Since when?

Guess who the U.S. is most afraid of for Y2K? Canada

BARRIE McKENNA Washington Bureau Thursday, November 18, 1999

Washington -- The United States has spent a staggering $100-billion (U.S.) to get itself Y2K-ready, but one potential menace is still lurking out there: Canada.

That's right, Canada. The White House fingered its northern neighbour yesterday as the greatest single foreign threat to the U.S. economy in a new report on the impact of the Y2K computer bug.

Although it gets high marks for Y2K readiness, Canada apparently has three strikes against it: It is the United States' largest trading partner, it is highly technology-reliant and its computers are heavily integrated with U.S. networks.

"The Canadian economy is IT-intensive and therefore inherently vulnerable to IT failures," according to a government report.

"It is also very important to the United States, both in terms of our trade relations and in terms of extensive Y2K-related linkages," said the 25-page report by the U.S. Department of Commerce's Economics and Statistics Administration.

As a result, Canada poses a far greater economic danger to the United States than any other Group of Seven country, Mexico, China, the former Soviet republics or Saudi Arabia, according to the report.

The Commerce Department applauded Canada for working hard to prepare for potential Y2K computer problems, adding that this has greatly reduced the potential risk to the United States. U.S. officials add they have no evidence there will be "a foreign shock."

But the carefully worded report warned against complacency.

"Extensive preparation does not mean that a country will not experience disruptions," the report noted. "If such disruptions occur in sectors with close links to the United States, U.S. firms could be affected.

Of course, the opposite holds true too, the report said. "It is also worth noting that from each of these countries' perspectives -- especially Canada's -- the U.S. may represent one of their largest foreign Y2K risks"

Canadian government officials point out that they are in near-daily contact with U.S. officials to ensure there are no New Year's surprises, particularly in key sectors such as energy, telecommunications and transportation. At last month's summit of officials of the North American free-trade agreement, White House Y2K adviser John Koskinen predicted "North America would be well prepared for the year 2000."

U.S. officials played down the overall risks to the U.S. economy posed by the Y2K problem -- either from outside the country or within. (The fear has been that beginning New Year's Day computers that use two digits to reflect a year will confuse the year 2000, or "00," as 1900, and fail.)

Commerce Secretary William Daley urged Americans not to "lose any sleep worrying about January 1st" because the country is Y2K ready.

"The greatest cost to our economy is behind us, with billions of dollars diverted from other uses to fix this problem," he told reporters in Washington. "And glitches that pop up next year should not have a significant impact at all on our economic growth."

Preparedness didn't come cheaply. The report said U.S. governments and businesses have already spent $100-billion testing and upgrading computers to get ready in what Mr. Daley called "the greatest management challenge" since the Second World War. That represents $365 for every man, woman and child in the United States.

"This was not an imaginary situation," Mr. Daley said. "It was a real problem that had to be corrected."

The United States is expected to spend another $15-billion before all is said and done, raising the grand total to nearly $115-billion. That's down from some earlier forecasts of $300-billion or more.

The report found that U.S. expenditures peaked at $31.9-billion last year, and will drop to $28.9-billion this year. Businesses and government are expected to spend nearly $6-billion in 2000 and 2001.

The U.S. government alone has spent $8.5-billion. General Motors Corp. and consumer products giant Procter & Gamble Co. both have spent more than $600-million.

In Canada, the federal government has estimated that the public and private sectors would spend as much as $60-billion (Canadian) getting ready for the date change -- a figure that, if accurate, would put Canada on a course to spend nearly five times more than the United States on a per capita basis.

U.S. officials said there is no evidence yet that consumers are hoarding or stockpiling in preparation for year-end, although they conceded that it's too early to get a good reading. Federal Reserve Board chairman Alan Greenspan recently suggested that irrational spending patterns might be the greatest lingering threat to the U.S. economy from Y2K.

The Commerce report said that while Big Business is ready, as many as 500,000 U.S. small businesses have adopted a "fix-on-fail" Y2K strategy, and remain unprepared.

Whatever happens, the Y2K bug won't slow the red-hot U.S. economy, although it could "influence the pattern and the timing of this growth," predicted Robert Shapiro, head of the Economics and Statistics Administration. He also raised the possibility that companies may enjoy a Y2K dividend as they get the benefits of their computer upgrades while reducing expenditures.

And while Mr. Daley urged Americans not to lose any sleep over Y2K, he asked major decision makers to be poised for action on New Year's eve. "I would strongly encourage CEOs, CIOs, CFOs in major companies, major sectors, to be absolutely involved that evening . . . [to be at] their desks or at a cubicle or just at the end of a telephone," he said.

-- Roland (nottelling@nowhere.com), November 18, 1999

Answers

Aha, I see, so as it comes a part, the US being so uttery ready and all, is to know It Is All Canada's Fault. Not the Feds, their spins, their outright lies, and open statements that they would say anything to keep people in the dark, not all the non-compliant utilities, companies, local governments, and oil producing nations. Course the noncompliant Japanese banks pose no real threat, nor the UK or British unpreparedeness and certainly not China which has the most past American industries sitting in its noncompliant self...It's Canada.

It Is All Canada's Fault.

A nation with a population size less than the state of California, is only a minor place of any businesses, is going to send violent shockwaves throughout America.

Oh gimme a break!

Canada is the least lingering threat to any nations economy. It could fall off the planet and 99.9999999% would not feel an impact.

-- Paula (chowbabe@pacbell.net), November 18, 1999.

Paula, you might want to rethink that last statement in terms of, say, natural resources. Really, you might.

-- silver ion (hydrofromnorth.@lsomining.etc), November 18, 1999.

I KNEW IT! I KNEW IT! All that self-effacing, Doug & Bob McKenzie stuff was just an ACT to lull the US into a false sense of security! (Sure am glad I activated my honorary Canadian citizenship a few years ago.)

-- I'm Here, I'm There (I'm Everywhere@so.beware), November 18, 1999.

Well, you all know what the solution to this iddle biddy problem is: war with Canada! Finally! We've waited a pretty long time to administer this particular ass-kicking and I say, let's get to it. We'll polish them off in two weeks, then its Mexico in three and a half and we can finally get rid of those extraneous lines on the maps of North America.

-- Kurt Ayau (Ayau@iwinet.com), November 18, 1999.

"a figure that, if accurate, would put Canada on a course to spend nearly five times more than the United States on a per capita basis."

Now here is an interesting bit of news for the US folks. If you look at the spending of Government and banks, Canada has spent well above the per capita basis than the States. I have always found this intreaging.

Paula

Thanks for the warm fuzzies, we have a bigger position on the "map" than the states :o) so you will be sucked in if we fall off the map.

Although it is true that California or New York failures will hit the US harder than Canadian failures. The Auto sectors do have extencive cross boarder flows of goods. Mind you I see the auto sector as the most Y2K aware of all industries.

For extensive information on Canada's efforts here is a site on Industry Canada's Y2K hearings.

 Industry Canada Testimony

-- Brian (imager@home.com), November 18, 1999.

War with Canada, Kurt? Hmmmmm... Got possibilities. It'd be nice to fight with somebody who'd fight FAIR for a change...

-- I'm Here, I'm There (I'm Everywhere@so.beware), November 18, 1999.

You guys sure have a short memory ... We kicked your butts in the War of 1812 ... Now where did I put my musket? ... LOL!

-- John (jh@NotReal.ca), November 18, 1999.

Canada & U.S. at war! YiKes! I don't know whether to call all my U.S. relatives and have them mosey up here (to Canada), or should I round up all my Canadian relatives & move to the U.S. Hmmmmmmm! Eeenie, Meenie, Minnie, Moe! Now, back to reality! It won't happen!! Think about it!

-- Val (vjones@cableestevan.com), November 18, 1999.

"Canada is the least lingering threat to any nations economy. It could fall off the planet and 99.9999999% would not feel an impact."

Another example of Doomer idiocy.

We sell more "stuff" to Canada than we do to any other country in the world. We buy more "stuff" from Canada than we do any other country in the world. As the second largest country on the planet with a significant share of the continents fresh water recources,minerals and forestry products, Canada is an economic player on the world stage and our KEY trading partner.

If you can't get this right...

-- Y2K Pro (y2kpro1@hotmail.com), November 18, 1999.

Now it's Canada's fault. Ironic isn't it? There's no end to what spinners would say. Ignoring the fact that it was Canadiens like DeJager who knocked some sense into Americans since 1990 to get them off their butts (ignore his about face for a minute), and Canada took to lead in Y2K remediations, making a partnership with Pennsylvania which earned PA the status of one of the most ready states early on.

Paula, your american-centricity is showing, along with other things.

-- Chris (#$%^&@pond.com), November 18, 1999.

pro

I like it when you actually have something intelligent to say.

Canadians and the US are tied in a knot, mind you sometimes it is hard sleeping with an elephant.

Guess that is why I am here

-- Brian (imager@home.com), November 18, 1999.

Chris

Actually the BC government was one of the first .gov entities to have a Y2K site and information exchange (closed) on the net.

-- Brian (imager@home.com), November 18, 1999.

Blame the Canadians... Right! Actually, WRONG! The Canadians seem to be doing as good of a job as the US...but we are seeing some seemingly irrational press releases on Y2K out of the White House in the past couple of days. (compare the thread above on Y2K grocery shopping...). Personally, I'd much rather be (anywhere) in Canada than in, say, New York City, Los Angeles, or (shudder!!) Washington, D.C...

Is it possible that the White House is trying to set up someone to blame if/when TEITRAH?

-- Mad Monk (madmonk@hawaiian.net), November 18, 1999.

SWEET JESUS! Y2kpro finally made sense! Right on, there's hope in pollyland. Sorry chowbabe he/she/it is right, Canada is our biggest trading partner. Those Bastards.....if they crash, does this mean? I won't get my maple syrup, or new floormats for my Ford truck? Perish the thought.....

-- cavscout (leery@of.canucks), November 18, 1999.

Has anyone noticed that more and more millions of fingers are pointing to you, to me, to everyone who has a keyboard, to those who have money in the bank, to those want to stock their cupboards, to those who have paranoia, ....

See.

-- Not Again! (seenit@ww2.com), November 18, 1999.

Of, course, Monk. Look, here's how it works if TSHTF:

Iran will blame the US,

The US will blame Canada,

Canada will blame England,

England will blame Australia,

Australia will blame Indonesia,

Indonesia will blame Japan,

Japan will blame China,

and China will blame Charlie Reuben (cpr).

See? It's all figured out. Trust me. I know these things.

-- I'm Here, I'm There (I'm Everywhere@so.beware), November 18, 1999.

Yep. A war with Canada is JUST what we need!! Yeeehaw! We couldn't do it in 1812 but by golly those thoughtful singer-songwriters (like Joni Mitchell, Leonard Cohen, and Neil Young) sure have a way of putting me in an introspective, glum mood! I say it's time for revenge.

-- coprolith (coprolith@fakemail.com), November 18, 1999.

And I suppose it will be the fault of the U.S. if computer problems stemming from them not being compliant cause Canada's power interlace to fail or the oil to stop flowing???

Man (and woman) the ramparts - the Americans are coming - again!!! Get out the curling brooms, the hockey sticks and the pucks (good for catapulting) and line up to protect our border. It has only been 187 years since the last "incursion" (which we won).

-- Laurane (familyties@rttinc.com), November 18, 1999.

You Americans wouldn't stand a chance fightin us, eh. You know why, eh? Cause you'd have to learn how to mush a sled eh, just to chase us into our igloos eh? And you'd have to keep an eye out for all those millions of polar bears too, eh? No to mention our beer, eh. You'd all be too drunk to shoot straight eh?

-- leaf (canada@ack.ack), November 18, 1999.

Reason #1 that Canada should fear Y2K problems in the US:

80% of our exports head south

You guys sneeze and we catch pneumonia.

(You'd also have to get by without Lindross, Kariya, Fleury, Turgeon.... )

-- Johnny Canuck (j_canuck@hotmail.com), November 18, 1999.

Johnny I have never seen hockey on the forum, dam shame! The canucks and leafs are kicking butt :o) Got to get a hockey thread going some time !

-- Brian (imager@home.com), November 19, 1999.

Brian - more hockey, that's what I say!

To tie together our favourite game and Y2K, there are 6 NHL games scheduled for 1/1/2000:

http://www.nhl.com/schedules/january.htm

One of them is Leafs at Buffalo. I'm tempted to go, but if Immigration Canada's computers go t*ts up and they won't let us back in the country, then Buffalo ain't exactly the best place to be stuck!

Johnny (who's seeing the Gretzky-less Rangers at the ACC on Saturday)

-- Johnny Canuck (j_canuck@hotmail.com), November 19, 1999.

Didn't we declare war with Canada over the Terrance 'n Phillip fiasco?

-- Let's talk aboot (South@Park.eh?), November 19, 1999.

Johnny

The rangers are high priced hacks, some how if Y2K doesn't whipe out the team then the players should be traded. It give a good case for cleaning house in some teams. Or coaches :o) Usually I don't follow hockey till after the break but the Cs are smoking. (halloween I was a Canuck fan, nothing stranger than that :o)

as far as immigration goes

"All implementation is expected to be completed by mid-October 1999."

Info2000: Federal Government Progress on Year 2000 as of July 1999

Victoria needs a team actually but we can't even build a decent rink here.

Newlywed and nearly dead. Damm good thing the area is beautiful.

-- Brian (imager@home.com), November 19, 1999.