Buy Canada?

In response to some terms in the Obama stimulus package proposing that the money be used to "Buy American", Canadians are up in arms over the statement in light of the tight trade relationship between Canada and the US. In this intertwined economy, Canada is afraid that the impact of "Buy American" could have a significant economic effect to their bottom line.

Of course, the best kneejerk reaction is for the Canadian unions to call for a "Buy Canadian" policy in government. Seriously? What is made in Canada? I've always thought of Canada as a source for natural resources, banking, and cars. Funny enough, the biggest unions supporting this policy are the steelworkers and auto workers union.

Somehow, I just don't see this working out if anyone thought this through. Then again, it wouldn't really be called a kneejerk reaction if someone thought this through. But hey, anyone can play at this protectionism game.