Hunter S Thompson called it The American Century: unsurpassed industrialization in the first half of the 20th century combined with rapid societal adoption of the new industrial regime bred a bolder, richer American people that led their country to prosperity through the close of the millennium.

No matter the long-term outcome of the American empire, there is little doubt that its golden years have passed. Their oil’s almost gone, they’re getting attacked on their own land by an enemy they can’t even identify and they’re despised by most of the world.

It took an eternity for the US to reopen its borders to our beef, and this softwood-lumber issue is making some people question American motives: in their country’s time of decline, is the Bush administration simply trying to keep us in line? If so, should we act on it? Can we?

We ignore one of Canada’s most potentially profitable resources. Do you know how much marijuana there is in this country? (Maybe $8.5 billion worth annually, by one estimate.) Do you have any idea the windfalls that the government would reap if it regulated the industry and charged even a one-per-cent tax? There are a lot of hospital beds at stake here.

Stephen Harper’s announcement this week that pot won’t be legalized after all is a huge financial error. Forget the push to legalize pot based on its relative harmlessness. Think of it in terms of a taxable resource. That shouldn’t be so far off—we’ve already got cigarettes, liquor and fast food.

Canada is stunting its growth by prohibiting pot. Inject marijuana-related income into our GDP and we’ll not only be richer, we’ll gain respect.

Regulating marijuana is a point of national pride. The industry already exists and will continue to exist whether the government dips in or not. In addition to the prosperity a pot market would bring, squabbles over incidentals like softwood lumber and beef would fade in view of Canada’s new mega-industry.

China is the current frontrunner for the 21st century’s most influential nation. With oilsands revenues complemented by our established democracy and rule of law, Canada won’t be far behind.

We’re not even playing our best cards yet.