Status Debate: these theories are response to the middle power theory

#2: Satellite School: founded 60s & 70s

Key Scholars:
James Minefi
Stephen Clarkson: recently retired U of T

Key Concerns:
i) Trade Dependence:
- Canada is becoming more and more depended on US for foreign trade
- Cultural dependence: Canadian culture is consumed by American models; radio and American
telecommunication; radio, television and films. New laws responded to this by mandating a
certain Canadian presence
- Weak Manufacturing: limited; not diversified other than resources and automotive industry.
- FDI: Canadian parliament needs investment for economy to grow.
- Low technology:

Key Points:
1: US Policy Determination: determines much of Canadian foreign policy as well as others.
US is pushing Canada to be a western, capitalist democracy.
Nuclear Weapons debate: Canada took nuclear weapons because of US pressure
Activity in the Korean War.
Breton Woods system: WB, IMF, GATT; primary economic institutions and were in all of them. We
have a minor role that is US dominated.
China, Russia & ME: foreign policy towards the US is same as US. Canada however recognizes China
as a state before the US does.

2. NORAD: air defense alliance with US, deputy commander is Canadian; Canada American
It was negotiated under American pressure and run by the former.

3. Weak Canadian companies
i) Few global competitive companies. Most do well in Canada but none are major global players.
ii) Foreign takeovers; low evaluations (stock market) relatively easy take over companies. Ex: Tims

Canadian Gov. can block takeovers to happen due to the Canadian currency to be a lot stronger. US
companies bought those of Canada in the early 20s because it was easier to live here.
Americans buy Canadian companies because they think their good investments; dont think their weak.

Resource Base: resource companies dont
Branch plant: a lot of American companies create Canadian divisions. Its not necessarily a bad thing,
they do pay taxes. But they arent making the major decisions. They are owned by the parent
company.

Summary: Canada is a weak country, dont make our own policies, weak corporations, not advanced
industrial and technology base. We are a satellite state.
Popularity: always been second.

Principal Power school: most recent; 80s and on

Key people: David Dewitt and John Kirton
The world is different now: the cold war is ending, Americans and Russians are declining.
Opportunity for Canada to rise to the top. Canada was one of seven principal powers.

Key Concerns: 3 & 4 are newer
i) G7, G8, G20: G7 is a group of countries as an organization of largest industrialized countries
in a different forum than the GAFF or IMF. They were also all western
ii) Space: foremost space power and there were only a few. Canada was the 3
rd
space country.
It had a civilian space agency and started to train astronauts. Canada was the 2
nd
country in
the world to launch a communication satellite. Alloutte 1960. The Canada arm which moved
things around in Space. LUDICROUS
iii) Banking and Finance: we came out of the recession better than most states. Canada
retracted 1%, US 4%. Banks of Canada did very well out of the recession. Insurance
companies did well as well. Those in the US did badly: AIG, City Group, Freddy May and
Freddy Mac. No runs on Canadian banks; (Washington Mutual failed US) Aftermath:
everyone thinks our banks are the best in the world.
Gov: was running a surplus going into the recession; Canada didnt go into deficit as much as
other countries as well.
iv) Strong Canadian companies: there are a few but not that many; none are global leaders.
Hard to make a case. Canadian companies who have purchased subsidiaries in the US:
A) Bombardier bought some automobile plant in Germany
B) Valiant: huge drug company: purchasing allergen (produces botox): Bill Ackman support
C) Thompson (publisher): purchased Reuters.
D) All of the Canadian banks

Canadian Foreign Policy Initiatives: talking a global leadership role
1. Landmines (1990s): Canada led the international campaign to end the use of landmines.
2. Trudeaus FP Initiative (1983)
Could argue taking a leadership role in Israel, Russia and Kyoto.

Canadian Policy Disagreements: (When they disagreed with the United States
1. Cuba
2. Vietnam
3. Iraq

Week 3 of Foreign Policy

Different actors that make FP
i) PM: substantial power; head of Gov, chair of cabinet and head of parliamentary caucus.
Has the power to fire and hire; (ministers)
These powers are heightened during majority Gov. (155 MPS) Party Discipline: vote on the
lines of your party; arguably strongest in the word.
Do whatever he wants!!!!!
Long Tenures: PMS tend to stay in office for a long time. Harper is going in his 8
th
year. Just
because hes occupied the seat for a long time is a source of power.
Summit Diplomacy: PM represent Canada; source of power; externally, become known internationally.
G-7: Harper represents Canada; exclusive club. PM has an opportunity to put things on the agenda.
- Ex: Harper wanted deficit reduction on the agenda and succeeded.
Commonwealth & La Francophonie: representation in those clubs
Canada/US: most important bilateral relationship by far. There is a summit every year or two.
Opportunity for leaders to get toge