How and why does the European crisis and American debt affect Canada?

It will increase borrowing costs which means loans will be hard to get, even mortgages and credit cards will be affected. Insurance costs will rise because interest rates will rise to reflect loans being hard to get. This will slow down the economy even more than it is now. As a result, there will be less demand for goods and services. If people don't buy stuff at Walmart, China doesn't get orders for things which contain copper like electrical goods (for example) so copper mining and smelting slows down, Inco lays people off in Sudbury, people in Sudbury buy less, Walmart lays people off, the cycle repeats.|||I am sure it is not helping Canada.|||It is a global problem. I'm off before I get started again-----