The Star's Thomas Walkom explains that "Harper's plans are out of date. They are part of an attempt to bolster a North American production system that, in an era of permanently high oil prices, can't survive."
Quotes:
"In the heyday of NAFTA, energy prices were low enough to allow this. As long as oil was relatively cheap, it made economic sense to truck auto parts from all over North America for assembly in Windsor.
"But as economist Jeff Rubin and others have pointed out, in a world of permanently high oil prices this logic no longer holds.
"In this new world, it makes more sense to grow food close to where it is eaten and to produce commodities near their end users. ...
"I've argued before that the Americans, regardless of how much we cave in, will never return to the undefended border days that existed before 9/11. They are too fearful.
"Yet even more important is the price of energy. The world created by NAFTA is ending. A more open border with the U.S. might be convenient. It is no longer crucial."
Full article: Walkom: PM's border scheme mired in past.
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