The Second World War and its aftermath marked a high point in Canadian-American relations. Founded on a common poetical objective—the defeat of the Axis powers—the two countries adopted strikingly similar and often identical means to achieve it. Mobilization of money, industry, and manpower produced a sense of common sacrifice for a common purpose, compressing incomes by raising taxes. Canada was that rare ally that did not need American loans and paid its way through war production. The Canadian military was not insignificant either. Canada asked relatively little of the senior allied leaders, Roosevelt and Churchill, which resulted in enhanced Canadian standing. The wartime domestic regime—high taxes, compressed incomes and generous veterans’ benefits continued in many respects into the post-war period. Canada more definitely resembled the United States in everything from the treatment of veterans through ubiquitous trade union power through anti-communism.
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