On Wed, 30 Dec 2015 22:24:56 -0500, wrote:

On Wed, 30 Dec 2015 13:51:21 -0500, Ed Huntress
wrote:


I don't doubt that, Clare, but we're mixing up two different periods.
The Can./US Auto Pact was a deal to get volume up and costs down in
Canada, so cars could be exported profitably to the US. It was
declared illegal by the WTO in 2001. As far as I know, production cost
for complete cars was never lower from Canada.

What happened after that was pretty much a straight cost and market
decision, based on the free trade rules in NAFTA.

Low price doesn't come into the equation - with
health care and other benefits, and the highly unionized workforce,
cars can be assembled for MUCH less in either Detroit, Flint, or
Alabama.

Again, be careful about which period you're talking about. Since the
WTO action, the Canadian dollar gained twice and fell twice against
the US dollar. When the C$ versus US$ was low, we did a lot of volume
in parts -- even after the outlawing of the Auto Pact.

How low does the Looney have to go? We are down around seventy two
cents right now.

Just a little bit more and Lee Valley Tools will be buyable again.
But I'm retiring, and won't be buying many more tools.


Only a few short periods where we were above parity - and never very
much. OK, it was $2.78 in 1864, Sinse then I think it hit $1.08 or
$1.10 for a few hours or days in Nov 2007 , but also went down to
$61.9 in 2002,

That's when I liked it best, as a buyer of Canadian tools. It didn't
do you much good though, did it? Condolences.

--
Creativity is allowing yourself to make mistakes.
Art is knowing which ones to keep.
-- Scott Adams, 'The Dilbert Principle'