Us and them

Are we down for the count?

Doomer sentiment bubbles up daily in dank places like Reddit and the comment section of this pathetic blog. Kiddos without the ability to buy a $2 million house in Leaside or Kitsilano like to say their gen is screwed, everything is going to dogcrap and Canada is a failed state. I mean, look at hockey. Jeez.

And, right on cue, the latest economic stats have rolled in.

Are we really pooched?

Growth in the last three months of 2025 lacked ambition. On the surface, it looked like a prelude to recession. And for the entire year the economy managed to eke out only a 1.7% advance. (But that’s after inflation, so actual growth was just over 4% – nottasobad.)

Economists are saying today these new numbers are nothing to lose sleep over since most of the setback came from a drop in business inventories. Given Trump, tariffs, the trade war and Auston Matthews, we’re actually holding up okay. Remember that a year after Trump took office and started punishing Canada we were supposed to be either a basket case or the 51st state. Neither has happened. Never will.

“We look for GDP growth this year to come in just a bit better than 1%, although perhaps less choppy than 2025’s see-saw pattern,” says BMO’s Doug Porter – who adds this might cause interest rates to fall later in the year. “Such mild growth does keep the door slightly ajar to the possibility of BoC rate cuts, but we’re not there quite yet.”

Over at CIBC, economist Andrew Grtanmham things rates will in fact stay stuck.

“Some of the underlying detail in today’s report was admittedly stronger than the headline figure,” he says, which “makes today’s data good enough for policymakers to maintain their current on-hold stance.”

Okay. No 911. The economy is resting comfortably and breathing on its own. If we make it to the end of 2026 (and past the US elections – if Trump doesn’t decare a national emergency first) things should become materially better. Maybe folks will even start buying houses again.

But what of this viral argument that our Dominion is a mess? Like Pierre Poilievre keeps saying – “Canada is broken”. Like Alberta’s Danielle Smith (who’s playing footsie with separatists) claiming the country’s in a state of “national economic self-sabotage”. Like right-wing debunked academic and media darling Jordan Peterson who says, “the richest province in Canada is poorer than the poorest state in the United States”.

Is this true?

Of course not. Canada has a GDP of $2.3 trillion – the 10th largest economy in the world. That’s a singular achievement for a country that ranks 38th in terms of population.

But what of this comparison with Alabama that Canada-haters have been making? That state is supposed to be a dump, after all, with a GDP of just $340 billion (or 0.34 trillion) and a population barely bigger than Alberta’s. But AB has an economy which is $474 billion in size – or about 40% higher. That seems definitive.

Burt there’s a lot more.

People in Alabama must have private health care insurance or pay out of pocket. Albertans get it for free. The life expectancy in Alabama is 74. Albertans live about a decade longer. The poverty rate in Alabama is 15.2%. In Alberta it’s 8.9%. In Alberta the homicide rate is 2 per 100,000 people. In Alabama, of every hundred thousand citizens, eight to ten can expect to be killed annually.

And what of real estate?

The median home value in Alabama is $315,000 (C$). In Alberta that number is $499,000. Mortgages in Canada are available at 3.5%. In Alabama they hover around 6%.

In Alabama Republicans control every facet of state governance. They hold the offices of Governor, Secretary of State, and Attorney General as well as dominating the legislature. Alberta has healthy, competitive parties. Abortion is completely illegal in Alabama. In Alberta it’s publicly funded. In Alabama use of personal pronouns is dictated by state law and it’s a felony for a doctor to provide gender therapy care. In Alberta, just recently, Smith’s government has moved to control pronouns in schools while puberty blockers and hormone therapy for the purpose of gender reassignment have been prohibited.

Nothing is black and white. But if you worry about public bathrooms a lot and want the Ten Commandents on display in every school, you know where to move.

If you want freedom, dignity and promise, look around.

About the picture: “Meet Reba,” says Heather. “She is a border collie and lives on a ranch in the Okanagan Valley.  She has the sweetest personality and is very smart.  She loves to ride on the side by side and makes her rounds with her owner getting the chores done.   Nothing distracts her when she herds sheep.  She is so focused.”

To be in touch or send a picture of your beast, email to ‘garth@garth.ca’.

Source: https://www.greaterfool.ca/2026/02/27/us-and-them/