Prime Minister Stephen Harper pledged Saturday that Canada will not repeat the mistakes of history when managing its way through the current economic crisis.
In a speech Harper made in Lima, Peru, at the Asia Pacific Economic Co-operation summit, he said the crisis was "unlike and potentially as dangerous as anything we have faced since 1929" - the year that saw the start of the Great Depression.
Harper's comments corresponded with a decision by the assembled leaders to put off creating any new trade barriers for 12 months in the hopes of stimulating the world's shaky economy.
"Removing protectionist barriers and easing trade restrictions was a big factor in ushering in this extraordinary era," said Harper, referring to recent years of unparalleled economic growth. "We cannot allow ourselves to turn back."
Harper said the Great Depression was prolonged by poor managerial choices on the part of governments that included shrinking the existing banking systems, raising interest rates and building barriers in a failed attempt to save jobs.
These are the kinds of practices that need to be avoided in the present economic climate, he said, and Harper also urged other countries to take a look at their pasts when making decisions on how to move forward.
"As we enter a period we have not seen in the memory of virtually anyone alive today, we must be good students of history -- and not just recent history," he said.
Harper's comments fell in line with a joint statement from APEC leaders which called for freer trade as a way to solve the global financial mess.
The statement from APEC members, who represent the majority of the world's economy, takes a previously-issued G20 statement a step further by imposing the year-long moratorium of trade tarrifs.
The prime minister said Canada would use an approach he described as being made up of "sound foundations and open doors" to navigate its way through the current economic problems.
Harper said Canada will keep its doors open to trade and resist any unnecessary forms of protectionism, while still providing financial stimulus to get the economy back on track.
"We want to ensure that these actions - which are essential in the short-term - do not undermine the sound foundations of long-term economic growth," he said.
"On the financial side, we've moved quickly on reforms to financial regulation ... and we will be acting similarly on the work plan that accompanied the G20 declaration last week."
Prior to his address, Harper met with government officials from New Zealand and Peru, as well as with U.S. President George Bush.
At that meeting, Bush said it is more important than ever that the U.S. and Canada maintain strong ties when working through the economic crisis.
"We've accomplished a lot together," Bush said. "Relations between the United States and Canada are strong, sometimes complicated, but nevertheless based on common values."
Bush and Harper also talked about the upcoming inauguration of president-elect Barack Obama - an event Bush jokingly called a case of "forced retirement."
On Friday, Canada signed a free-trade agreement with Colombia that will make it easier for the two countries to do business with one another.
Federal officials said the Canada-Colombia deal will provide greater market access for Canadian exporters, particularly for products such as wheat, barley, paper and heavy equipment. The government also said the agreement will provide stability for businesses involved in both the manufacturing and financial services.
Foreign Affairs Minister Lawrence Cannon and International Trade Minister Stockwell Day also signed three other deals with their Colombian counterparts on labour, the environment and double taxation.
Canada and Colombia trade $1.14 billion worth of goods and services each year.
With files from The Associated Press
