Merger of the Century

No two nations in the world are as integrated, economically and socially, as are the United States and Canada. We share geography, values and the largest unprotected border in the world. Regardless of this close friendship, our two countries are on a slow-motion collision course-with each other and with the rest of the world. While we wrestle with internal political gridlock and fiscal challenges and clash over border problems, the economies of the larger world change and flourish. Emerging economies sailed through the meltdown of 2008. The International Monetary Fund forecasts that by 2018, China's economy will be bigger than that of the United States; when combined with India, Japan and the four Asian Tigers-South Korea, Taiwan, Singapore and Hong Kong-China's economy will be bigger than that of the G8 (minus Japan).

Rather than continuing on this road to mutual decline, our two nations should chart a new course. Bestselling author Diane Francis proposes a simple and obvious solution: What if the United States and Canada merged into one country? The most audacious initiative since the Louisiana Purchase would solve the biggest problems each country expects to face: the U.S.'s national security threats and declining living standards; and Canada's difficulty controlling and developing its huge land mass stemming from a lack of capital, workers, technology and military might. Merger of the Century builds both a strong political argument and a compelling business case, treating our two countries not only as sovereign entities but as merging companies.

We stand on the cusp of a new world order. Together, by marshalling resources and combining efforts, Canada and America have a greater chance of succeeding. As separate nations, the future is in much greater doubt indeed.

Diane Francis is the author of nine books, including the #1 bestsellers, Who Owns Canada Now and Bre-X: The Inside Story. An award-winning journalist, broadcaster and entrepreneur, she has been a columnist for Maclean's magazine, The New York Sun and the Financial Post, and is currently Editor at Large at the National Post and a blogger for The Huffington Post. Francis was a Visiting Fellow at Harvard University's Joan Shorenstein Center on the Press, Politics and Public Policy and a Media Fellow and participant at the World Economic Forum for 20 years. She is currently Distinguished Professor at Ryerson University's Ted Rogers School of Management. A native of Chicago, she divides her time between Toronto and New York City.