“Buy American” stimulus provision slows the impact of the stimulus on economic recovery

Aug 17, 2009

Jim Haughey

Manufacturers in Canada are very angry.  This loss of business comes on top of sales losses due to the recession and the strengthening Canadian dollar. The “buy American” problem may be back page news here but it front page news in Canada. Expect retaliation from the Canadian government.  This will probably be in the form of penalty tariffs on a wide range of US exports to Canada. This is exactly what Mexico did when the stimulus plan banned Mexican trucks from US border highways.

Some municipalities have abandoned approved stimulus project because they can not get the equipment they need for the project. Some contractors are declining to bid on projects because they do not want to battle with Washington bureaucrats …

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