I've read several reports in the Phoenix area over the last year that suggest that Canadians are responsible for anywhere from 10% to 20% of all real estate purchases in the area.
This has been an ideal time for Canadians to purchase American "second homes": (1) the Canadian dollar has never been stronger than at any time in the past 30 years; and (2) real estate prices are at very low prices. But the bailout may rescue the real estate market, bringing prices up, making purchases more expensive for Canadians. Gosh, I wonder whether this is a violation in any way of NAFTA? I'm only half joking when I say that because I know there are oodles of provisions in it and other trade agreements between the two countries regarding "unfair" subsidies. Would this be an unfair subsidy and, if so, is it prohibited under NAFTA?
