Canada Dry

While the rest of the G-7 nations are drowning in the wake of the financial crisis, Socialist Fascist health care rationing death panel Canada is...recovering quite nicely.

In less than a year Canada has made up nearly all the jobs lost during the recession.

"We've replaced those jobs already. It is quite something how we are rebounding," said Dawn Desjardins, assistant chief economist at Royal Bank.

Desjardins said low interest rates, a stable banking system and the government's comparative strong fiscal position has spurred the recovery. Although its deficit is currently at a record high, the International Monetary Fund expects Canada to be the only one of the seven major industrialized democracies to return to surplus by 2015.

Canada entered the global downturn in the last three months of 2008 and withstood the global economic crisis better than most developed countries. There was no mortgage meltdown or subprime lending crisis in Canada where the financial sector is dominated by five large banks.

Last month, Canada became the first Group of Seven nation to raise interest rates since the crisis. Economists said the strong jobs report provides further impetus for the central bank to raise rates again on June 20.

No housing bubble...because Canada had financial regulations in place already that prevented Canadian banks from playing the Big Casino games.  As a result Canada really is on the way back to recovery and may not have to worry about the coming second leg of this depression, or at least they'll be in much better shape.  Their regulators actually did what was necessary to stop the meltdown and their major banks went along because they were not given a choice.

Meanwhile, we're down 8 million jobs thanks to letting Goldman Sachs run the country instead of the government, and now we're facing a massive deflationary contraction that will almost certainly have to be countered by running up interest rates by printing money.  When the bond market detonates, America is done.  Canada on the other hand, well, they're going to be fine.  We still have yet to learn the lesson of why Canada will be kicking our asses economically for the next generation, and even if our political class did figure it out, we don't have the political will to do it.