McIlroy, James P.

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The Canada/U.S. Economic Relationship: From FTA to NAFTA To - Introduction

Case Western Reserve University School of Law

Canada-United States Law JournalVolume 29 | Issue 1 Article 11January 2003The Canada/U.S. Economic Relationship: FromFTA to NAFTA To - IntroductionJames P. McIlroyFollow this and additional works at: https://scholarlycommons.law.case.edu/cusljThis Speech is brought to you for free and open access by the Student Journals at Case Western Reserve University School of Law Scholarly Commons.It has been accepted for inclusion in Canada-United States Law Journal by an authorized administrator of Case Western Reserve University School ofLaw Scholarly Commons.Recommended CitationJames P. McIlroy, The Canada/U.S. Economic Relationship: From FTA to NAFTA To - Introduction, 29 Can.-U.S. L.J. 39 (2003)Available at: https://scholarlycommons.law.case.edu/cuslj/vol29/iss1/11THE CANADA/U.S. ECONOMIC RELATIONSHIP:FROM FTA TO NAFTA TO ???James P. McllroyIntroductionOur next topic is very forward looking. Before I introduce the twospeakers who will discuss this provocative topic, I want to make clear howthey fit into the philosophy of the Canada/U.S. Law Institute. You may haveseen by now an article that appeared in the publication, "In Brief," amagazine of Case Western Reserve University School of Law. I would liketo take a moment to talk about an article that appears on page 19 entitled"Canada/U.S. Law Institute holds its Sixteenth Annual Conference at theSchool of Law."What it says really summarizes what this conference is all about. Itdescribes last year's conference and it says one of the key missions of theinstitute is to explore legal issues affecting the special Canada/U.S.relationship. It goes onto describe the conference that we are attending todayin the following terms and I quote, "The influential conference promotesthese missions by gathering prominent members of governmental andnon-governmental organizations, as well as business, legal, and academiccommunities, in three days of seminars and discussions regarding the issuesconfronting the Canada/U.S. relationship."In other words, this conference is very unique in that it ismulti-disciplinary. We have business people, we have government, we haveacademics, as opposed to a situation where you have academics talking toeach other or lawyers talking to other lawyers. This conference ismulti-disciplinary. One of the reasons it has been so successful and in its 17 thyear is that Professor King has always insured that it was multi-disciplinaryand that the whole package was greater than the sum of its parts.Our two speakers personify this multi-disciplinary philosophy. Allow meto introduce both Gary Hufbauer and Derek Burney. Mr. Hufbauer is on myright. Mr. Burney is on my left. Mr. Burney will speak first, and then Mr.Hufbauer will speak. If time allows we will have a brief question and answersession.Let me start out by introducing Dr. Hufbauer. He has a strongbackground in both law and economics. His A.B. is from Harvard, his Ph.D.in economics is from Cambridge, and he has a J.D. from Georgetown. Dr.Hufbauer's experience working in government includes serving in theTreasury Department as the Deputy Assistant Secretary responsible for trade1McIlroy: The Canada/U.S. Economic Relationship: From FTA to NAFTA To - IntPublished by Case Western Reserve University School of Law Scholarly Commons, 2003CANADA-UNITED STATES LA WJOURNALand Investment Policy during the Tokyo Round of multilateral tradenegotiations in the late 1970's.He has taught financial diplomacy at Georgetown University inWashington and has been the Director of studies at the Council on ForeignRelations in New York. He is currently is a Senior Fellow at the Institute forInternational Economics. His publications are legion and are widely read. Ina few moments, he is going to share his unique views and experience withyou.Let me conclude by introducing Derek Burney. As a Canadian lawyer, Iwas always taught I had to declare a conflict of interest, so allow me to dothat. I had the privilege and pleasure of working with Derek Burney a coupleof decades ago, I hate to say, in the mid 1980's, while at the Department ofForeign Affairs and International Trade. At that time, Derek Burney was theAssistant Deputy Minister responsible for our relationship with the UnitedStates. I was working for the Minister of International Trade, James Keller,in the recently elected Government of Brian Mulroney. At that time, almosttwo decades ago, I can tell you that the Canada/United States Free TradeAgreement, was merely a gleam in Derek Burney's eye. At that time, theFTA was not a popular idea in Canada; and it sure was not a popular idea inthe Federal Bureaucracy.Sometimes people forget that former Prime Minister Brian Mulroney didnot include free trade as a plank in his 1984 election campaign, and that iswhere Derek Burney came in. He played a critical role in developing therationale and more importantly, the game plan for achieving the FTA. Donot take my word for it. There are lots of books on it, I have got one of thebetter ones here, "Decision at Midnight, inside the Canada/U.S. Free TradeNegotiations." I always try to judge and see how someone fits into things bypeaking in the index to see how many lines they've got. Derek Burney has11 lines. Some guy named Ronald Reagan has 12.Mr. Burney's role did not start and end in government. As I said, he ismulti-disciplinary. In 1988, Prime Minister Mulroney staked his governmenton the FTA in a historic federal election. At that time, Derek Burney hadmoved from being in the bureaucracy into the role of becoming Chief ofStaff for the Prime Minister. There he played a highly political role. It doesnot end there. Following the 1988 election, Mr. Burney became Ambassadorin Washington to ensure that the FTA got off to a clean start. Now, ten yearsago, after service in government, politics, and diplomacy, he did somethingthat does not happen in Canada as often as it happens here in the UnitedStates. He moved from the public sector to the private sector. It happens alot more in the United States then it does in Canada.In Canada, the public sector and private sector have often been seen to betwo solitudes that do not understand each other particularly well and do notcommunicate particularly well. Mr. Burney was able to bridge the gap and[Vol. 29:392Canada-United States Law Journal, Vol. 29 [2003], Iss. 1, Art. 11https://scholarlycommons.law.case.edu/cuslj/vol29/iss1/112003] Mcllroy-Introduction 41developed a highly successful career in the private sector. Today, he is CEOof CAE, Inc., which is a high tech Canadian company that is highlysuccessful in Canada, the United States, and export markets around theworld.Dr. Hufbauer and Mr. Burney, both of them are multidisciplinary. Theycover government, they cover business, they cover law, they cover academia,and they cover all of them in spades. I think we can all agree these twogentlemen deserve a very warm welcome this morning. I would like to startoff by giving the podium to Mr. Burney.3McIlroy: The Canada/U.S. Economic Relationship: From FTA to NAFTA To - IntPublished by Case Western Reserve University School of Law Scholarly Commons, 20034Canada-United States Law Journal, Vol. 29 [2003], Iss. 1, Art. 11https://scholarlycommons.law.case.edu/cuslj/vol29/iss1/11

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The Canada/U.S. Economic Relationship: From FTA to NAFTA To - Introduction

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