The new US administration under President Barack Obama faces growing long-term government debt as well as looming deficits in America's major social programs. The current financial crisis and economic downturn come at a time when national debt has risen from 36% of GDP in 2000 to 48% of GDP in 2007. In foreign policy, the new president faces a rising threat in a nuclear Iran, the questions of how to consolidate Iraqi stability while drawing down troops, and whether and how to expand the war against radical Islamists from Afghanistan to Pakistan.

As the biggest trading partner and energy supplier to the United States,as well as one of its closest political and military allies, no country is more susceptible to policy changes in the United States than Canada and no country has a higher stake in seeking to influence these choices than Canada.

At the same time, no Canadian government can proceed far in influencing or co-ordinating with the United States on important economic or foreign policies without public understanding of why it is in Canada's national interest.

The aim of this publication is to identify Canadian interests at stake in future American choices and what the main proposals by the new president will mean for Canada. The purpose is to inform the Canadian public about what strategies in dealing with the new administration and Congress will maximize Canadian prosperity and security.