LONDON, Ont. — Finance Minister Jim Flaherty says the "tragic" consequences of Americans losing their homes in the U.S. housing market meltdown won't befall Canadian homeowners.

Speaking to students at the University of Western Ontario in London, Flaherty says Canadians can afford the mortgages they have and adds the domestic housing market is stable.

Despite criticism at the English-language debate that the Conservatives aren't doing enough to avert a financial crisis at home, Flaherty says no sudden changes are needed.

The finance minister defended what opposition leaders say is a do-nothing attitude on the economy, saying stability and steadiness will take Canada through the financial crisis.

He insists that while American home owners are in what he calls a "tragic situation," Canada is faring much better.

But he also supports a proposed U.S. bailout, saying it's necessary following that country's inadequate fiscal steps of recent years.