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Canada 2008 real GDP growth rate: 0.7%

US 2008 real GDP growth rate: 1.4%*

Whats the point of not having bank failures when you earn less? Or another way to put it: whats the point of not loosing money if you don't have any to begin with.

A more extreme example: During the 1930s, there was one notable country which did not experience an economic depression. That country was the USSR. As it had a command economy, the planners decided against a depression and that was it. However, they could not allocate agricultural resources effectively and had a famine instead. So, back then, it was very easy to say the the USSR is great as it has no depression but whats the point when they have no food.

* Source: CIA world factbook (search google).




You're right, Canada's GDP growth in 2008 was 0.7% less than the US GDP growth. However in 2007, Canada's GDP grew by 2.7% vs. the US 2.2%; and the IMF predicts that in 2009 the US GDP will fall by 1.6% while Canada's GDP will only fall by 1.2%.

These numbers fluctuate from year to year, but if you look at the long term trend, you won't see any significant difference between Canadian and US GDP growth.




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