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Canadas trade war with the United States is escalating as Canadian counter tariffs have taken effect and the Americans have widened the scope of their own tariffs. Its unclear whether this might lead to further escalation or whether theres a path back to the negotiating table. Its also not clear what the governments ultimate objective is or how long theyre prepared to fight this battle. In this interview, National Posts Rob Breakenridge speaks with Carleton University business professor Ian Lee about the need for Canadians to accept some of the basic economic realities were facing and the potential economic damage from a prolonged trade war. If were not careful, Lee warns that we could stumble into a recession or even see capital flight out of the country.
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