Oh Jimbo, Canada should and definitely can increase spending to the REAL NATO average of 1.46% of GNP. That would allow us to militarize the Coast Guard ( whether they like it or not) follow the older NATO recommendation to have 24 Frigates/Destroyers, at least three AOR's and eight submarines. Canada has the longest Coast line in the world and even the average very ignorant Canadian citizen can wrap their brain around patrolling Canadian waters. Patrolling Canadian sky's is another simply understood proposition. Time and space filled with capability amounts to sesame street math. What is lacking is the will especially when defence discussions in Canada are undermined by a childish zero sum game like the argument in your post. Perhaps you have had experience in building government funded Empires in the past as most empire builders in Canada always point to defence spending to build them. 

The Yanks are NOT going to cover the bill anymore because they can't. Sesame street Math.