Now at 93 cents and rising, with economists predicting it may go to more than 95 cents -- do I hear par, anyone? -- shopping trips to Grand Forks and Minneapolis are a lot of fun, but manufacturers are hurting. At 62 cents, Canadian manufacturers had a very significant cost advantage in producing products for the American market. At 93 cents, there's very little advantage. Canadian manufacturers may even be at a slight disadvantage.

It's as if the high dollar is a penance we have to pay for a strong economy, and there's no question that the economy is strong. It's the way in which it's strong that might be cause for concern for the country, and particularly for Manitoba.

Manitoba has a very diverse economy with a broad manufacturing base. Electricity costs are low. Wages are lower than in many other provinces and housing and other costs are competitive. It's what the NDP government likes to call the "Manitoba advantage." Exports to the United States, though, are critical and the efficiency of manufacturing in Manitoba is hampered by the lowest rate of capital investment in the country.