world’s capitals,

00:23:05.000 --> 00:23:09.999
meetings are considering the new situation.

00:23:10.000 --> 00:23:14.999
Little hard to take seriously eh.

00:23:15.000 --> 00:23:19.999
Well, in the 1950s, Canada was being described
as the business success story of the decade.

00:23:20.000 --> 00:23:24.999
Time Magazine reported that Canada had the
most impressive industrial development

00:23:25.000 --> 00:23:29.999
of any country in the world, and
that included the United States.

00:23:30.000 --> 00:23:34.999
There have been a 50% increase in the standard
of living, national production had quadrupled.

00:23:35.000 --> 00:23:39.999
And in 1951, the Canadian government even
joined a surplus of nearly a billion dollars.

00:23:40.000 --> 00:23:44.999
And according to Time, much of the credit for
all of this went to the man on the cover,

00:23:45.000 --> 00:23:49.999
C. D. Howe.

00:23:50.000 --> 00:23:54.999
Time Magazine called him the
minister of everything,

00:23:55.000 --> 00:23:59.999
and he was everywhere, driving the
economy forward with the same zeal

00:24:00.000 --> 00:24:04.999
he had brought to the war.

00:24:05.000 --> 00:24:09.999
[music]

00:24:10.000 --> 00:24:14.999
Under Prime Minister Louis St. Laurent who
said that Canada was run like a big business,

00:24:15.000 --> 00:24:19.999
C. D. Howe is the Chief Executive
Officer taking care of deals,

00:24:20.000 --> 00:24:24.999
while Chairman of the Board Uncle
Louis handled public relations.

00:24:25.000 --> 00:24:29.999
At Augusta, Georgia, aboard a
catty car, President Eisenhower

00:24:30.000 --> 00:24:34.999
and his guest Prime Minister St. Laurent
of Canada ride out for a round of golf.

00:24:35.000 --> 00:24:39.999
The Prime Minister sends it driving,
it’s a 9-hole game of best ball golf,

00:24:40.000 --> 00:24:44.999
now the President rams it. The two leaders
are both enthusiastic golf players,

00:24:45.000 --> 00:24:49.999
and their match demonstrates the friendly
relations between the US and Canada.

00:24:50.000 --> 00:24:54.999
The score, just as it should be, all even.

00:24:55.000 --> 00:24:59.999
An American government
report, the Pele Report

00:25:00.000 --> 00:25:04.999
told President Eisenhower that if he
was going to stay on top of his game,

00:25:05.000 --> 00:25:09.999
he would have to be chums with Canada.
The Americans are running out

00:25:10.000 --> 00:25:14.999
of many strategic and basic resources, and
this was all in their Pele Report of 1952,

00:25:15.000 --> 00:25:19.999
which pointed out to the Americans the truth that
by 1980 they were going to be in desperate way

00:25:20.000 --> 00:25:24.999
in a certain strategic resources,

00:25:25.000 --> 00:25:29.999
and that, then to every
section of resource sector.

00:25:30.000 --> 00:25:34.999
And they said that our
policy should be to get out

00:25:35.000 --> 00:25:39.999
and get control of the basic resources
in countries which were sound

00:25:40.000 --> 00:25:44.999
and they recommended Canada was a sound place
to get into, because we’re very reliable.

00:25:45.000 --> 00:25:49.999
The man in-charge of securing
American interest worldwide

00:25:50.000 --> 00:25:54.999
was Secretary of State John Foster Dulles.

00:25:55.000 --> 00:25:59.999
The first thing I want to make clear
is, that I consider that my job

00:26:00.000 --> 00:26:04.999
is to work for the people
of the United States.

00:26:05.000 --> 00:26:09.999
Dulles once said that there are two ways of
conquering a nation. One is by force of arms,

00:26:10.000 --> 00:26:14.999
the other is to gain
control of its economy.

00:26:15.000 --> 00:26:19.999
The Liberal Government believed that
American investment was essential

00:26:20.000 --> 00:26:24.999
to keep the post war boom going.

00:26:25.000 --> 00:26:29.999
So the American businessman
whether he was here to buy a mine

00:26:30.000 --> 00:26:34.999
or open a branch plant,
became a regular customer.

00:26:35.000 --> 00:26:39.999
I think Toronto is a wonderful
town, smart and up-to-date,

00:26:40.000 --> 00:26:44.999
just like a good American city. It makes
me feel like I am back in Cleveland.

00:26:45.000 --> 00:26:49.999
[sil.]

00:26:50.000 --> 00:26:54.999
In the 1950s, the government used
the old National Policy tariff

00:26:55.000 --> 00:26:59.999
to encourage American companies to
establish branch plants in Canada.

00:27:00.000 --> 00:27:04.999
This plant in Montreal

00:27:05.000 --> 00:27:09.999
was built by the government during the
Second World War to manufacture tanks.

00:27:10.000 --> 00:27:14.999
With victory, many of the plants
were put on the auction blog

00:27:15.000 --> 00:27:19.999
and sold at bargain prices. While
Canadians were busy putting their money

00:27:20.000 --> 00:27:24.999
into less electrifying ventures like banks,

00:27:25.000 --> 00:27:29.999
American businessmen applauded the opportunity to scout
around the tariff barrier and set up shop in Canada.

00:27:30.000 --> 00:27:34.999
The plants they bought were
re-tooled to manufacture products

00:27:35.000 --> 00:27:39.999
for the Canadian market
identical to those being made

00:27:40.000 --> 00:27:44.999
back home in the USA. Ironically,
the American purchases

00:27:45.000 --> 00:27:49.999
were often financed by Canadian banks.

00:27:50.000 --> 00:27:54.999
When you have a plant in Canada
that is owned by foreigners,

00:27:55.000 --> 00:27:59.999
frequently it’s not just owned by
foreigners, but it’s also directed by them.

00:28:00.000 --> 00:28:04.999
It fits into the global plant
of the foreign outfit.

00:28:05.000 --> 00:28:09.999
If they would merely own it and leave
it alone, then frequently you’ll find

00:28:10.000 --> 00:28:14.999
that such plants will do lots of research and development,
they’ll export abroad, they will become very competitive.

00:28:15.000 --> 00:28:19.999
But when you have one which is simply branch office,
which is here to serve the Canadian market,

00:28:20.000 --> 00:28:24.999
then it rarely innovates. So you
don’t enter the export markets.

00:28:25.000 --> 00:28:29.999
Canadian manufacturing
was not keeping pace.

00:28:30.000 --> 00:28:34.999
Europe and Japan were back in business,
flooding the market with ingenious products

00:28:35.000 --> 00:28:39.999
that people wanted. The country was
relying on the sale of its resources

00:28:40.000 --> 00:28:44.999
to maintain its prosperity.
At the end of the 1950,

00:28:45.000 --> 00:28:49.999
65% of the economy was in foreign hands,

00:28:50.000 --> 00:28:54.999
56% of Canadian manufacturing
was foreign owned.

00:28:55.000 --> 00:28:59.999
[sil.]

00:29:00.000 --> 00:29:04.999
80% of the pulp and paper industry,

00:29:05.000 --> 00:29:09.999
60% of mining,

00:29:10.000 --> 00:29:14.999
and over 90% of the petroleum industry.

00:29:15.000 --> 00:29:23.000
[music]

00:29:30.000 --> 00:29:34.999
Some Canadians were alarmed by
the extent of foreign ownership

00:29:35.000 --> 00:29:39.999
and they found a champion in Conservative
Party leader John Diefenbaker.

00:29:40.000 --> 00:29:44.999
Foreign investment in Canada

00:29:45.000 --> 00:29:49.999
now amounts to 65%of the national income.

00:29:50.000 --> 00:29:54.999
How long Canada can continue
a separate existence

00:29:55.000 --> 00:29:59.999
is the problem before Canada today.

00:30:00.000 --> 00:30:08.000
[sil.]

00:30:10.000 --> 00:30:14.999
There was something really
splendid about Diefenbaker.

00:30:15.000 --> 00:30:19.999
He would know people all over. If
people come up and he would say,

00:30:20.000 --> 00:30:24.999
how is your Uncle Jim? You know, how is… How is
Mable? You know, I mean, he had this enormous…

00:30:25.000 --> 00:30:29.999
He had this enormous
openness to other people.

00:30:30.000 --> 00:30:34.999
[sil.]

00:30:35.000 --> 00:30:39.999
He touched a cord in Canada in the 57th
election, which we call Nationalism.

00:30:40.000 --> 00:30:44.999
He said, he was very concerned about this

00:30:45.000 --> 00:30:49.999
complete overwhelming of
Canada in economic field

00:30:50.000 --> 00:30:54.999
as well as the cultural fields,
and he really thought in 1957

00:30:55.000 --> 00:30:59.999
is to put into power something like
hand in glove with the Americans

00:31:00.000 --> 00:31:04.999
and everything that Americans wanted. When John
Diefenbaker took the Prime Minister seat in this chamber,

00:31:05.000 --> 00:31:09.999
he had achieved the office that he longed
the hold since he was a boy. He saw himself

00:31:10.000 --> 00:31:14.999
as spiritual heir to Sir John A. Macdonald. And just
as Macdonald had captured the imagination of Canadians

00:31:15.000 --> 00:31:19.999
with his National Policy and his dream
of opening up the Canadian West,

00:31:20.000 --> 00:31:24.999
Diefenbaker stirred audiences
with his northern vision.

00:31:25.000 --> 00:31:29.999
Through the development of the north,
jobs in the hundreds of thousands

00:31:30.000 --> 00:31:34.999
to Canada in keeping with the opportunities
which this country should provide.

00:31:35.000 --> 00:31:39.999
He also promised to end Canada’s overwhelming
dependence on the United States,

00:31:40.000 --> 00:31:44.999
by diversifying trade to Great
Britain and the rest of the world.

00:31:45.000 --> 00:31:49.999
However, at the time,

00:31:50.000 --> 00:31:54.999
the British were preoccupied with gaining
entry to the European common market.

00:31:55.000 --> 00:31:59.999
The French were polite,

00:32:00.000 --> 00:32:04.999
the Germans proper but noncommittal.

00:32:05.000 --> 00:32:09.999
[music]

00:32:10.000 --> 00:32:14.999
His tour was organized like one
of his political campaigns,

00:32:15.000 --> 00:32:19.999
Dief the Chief traveled 35,000
miles and made 30 stops

00:32:20.000 --> 00:32:24.999
trying to drum up business for Canada.

00:32:25.000 --> 00:32:29.999
Hoping goodwill alone

00:32:30.000 --> 00:32:34.999
would carry the day and riding high.
Dief didn’t sign any big deals

00:32:35.000 --> 00:32:39.999
but increased trade did come
from a rather unexpected source.

00:32:40.000 --> 00:32:44.999
United States had placed a trade embargo

00:32:45.000 --> 00:32:49.999
on Fidel Castro’s revolutionary Cuba

00:32:50.000 --> 00:32:54.999
and Diefenbaker justified
Canada picking up the slack.

00:32:55.000 --> 00:32:59.999
We believe that this
needs walls of suspicion

00:33:00.000 --> 00:33:04.999
and difficulty are to be removed between
nations, trade is one of the major message

00:33:05.000 --> 00:33:09.999
to bring that about. When I say trade,

00:33:10.000 --> 00:33:14.999
and so far as communist countries are concerned,
I mean trade in non-strategic materials

00:33:15.000 --> 00:33:19.999
and in those things as
ought ordinarily passed

00:33:20.000 --> 00:33:24.999
in trading relations between countries.

00:33:25.000 --> 00:33:29.999
Then Canada slipped another US embargo

00:33:30.000 --> 00:33:34.999
when the Diefenbaker government negotiated
a massive wheat field with Red China.

00:33:35.000 --> 00:33:39.999
The new Kennedy administration
considered this trading with the enemy

00:33:40.000 --> 00:33:44.999
and threatened to block ships into China.

00:33:45.000 --> 00:33:53.000
[music]

00:33:55.000 --> 00:33:59.999
Well, Diefenbaker really had terrible time with J. F. Kennedy. Do
you see the timing? I mean, Diefenbaker has given the accounts

00:34:00.000 --> 00:34:04.999
of his relations with
Kenney and they were wild,

00:34:05.000 --> 00:34:09.999
because umm… Kennedy just assumed
his right to run this thing.

00:34:10.000 --> 00:34:14.999
He said, he never dealt with anybody

00:34:15.000 --> 00:34:19.999
who so wanted his own way.

00:34:20.000 --> 00:34:24.999
When Kenney came to Ottawa, he had
a list of demands in his pocket.

00:34:25.000 --> 00:34:29.999
In his speech before parliament, he insinuated
that Canada wasn’t pulling its weight as an ally.

00:34:30.000 --> 00:34:34.999
The only thing necessary
for the triumph of evil

00:34:35.000 --> 00:34:39.999
is for good man to do nothing and that
in essence is why I am here today.

00:34:40.000 --> 00:34:44.999
Against Diefenbaker’s explicit
request, he went to suggest

00:34:45.000 --> 00:34:49.999
that Canada joined the organization of American
states. Upset by Kenney’s grand standing,

00:34:50.000 --> 00:34:54.999
Dief told him, he wouldn’t be
pushed around in his own country.

00:34:55.000 --> 00:34:59.999
From that day on, the President
referred to the Prime Minister

00:35:00.000 --> 00:35:05.000
as that old SOB.

00:35:10.000 --> 00:35:14.999
In 1962, world peace was threatened by the most
critical period of history since the end of the war.

00:35:15.000 --> 00:35:19.999
Red puppet Castro and the Russians
turn Cuba into an island fortress

00:35:20.000 --> 00:35:24.999
and US plane spotted missile installations
aimed at key points in the western hemisphere.

00:35:25.000 --> 00:35:29.999
Planes brought back evidence that moved the
organization of American states and the western allies

00:35:30.000 --> 00:35:34.999
to back President Kennedy unanimously,
when he declared an arms blockade of Cuba

00:35:35.000 --> 00:35:39.999
and laid down an ultimatum. But the
allies support for Kenney was not total.

00:35:40.000 --> 00:35:44.999
The British thought that President should cool
it. …and all offensive military equipment

00:35:45.000 --> 00:35:49.999
under shipment to Cuba is being initiated.. John Diefenbaker
was slow to put the armed forces on the full alert

00:35:50.000 --> 00:35:54.999
and suggested that an impartial
international inquiry

00:35:55.000 --> 00:35:59.999
should be established to check out
Kennedy’s version of the facts.

00:36:00.000 --> 00:36:04.999
In that way the facts would
be fully established

00:36:05.000 --> 00:36:09.999
and that way the truth would be revealed.

00:36:10.000 --> 00:36:14.999
President Kennedy was not going to forget Diefenbaker’s
independent stand. It was the retreat to Moscow.

00:36:15.000 --> 00:36:19.999
The democracies had served notice on the Russians
that any aggressive threat in the western hemisphere

00:36:20.000 --> 00:36:24.999
would not be tolerated.

00:36:25.000 --> 00:36:29.999
I can remember watching the political
events of the early 60s on TV.

00:36:30.000 --> 00:36:34.999
During the Cuban missile crisis, I was terrified
that the world was gonna come to an end,

00:36:35.000 --> 00:36:39.999
and I used to sit glued to my set
watching as the events unfolded.

00:36:40.000 --> 00:36:44.999
I used to look in at a lot of
American TV shows in those days,

00:36:45.000 --> 00:36:49.999
there were programs like Bonanza,
The Untouchables, I Love Lucy,

00:36:50.000 --> 00:36:54.999
and of course, Father Knows Best. You
know a lot of us got our social values

00:36:55.000 --> 00:36:59.999
and even some of our ideas from
watching American TV programs.

00:37:00.000 --> 00:37:04.999
We Canadians were like kids where their
nose is pressed up against the sharp window

00:37:05.000 --> 00:37:09.999
looking in at the big exciting sinful
world of the United States on the tube,

00:37:10.000 --> 00:37:14.999
and President John F. Kennedy
personified everything

00:37:15.000 --> 00:37:19.999
that fascinated us about America.

00:37:20.000 --> 00:37:24.999
Happy birthday, Mr. President.

00:37:25.000 --> 00:37:29.999
Happy birthday to you.

00:37:30.000 --> 00:37:34.999
Everybody, happy birthday.

00:37:35.000 --> 00:37:39.999
[music]

00:37:40.000 --> 00:37:44.999
Kennedy’s pollsters told him that Canadians
loved him and supported his Cuban policy.

00:37:45.000 --> 00:37:49.999
The figure showed him that in any contest,
Kenney would win over Diefenbaker hands down.

00:37:50.000 --> 00:37:54.999
[music]

00:37:55.000 --> 00:37:59.999
Thank you.

00:38:00.000 --> 00:38:04.999
I can now retire from politics after
having had ‘Happy Birthday’ sung to me

00:38:05.000 --> 00:38:09.999
in such a sweet, wholesome way.

00:38:10.000 --> 00:38:18.000
[music]

00:38:20.000 --> 00:38:25.000
The economics initiatives that brought him to power fell by the
way side, as Diefenbaker’s battle with Kennedy intensified.

00:38:30.000 --> 00:38:34.999
Taking a position at odds with US policy,
Prime Minister John Diefenbaker of Canada

00:38:35.000 --> 00:38:39.999
now faces the major crisis of his career.

00:38:40.000 --> 00:38:44.999
Canada’s reluctance to Arm Royal Canadian
Air Force Jets and the dominions rockets

00:38:45.000 --> 00:38:49.999
with nuclear warheads precipitated the
crisis, triggered by US statements,

00:38:50.000 --> 00:38:54.999
which Diefenbaker resented as an
intrusion into Canadian affair.

00:38:55.000 --> 00:38:59.999
Ten million Canadians will shortly vote in their second
general election in a year, and Diefenbaker’s nuclear policy

00:39:00.000 --> 00:39:04.999
must stand or fall on that vote. Lester
Pearson, Noble Peace Prize winner

00:39:05.000 --> 00:39:09.999
opposed to Mr. Diefenbaker, hopes
Canadian-American relations will not suffer

00:39:10.000 --> 00:39:14.999
during the campaign. We should never make

00:39:15.000 --> 00:39:19.999
uh… anti-Americanism an issue in any Canadian
campaign, that is foolish and dangerous.

00:39:20.000 --> 00:39:24.999
Lester Pearson initially
opposed nuclear weapons,

00:39:25.000 --> 00:39:29.999
then he did it in about phase. But until weapons
can be abolished by international agreement

00:39:30.000 --> 00:39:34.999
and we must fight and work for that, until we can
find a better foundation for peace and power,

00:39:35.000 --> 00:39:39.999
until we have a disarmament agreement,

00:39:40.000 --> 00:39:44.999
the weapons are necessary for
the protection of peace.

00:39:45.000 --> 00:39:49.999
They hold… they hold me down…

00:39:50.000 --> 00:39:54.999
Attacked from all sides,
gripped by paranoia,

00:39:55.000 --> 00:39:59.999
Diefenbaker began to stumble.

00:40:00.000 --> 00:40:04.999
A few pushes from the Kennedy
administration helped him on his way.

00:40:05.000 --> 00:40:09.999
The American embassy held secret
briefings for Canadian reporters,

00:40:10.000 --> 00:40:14.999
and Kennedy’s journalists wrote stories
ridiculing the Prime Minister.

00:40:15.000 --> 00:40:19.999
Determining whether we live at peace or whether
we are all destroyed in a nuclear war…

00:40:20.000 --> 00:40:24.999
As a final blow, the president
sent some of his top

00:40:25.000 --> 00:40:29.999
campaign strategists north
to help Pearson win.

00:40:30.000 --> 00:40:34.999
[music]

00:40:35.000 --> 00:40:39.999
In 1963, when Lester Pearson came to office,
he was Canada’s great friend of America.

00:40:40.000 --> 00:40:44.999
He was the man who had taken the US side against
Britain at Suez, and he’d won the Noble Peace Prize.

00:40:45.000 --> 00:40:49.999
It wasn’t surprising that shortly after he
took office, he went down to Hyannis Port

00:40:50.000 --> 00:40:54.999
to meet with JFK. Lester Pearson
was a great baseball buff,

00:40:55.000 --> 00:40:59.999
and he took part in a baseball trivia quiz.

00:41:00.000 --> 00:41:04.999
Kennedy was most pleased
and he said, he will do.

00:41:05.000 --> 00:41:09.999
At Hyannis Port, Pearson
accepted nuclear weapons.

00:41:10.000 --> 00:41:14.999
With this change in the climate, he thought the economic
difficulties between the two nations could be easily taken care of.

00:41:15.000 --> 00:41:19.999
[sil.]

00:41:20.000 --> 00:41:24.999
At his departure, Jack Kennedy gave him
a person gift of an American flag.

00:41:25.000 --> 00:41:29.999
[sil.]

00:41:30.000 --> 00:41:38.000
[music]

00:41:45.000 --> 00:41:49.999
Nine months later, a new president
had taken Kennedy’s place.

00:41:50.000 --> 00:41:54.999
Lyndon Johnson had phoned
me, he phoned me about

00:41:55.000 --> 00:41:59.999
getting our troops to Cypress, under the UN

00:42:00.000 --> 00:42:04.999
and I said, not to worry, we…
we knew our… our duties.

00:42:05.000 --> 00:42:09.999
In Cypress, hostilities had broken out
between two NATO allies, Turkey and Greece.

00:42:10.000 --> 00:42:14.999
Someone had to stand between them to prevent
a major rift in the western alliance.

00:42:15.000 --> 00:42:19.999
And they were (inaudible) within 24 hours,

00:42:20.000 --> 00:42:24.999
before parliament authorized their dispatch.
He phoned me that same night again,

00:42:25.000 --> 00:42:29.999
he told me that he never forget
this, he said, you never know

00:42:30.000 --> 00:42:34.999
what this has meant. And he then
said, now what can I do for you?

00:42:35.000 --> 00:42:39.999
And I did nothing at the moment, Mr.
President,

00:42:40.000 --> 00:42:44.999
but I had some… I had
some credit in the bank.

00:42:45.000 --> 00:42:49.999
Lester Pearson needed a happy banker,

00:42:50.000 --> 00:42:54.999
he had a serious cash flow problem. The balance
of trade between the two nations was in deficit

00:42:55.000 --> 00:42:59.999
in America’s favorite to the
tune of almost $6 billion

00:43:00.000 --> 00:43:04.999
over a four-year period. A substantial part of
this imbalance was due to imports of automobile

00:43:05.000 --> 00:43:09.999
and parts from the United States.

00:43:10.000 --> 00:43:18.000
[music]

00:43:20.000 --> 00:43:24.999
In the 1960s, Canadians were buying as
many cars as they actually produce.

00:43:25.000 --> 00:43:29.999
It hadn’t always been this way.

00:43:30.000 --> 00:43:34.999
The automobile industry had started out with
Canadian companies likes McLaughlin Buick,

00:43:35.000 --> 00:43:39.999
but these enterprises were
bought out when the big three,

00:43:40.000 --> 00:43:44.999
Ford, Chrysler and General Motors
discovered that by building cars in Canada,

00:43:45.000 --> 00:43:49.999
they gained access to the
British Empire market.

00:43:50.000 --> 00:43:54.999
By the 1920s, Canada had become the second
largest manufacturer of cars in the world.

00:43:55.000 --> 00:43:59.999
[sil.]

00:44:00.000 --> 00:44:04.999
After the war, the British Empire market was gone.
It was less of an advantage for the big three

00:44:05.000 --> 00:44:09.999
to manufacture in this country, making a whole
line of cars for the small Canadian market.

00:44:10.000 --> 00:44:14.999
[music]

00:44:15.000 --> 00:44:19.999
Pearson proposed dropping all duties and
integrating the North American industry.

00:44:20.000 --> 00:44:24.999
In exchange, Canadian plants would be guaranteed
a fair share of the continental market.

00:44:25.000 --> 00:44:29.999
LBJ’s advisor George Ball urged
Johnson to accept the proposal,

00:44:30.000 --> 00:44:34.999
suggesting that it would be the first
step toward a logical integration

00:44:35.000 --> 00:44:39.999
of all the continents industry.

00:44:40.000 --> 00:44:44.999
Lyndon Johnson invited the Prime Minister down to his ranch
to sign the deal and have a taste of Texas hospitality.

00:44:45.000 --> 00:44:49.999
Only trouble was the President
couldn’t remember his guest’s name.

00:44:50.000 --> 00:44:54.999
I am delighted Mr. Wilson
that you came early enough

00:44:55.000 --> 00:44:59.999
and I hope you’d be able to go out and visit with
us. LBJ then invited Mr. Wilson to hop aboard

00:45:00.000 --> 00:45:04.999
and have a look at his spread.

00:45:05.000 --> 00:45:09.999
Still dressed in his three-piece suit

00:45:10.000 --> 00:45:14.999
that he arrived in, he was taken out of
helicopter tour to Texas countryside,

00:45:15.000 --> 00:45:19.999
then across the ranch in
a convoy of limousines,

00:45:20.000 --> 00:45:24.999
and finally, cross country in a jeep

00:45:25.000 --> 00:45:29.999
with a couple of guns, one for the Prime Minister, one
for the President, just in case they spotted some deer.

00:45:30.000 --> 00:45:34.999
Johnson kept throwing back

00:45:35.000 --> 00:45:39.999
Bourbon after Bourbon,
President’s friend Lester found

00:45:40.000 --> 00:45:44.999
little old Canada to do the same.

00:45:45.000 --> 00:45:49.999
Prime Minister Pearson remembered the state dinner at the ranch
house at that night as being an extremely informal affair.

00:45:50.000 --> 00:45:54.999
The ranch house was jammed with people,
telephones were ringing everywhere,

00:45:55.000 --> 00:45:59.999
and state secrets were being discussed in front of
everyone. President Johnson carried on a long conversation

00:46:00.000 --> 00:46:04.999
while his guests take their
meal of steak and catfish.

00:46:05.000 --> 00:46:09.999
Lester Pearson couldn’t decide

00:46:10.000 --> 00:46:14.999
if the extremely informal way in which they were being
received, should be taken as assign of friendship

00:46:15.000 --> 00:46:19.999
for an indication that they
were being taken for granted.

00:46:20.000 --> 00:46:24.999
Pearson bedded down at the ranch house that night
without having had a chance for a serious conversation

00:46:25.000 --> 00:46:29.999
about the auto pact or anything else of substance
with the President. The meeting was only saved

00:46:30.000 --> 00:46:34.999
by the chance occurrence in the middle of the night. Paul
Martin, Pearson’s External Affairs Minister, crapped downstairs

00:46:35.000 --> 00:46:39.999
to the refrigerator for a snack
and there he encountered LBJ

00:46:40.000 --> 00:46:44.999
in his pajamas making coffee. The two men
discussed Canadian-American relations

00:46:45.000 --> 00:46:49.999
until the early hours of the morning.

00:46:50.000 --> 00:46:54.999
Shortly after breakfast, the press were bust
to the ranch to record the official story.

00:46:55.000 --> 00:47:03.000
[sil.]

00:47:05.000 --> 00:47:09.999
Canada is the only country in the
world with a large auto market

00:47:10.000 --> 00:47:14.999
that does not produce its own cars.
Instead under the auto pact,

00:47:15.000 --> 00:47:19.999
our industry produces for segments
to the North American market.

00:47:20.000 --> 00:47:24.999
The auto pact is not an
example of free trade.

00:47:25.000 --> 00:47:29.999
Written into it are safeguards
that guaranteed that at least

00:47:30.000 --> 00:47:34.999
a minimum level of production must take
place in Canada. Under the Auto Pact,

00:47:35.000 --> 00:47:39.999
we design no cars in Canada, and our industry
does little research and development,

00:47:40.000 --> 00:47:44.999
but we do assemble a lot of vehicles here. And in
recent years, Canada has had a healthy surplus

00:47:45.000 --> 00:47:49.999
in its auto trade with the US.

00:47:50.000 --> 00:47:54.999
[sil.]

00:47:55.000 --> 00:47:59.999
What Lester Pearson didn’t
anticipate is that,

00:48:00.000 --> 00:48:04.999
one day assembly line jobs would disappear.

00:48:05.000 --> 00:48:09.999
You know, it’s easy to fall in love with
these robots at the Chrysler Plant.

00:48:10.000 --> 00:48:14.999
They are inexhaustible, although you might
not want to take one of them out of dinner.

00:48:15.000 --> 00:48:19.999
There used to be 300 people working in this
part of the plant, it was called the jungle.

00:48:20.000 --> 00:48:24.999
Now there are only seven people working here.
The problem for Canada under the auto pact

00:48:25.000 --> 00:48:29.999
is that we ended up with the assembly side of the industry,
and that’s where the jobs are being lost to robots,

00:48:30.000 --> 00:48:34.999
and we don’t make robots in Canada.

00:48:35.000 --> 00:48:43.000
[sil.]

00:48:50.000 --> 00:48:54.999
In the Gulf of Tonkin,

00:48:55.000 --> 00:48:59.999
American technological superiority
was being used for another purpose.

00:49:00.000 --> 00:49:04.999
Bombing North Vietnam into peace talks.

00:49:05.000 --> 00:49:09.999
The public was horrified

00:49:10.000 --> 00:49:14.999
and Lester Pearson went to Temple University
in Pennsylvania and made a speech

00:49:15.000 --> 00:49:19.999
suggesting that LBJ stop the slaughter.

00:49:20.000 --> 00:49:24.999
Lyndon Johnson called the Prime Minister shortly
after his Temple University speech and suggested

00:49:25.000 --> 00:49:29.999
he get down to Camp David as soon
as possible. Johnson was outraged

00:49:30.000 --> 00:49:34.999
and greeted Pearson bellowing, you
peed on my carpet. Then later added,

00:49:35.000 --> 00:49:39.999
and besides you screwed me on the Auto Pact.
Well, I wasn’t there but I heard about it.

00:49:40.000 --> 00:49:44.999
Then he grabbed, he’s supposed to Pearson
by the throat, lifted him off his feet

00:49:45.000 --> 00:49:49.999
and started to choke him. You know,
an unusual approach for that

00:49:50.000 --> 00:49:54.999
of one state to… to greet another one.

00:49:55.000 --> 00:49:59.999
Lester Pearson, ever the Diplomat,

00:50:00.000 --> 00:50:04.999
even anxious not to displease, wrote the
President an apologetic letter a few days later,

00:50:05.000 --> 00:50:09.999
thanking him for your kindness,
for your consideration

00:50:10.000 --> 00:50:14.999
in speaking to me so frankly.

00:50:15.000 --> 00:50:19.999
Much later after Pearson had retired from active
political life, I remember going to hear him speak

00:50:20.000 --> 00:50:24.999
at a meeting at the Château Laurier of the Canadian Radio
Club. He was talking about his political experience

00:50:25.000 --> 00:50:29.999
and summing up his views on Canadian-American relations,
and he said that those relations surprised him,

00:50:30.000 --> 00:50:34.999
that perhaps he had not understood
just how difficult it is

00:50:35.000 --> 00:50:39.999
for Canada to survive on this continent.

00:50:40.000 --> 00:50:48.000
[music] Does anybody wanted my autograph?

00:50:55.000 --> 00:50:59.999
Years before he became Prime Minister, Pierre Trudeau had
written that he thought Pearson had sold out on nuclear weapons

00:51:00.000 --> 00:51:04.999
and that Kennedy had interfered
to defeat Diefenbaker.

00:51:05.000 --> 00:51:09.999
[sil.]

00:51:10.000 --> 00:51:14.999
With the new leader, that country
had a Kennedy like star of its own.

00:51:15.000 --> 00:51:19.999
Some voters thought

00:51:20.000 --> 00:51:24.999
Trudeau was a nationalist who would
be tough with the Americans,

00:51:25.000 --> 00:51:29.999
but Trudeau was a pragmatist and went along with
the view that the Americans were our best friends

00:51:30.000 --> 00:51:34.999
whether we liked it or not.

00:51:35.000 --> 00:51:39.999
He was very strongly opposed to Quebec
nationalism, and the reason that he was opposed

00:51:40.000 --> 00:51:44.999
uh… to Quebec nationalist
was exactly the same reason

00:51:45.000 --> 00:51:49.999
why he was opposed to Canadian nationalism. Uh…
he just said there was nothing to be gained

00:51:50.000 --> 00:51:54.999
by cutting ourselves off.

00:51:55.000 --> 00:51:59.999
But Pierre Trudeau found out
just where Canada stood in 1971,

00:52:00.000 --> 00:52:04.999
when Richard Nixon announced
that he had a score to settle.

00:52:05.000 --> 00:52:09.999
He struck out at Japan which he called America’s
biggest trading partner and the other nations of west.

00:52:10.000 --> 00:52:14.999
He claimed they were prospering
at America’s expense.

00:52:15.000 --> 00:52:19.999
Among other things, he imposed a 10% tax
on all imports to the United States.

00:52:20.000 --> 00:52:28.000
[music]

00:52:30.000 --> 00:52:34.999
Shortly after Trudeau went down to set the record straight
and tell Nixon that the Province of Ontario alone

00:52:35.000 --> 00:52:39.999
did more business with the
United States than did Japan

00:52:40.000 --> 00:52:44.999
and that we were not the
cause of America’s problems.

00:52:45.000 --> 00:52:49.999
[music]

00:52:50.000 --> 00:52:54.999
He told Nixon that his tax on imports
would cost Canadians thousands of jobs.

00:52:55.000 --> 00:52:59.999
Nixon said, there would be
no special deal for Canada.

00:53:00.000 --> 00:53:04.999
Later, the President let it be recorded

00:53:05.000 --> 00:53:09.999
that he thought the Prime
Minister was an asshole.

00:53:10.000 --> 00:53:14.999
What we are really saying
very simply is this…

00:53:15.000 --> 00:53:19.999
A few months later Nixon came to Ottawa.
Well, we do not have a wall between us,

00:53:20.000 --> 00:53:24.999
while we do have this great unguarded boundary.
This does not mean that we are the same…

00:53:25.000 --> 00:53:29.999
He made clear that the special
relationship was a thing of the past.

00:53:30.000 --> 00:53:34.999
…what it does mean that we have found a way to discuss
our differences in a friendly way and without war.

00:53:35.000 --> 00:53:39.999
[music]

00:53:40.000 --> 00:53:44.999
Nixon’s economic policies coincided
with the rise in Canadian nationalism.

00:53:45.000 --> 00:53:49.999
Some were more passionate than others.

00:53:50.000 --> 00:53:54.999
From that day on,

00:53:55.000 --> 00:53:59.999
the government took Nixon at his word, that each
country should look out for its own interests.

00:54:00.000 --> 00:54:04.999
Canada has increasingly found it important

00:54:05.000 --> 00:54:09.999
to diversify its…

00:54:10.000 --> 00:54:14.999
its channels of communication because of the
overpowering presence of the Untied States of America

00:54:15.000 --> 00:54:19.999
uh… and that has reflected
in a growing consciousness

00:54:20.000 --> 00:54:24.999
amongst Canadians of the danger to our
national identity from a cultural,

00:54:25.000 --> 00:54:29.999
economic, and perhaps even
military point of view.

00:54:30.000 --> 00:54:34.999
[sil.]

00:54:35.000 --> 00:54:39.999
If there’s one thing that stands out as a symbol of the
economic nationalism of the 1970s, it is Petro-Canada,

00:54:40.000 --> 00:54:44.999
the country’s publicly owned oil company.

00:54:45.000 --> 00:54:49.999
But Pierre Trudeau and his government undertook
a number of other major initiatives as well.

00:54:50.000 --> 00:54:54.999
There was the Canada Development Corporation,
content rules for Canadian television,

00:54:55.000 --> 00:54:59.999
the change in the tax laws, so that Time could
not longer pose as a Canadian magazine,

00:55:00.000 --> 00:55:04.999
FIRA, the Foreign Investment Review Agency,
and finally the National Energy Program,

00:55:05.000 --> 00:55:09.999
who’s goal was 50% Canadian ownership
with the petroleum industry.

00:55:10.000 --> 00:55:14.999
[sil.]

00:55:15.000 --> 00:55:19.999
None of these measures was particularly revolutionary.
In fact, every major industrialized country

00:55:20.000 --> 00:55:24.999
including the United States has restrictions
on foreign control, yet each of these measures

00:55:25.000 --> 00:55:29.999
drew anger from south of the border,
including opposition from the US government,

00:55:30.000 --> 00:55:34.999
but the fact is that most of the
opposition came from Canadian business.

00:55:35.000 --> 00:55:39.999
Canadian business includes

00:55:40.000 --> 00:55:44.999
a large extent, large
companies are American owned.

00:55:45.000 --> 00:55:49.999
So when you think of the
Canadian business community,

00:55:50.000 --> 00:55:54.999
you’re really thinking of the
subsidiaries of American companies.

00:55:55.000 --> 00:55:59.999
Their counterparts are… are Americans,
they’re influenced by them,

00:56:00.000 --> 00:56:04.999
so they’re not as independently Canadians

00:56:05.000 --> 00:56:09.999
as… as they might be. Now
I think we forget that.

00:56:10.000 --> 00:56:14.999
[sil.]

00:56:15.000 --> 00:56:19.999
When Pierre Elliott Trudeau retired in 1984, he said
that it was no wonder the Americans didn’t like him.

00:56:20.000 --> 00:56:24.999
Canada was gaining control
over its economy.

00:56:25.000 --> 00:56:29.999
He warned the new Prime Minister
not to count out to Ronald Reagan.

00:56:30.000 --> 00:56:34.999
Simple acts of friendship are ridiculed because they’re
instantly equated with the loss of sovereignty,

00:56:35.000 --> 00:56:39.999
but I tell you that by and large Canadians are
unimpressed and unmoved by these reactions.

00:56:40.000 --> 00:56:44.999
Early in his mandate,

00:56:45.000 --> 00:56:49.999
Prime Minister Mulroney went to Wall Street. He told the
Business Elite that his government was transforming FIRA

00:56:50.000 --> 00:56:54.999
into an agency to encourage
foreign investment,

00:56:55.000 --> 00:56:59.999
and that he would scrap the National
Energy Program. Our message is clear.

00:57:00.000 --> 00:57:04.999
Here and around the world, Canada
is open for business again.

00:57:05.000 --> 00:57:09.999
We are in some ways closer
to the United States

00:57:10.000 --> 00:57:14.999
and more tied in with them, than Poland
or Hungry are with the Soviet Union.

00:57:15.000 --> 00:57:19.999
We are more in their orbit, than they’re,

00:57:20.000 --> 00:57:24.999
because they after all have the great
advantage of difference in speech

00:57:25.000 --> 00:57:29.999
and difference in religion, which
makes a very great difference.

00:57:30.000 --> 00:57:34.999
We have… English speaking
Canada has neither of these.

00:57:35.000 --> 00:57:39.999
Now, you say, can we survive
in those circumstances

00:57:40.000 --> 00:57:44.999
as a separate independent state? It
will all depend on what Canadians want.

00:57:45.000 --> 00:57:49.999
If they have the will to survive, of course
we will. But if they don’t care or they…

00:57:50.000 --> 00:57:54.999
Well, they don’t know
what to do, we may not.

00:57:55.000 --> 00:57:59.999
Most people are stuck with the
homelands that they’re born into.

00:58:00.000 --> 00:58:04.999
If you’re born in Poland, you’re Polish. If you’re born
in Italy, you’re Italian, that’s all there is to it.

00:58:05.000 --> 00:58:09.999
Canadians are different. Canadians have
belief throughout their history for 200 years

00:58:10.000 --> 00:58:14.999
that we have a choice about our homeland.
If we want to we think,

00:58:15.000 --> 00:58:19.999
we can become Americans and
that’s why in every generation,

00:58:20.000 --> 00:58:24.999
Canadians have had to decide as a matter of
decision of consciousness to reinvent Canada,

00:58:25.000 --> 00:58:29.999
and it’s one of the most painful things

00:58:30.000 --> 00:58:35.000
about being Canadian.