First - Congratulations on the upcoming baby!Second - why are you so confident you will not have jealousy issues or aggression issues. My warning signal was that you mentioned you had MAJOR dominance issues but that you got through that. However you mentioned she still tried to TEST the waters.
You are wise to think of what could be issues later down the road. Don't be fooled into thinking everything will work itself out when the baby comes. I do not want to frighten you in any way but want you to be aware of one major issue that I can possible see happening.
Ask numerous people (even some from this board) what happens when they add another dog or perhaps a third dog. Then you have the territiorial issue of who is the alpha to deal with. There have been posts of blood shed and aggression to the point of having to rehome a dog for it's safety.
Things may be fine with the aggression between you and your wife and your dog but add a baby into the mix and you could have problems. I am not saying it will happen. I am only saying you are wise to think about it before hand.
Socialization with the dog in environments with other dogs or children is a great idea. When the baby comes there will be an adjustment period. Most of your wifes waking time will be tending to the baby. If you make the dog a part of it from the get go then you should be ok. If you make the dog lay down and never get to be a part of the new routine then the jealousy might show its ugly head and you can end up with a dog who resents the baby coming into your world.
I guess I am just trying to play devils advocate and get you to think about these things in a concrete way and not to just assume these MAJOR issues are completely behind you. I applaud you for the great work you have done so far. Just be prepared to do more of it!
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