Obama includes Canada in his `King of World’ territory

Canadians, watching the Fundamental Transformation of the United States of America, from the safety of over-the-border observation, consider themselves too distant from the expanding Marxist policies of the President Barack Obama regime. Even the many who worry about American friends losing jobs and homes would admit “It’s not like being there”.

But Obama, whose proverbial ego is as big as Texas and whose mission for One World Government is inspired by punishing the US for imagined past crimes, has now turned his ambitious sights on Canada. “Canada is launching a full-court press in an attempt to prevent the United States from passing bank reforms that may impact Canadian investors, financial markets and the economy.” (Winnipeg Free Press, Feb. 14, 2012).

“In separate letters to Washington policy-makers, Finance Minister Jim Flaherty and Bank of Canada governor Mark Carney complain sweeping reforms under the “Volcker rule” would reach well beyond their intended scope, and beyond borders.”

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Canadians in-the-know would recognize former Federal Reserve Chairman Paul Volcker as the man who gave a pass to all shysters never brought to justice in the $34 million “independent investigation’ into the United Nations Oil-for-Food scandal during the watch of UN Secretary General Kofi Annan and his under secretary general and special adviser, (including North Korea, Environmentalism and UN Reform) UN Poster Boy, Canadian Maurice Strong, who bailed out to China during investigations. During the skewed Volcker ‘investigation’, which took over 16 months, and employed some 75 staff from 28 countries, Secretary General Kofi Annan, his deputy secretary-general, Canadian Louise Fréchette, and his chief of staff, Iqbal Riza “were all informed of the issue of kickbacks, but remained passive”. (Claudia Rosett, Sept. 26, 2005). There are virtually no Freddie Mack and Fannie Mae horrors in the Canadian financial story. Canadian financial institutions have been relatively unscathed by the ongoing worldwide economic turmoil. To bring the Canadian banking picture into sharper focus: The two countries, geographic proximities notwithstanding, banks failed in Canada and the U.S. at very different rates. What about the noughties?  Nick Rowe makes some relevant points: Canada has fewer major banks and they are more tightly regulated, hold more capital, and housing is not encouraged so much by law.  It is harder to walk away from an underwater mortgage.  Here is Megan McArdle on Canada. …it doesn’t seem to be as simple as “Canadian banks are more tightly-regulated”.

1. We never had restrictions on interstate banking, so Canadian banks spread their assets and liabilities across Canada. (So it doesn’t matter if a local housing market goes bust).
2. We don’t have Glass-Steagal. The investment banks joined the retail banks some years ago.
3. We don’t have mortgage interest deductibility from taxes. So paying down your mortgage is a tax-free investment. So most people want to pay down their mortgages.
4. (Except in Alberta), mortgages are fully recourse. You can’t just walk away from a negative equity home and hand the keys to the bank; the bank will come after you for the difference.

It is not just hype that portrays Obama as self-appointed ‘King of the World’. Add the United Kingdom, Japan, the whole of the European Commission and others as complainants along with Canada. 
That’s because In the proposed new U.S. bank rules, Obama’s octopus arms would have an unprecedented extraterritorial reach and significant cross-border effects. Bank of Montreal economist Douglas Porter puts the proposed new U.S. bank rules in alarming perspective: “The problem is that the rule does not just apply to Canadian bank operations in the United States, it would apply to their operations around the world.” “Most Canadian banks have operations in the United States so interlinked that even strictly Canadian activities could come under the changes. As well, while U.S. government treasury sales are exempted, Canadian government bonds are not.” Since his election, Obama has seen only one defeat when Canadian businessmen forced back his hand on Buy America Act. Obama, whose mission seems to be to push America over the cliff, now works to take Canada down with it. Finance Minister Jim Flaherty should force Obama to take his octopus arms out of the country that will never belong to him.