Dictatorship in Newfoundland
January 18, 2010 7:44 PM Subscribe
posted by shothotbot (46 comments total)
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In 1933 Newfoundland was a responsible, that is self governing, dominion on a par with Canada and Australia. To avoid a debt default the government suspended its constitution in favor of rule from the colonial office in London. After the second world war and a close referendum the the governments of the United Kingdom and Canada negotiated Newfoundland's ascension to Canada. The story boils down to a people losing their sovereignty due to a debt crisis.
The Newfoundland Royal Commission report of 1933, the basis for the article and the actions it recounts is here
. (The report is seeded with great-if-too-small pictures of Newfoundland from the 1930s and cool maps).
Obligatory Wikipedia Link
All currency terms are in Canadian Dollars, adapted as the currency of Newfoundland in 1895. The Canadian dollar was at rough parity to the US dollar over this period.
Deep in tl;dr territory the article refers cryptically to editorials by the late Rudiger Dornbusch, which extracts seem to have gotten lost in bringing the article online. The editorial is almost certainly one of these 1
(pdf) in which he suggested in 2002 that a sort of foreign currency commission be imported to run the central bank for Argentina for five years or so.
Dramatic title because: Canadian economic history=not going to be the most widely read post ever.