I think the more important question is not whether Canada is isolationist, but whether Canada suffers in any way. Are they under imminent threat of being attacked or invaded? Does, whatever their degree of isolationism, contribute to poor foreign relations? Are they less free a society?
It doesn't matter if Canada is isolationist, or more isolationist than others. The only thing that matters is whether Canada is succeeding in providing peace and prosperity for its people in a free society. And as it turns out, the answer is "yes" it does.
Mainly because they have the US military umbrella protecting them.
But they are hardly immune to terrorism. The perpetrators of the Y2K plot entered from Canada. And Canada is not a model of free speech. As seen here:
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