Elon Musk made headlines earlier this year with a blunt prediction: Without a productivity miracle from artificial intelligence (AI) and robotics, America is headed for economic ruin. “We are 1,000% going to go bankrupt and fail as a country,” he said during a Feb. 5 appearance on the Dwarkesh Podcast (1).
While Musk’s feedback was for the state of American finances, the warning is just as applicable to Canadians and Canadian investors.
And there are plenty of reasons to pay attention. Canada’s federal debt crested at just over $1,266.5 billion (2) at the end of fiscal year 2024-25. According to the Montreal Economic Institute (3), the Carney…