With all the talk (mostly from President Trump) about abandoning existing trade relationships like NAFTA, it’s worth looking at just how closely related the US and Canadian economies are (below the fold, because the graphic is yuuuuuge):
May 7, 2017
May 6, 2017
Supreme Court to review Prohibition-era inter-provincial alcohol regulations
Alan White reports that the Supreme Court of Canada has agreed to hearing an appeal of a New Brunswick court decision:
The Supreme Court of Canada has agreed to hear an appeal of a New Brunswick court ruling that declared it unconstitutional to limit the amount of alcohol someone can bring into the province.
At the centre of the case is Gerard Comeau of Tracadie, N.B. He was acquitted by a provincial court judge of exceeding provincial importation limits on beer and liquor that can be brought into New Brunswick.
Comeau was charged in 2012. RCMP had stopped him after he entered New Brunswick from Quebec with 14 cases of beer and three bottles of liquor. New Brunswick’s Liquor Control Act sets a personal importation limit of 12 pints of beer or one bottle of alcohol or wine.
Provincial court Judge Ronald LeBlanc ruled the liquor restriction was unconstitutional because Sec. 121 of the 1867 Constitution states products from any province “shall … be admitted free into each of the other provinces.”
Lawyer Ian Blue, who acted as part of Comeau’s defence team on behalf of the Canadian Constitution Foundation, says the case stands to have major implications.
Blue said the federal and provincial governments are currently discussing trade matters pertaining to NAFTA, milk marketing boards, softwood lumber tariffs, but “they’re not looking at this Comeau case.”
“This Comeau case, with the Supreme Court decision, could have more profound effects on interprovincial trade barriers than President Trump could,” said Blue. “That’s how important this case is.”
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May 5, 2017
The Battle of Arleux – Robert Nivelle Gets Fired I THE GREAT WAR Week 145
Published on 4 May 2017
The Battle of Arras continued in smaller scale attacks this week 100 years ago. Fighting focused on Arleux and the Scarpe river. Neither of these battles was able to repeat the success of the early Arras offensive. The casualties of the Nivelle Offensive were now costing Robert Nivelle his job as he was still blaming everyone but himself.
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May 3, 2017
Reforming Canada’s parliament
In the National Post, Andrew Coyne pours scorn on the “reforms” being put forward by Justin Trudeau’s government and suggests some alternatives that might help make the institution more democratic and less like the Prime Minister’s personal court, by scaling back the power of the PM and other party leaders in the house:
What would a package of reforms look like that was genuinely intended to make the government more accountable to Parliament? It would start, reasonably enough, by reducing the powers of the government over Parliament. Rather than allow government to decide when debate had gone on long enough, for example, it would assign that power to the Speaker — as the Speaker, in the best of the government’s current proposals, would be empowered to divide omnibus bills into separate parts, to be voted on separately. (Perhaps it will be applied to the current such exercise, the budget bill.)
Rather than give the government sole power to decide when to prorogue the House, it would make such decisions subject to a vote of the Commons, with a supermajority required to ensure bipartisan support. (The current proposal is merely that the government should be required to declare its reasons.) A similar constraint might be imposed on its power to dissolve the House. We might also place limits on the confidence convention, under which the government can designate any bill it likes as a confidence measure — the gun at the head by which governments ultimately ensure compliance.
I say government, but of course I mean the prime minister, whose control over any government is near absolute. So a genuine reform plan would also reduce some of his personal prerogatives, beginning with the number and range of offices that are his sole purview to appoint, to be doled out as rewards for obedience: notably, it would halve the size of the cabinet, and with it the number of parliamentary secretaries assigned to each minister.
It would likewise seek to reduce the powers of party leaders over ordinary MPs: by restoring the convention that leaders are elected by caucus, and removable by them; by eliminating the power of the leader (or “designate”) to veto the nominations of party candidates, in favour perhaps of a vote of the caucus or riding association presidents. MPs thus liberated, it would be possible to have more genuinely free votes — on everything. (There would still be confidence votes, of course, but MPs are capable of deciding for themselves whether a matter is worth the fall of the government; MPs who go back on a platform promise can likewise answer to their constituents, not the party whip.)
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Softwood lumber, again
Last week, Megan McArdle provided a quick look at the son of the bride of the revenge of the softwood lumber dispute monster:
According to American lumber producers, this is because of the nefarious subsidies the Canadian government has granted to its timber producers. In America, most softwood timbering takes place on private land, and the lumber is priced to recover the full cost of owning and maintaining many acres of trees. In Canada, forest resources tend to be owned by the government, which sets “stumpage fees” (the cost for cutting down a tree, which used to be assessed per stump and is now usually assessed by board feet or cubic meters [PDF]).
The American producers complain that these fees are set too low, providing an unfair subsidy for Canadian timber, especially because British Columbia (which has a lot of timberland) bans the export of Canadian logs, so that American lumber mills are unable to get in on this sweet, sweet deal.
For variety, American producers occasionally also complain that Canada is “dumping” (basically meaning that a country is selling goods in a foreign market below the price at home. Since this is — except in rare cases such as pharmaceuticals — a stupid business practice, accusations of dumping tend to exceed actual instances by a healthy margin.)
[…]
The history of litigation on this is long, rich and arcane. Since the 1980s, the U.S. and Canada have been locked in a cycle whereby the U.S. complains that Canadian softwood lumber is too darn cheap, complaints are filed with various entities, and eventually both sides decide it’s easier to come to some sort of settlement rather than subject everyone to another endless hearing on the minutiae of the lumber industry. Then an agreement expires, American lumber producers say “Now’s our chance, guys! We’re going over the top!” and the magical cycle of birth and death, conflict and resolution, begins once again in the forest lands.
When trade bodies get around to ruling, those rulings are often mixed: “Yeah, okay, maybe there’s some subsidy in there somewhere, but you Americans are wildly overreacting, so cool it with the huge tariffs.” Which was basically my take on the dispute in 2004, when I last covered it. Research does not reveal any good reason to revise that view, especially because Canadian stumpage has evolved somewhat over the years. British Columbia now uses auctions [PDF] in its coastal forest areas, which should tend to drive the price of stumpage there to par with the world market.
We should also note that any subsidy, however bad for American softwood lumber producers, is actually good for the vast majority of Americans who do not work in forestry. This morning, people were throwing wild numbers around about how much a tariff would increase the price of a house or a box spring. I’d take those numbers with a hefty dose of salt, but undoubtedly, they will drive the price of softwood lumber products up somewhat, which means less money in the pocket of you, The Modern American Consumer. So even if American timber producers were completely right and their tariff were warranted, the American consumer would suffer.
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May 1, 2017
The Canadian Pacific Railway – 1920s Across Canada by Train, All ABOARD!
Published on 6 Apr 2017
Historical footage of the places and highlights of one of the greatest train journeys in the world, a trip across Canada from sea to sea on the Trans-Canada Limited, Canada’s fastest transcontinental train.
The Trans-Canada Limited was considered as one of the world’s finest trains in its time. The concept of this train was that of a de luxe ‘Hotel-on-Wheels.’ It was the world’s longest-distance all-first-class sleeper train, with the fastest time across the North American continent from one ocean to the other.
The Trans-Canada Limited was operated by the Canadian Pacific Railway. It was inaugurated in 1919, just after World War I, and lasted until 1930.
As a result of the economic depression following the great Stock Market Crash of October 1929, it was cancelled in 1931. As with any other CPR passenger train, the equipment was the very best available, yet in June of 1929 the whole train was completely re-outfitted with 10 brand new sets of cars – each set costing in excess of one million dollars.
This early travelogue documents travel across Canada by rail, introducing major cities and places of interest. Traveling over 3,600 miles from the Atlantic Ocean to the Pacific takes five days to by the Canadian Pacific Railway.
The journey starts in Saint John, New Brunswick on the Bay of Fundy. Highlights of the trip are: Algonquin Hotel; salmon fishing. Quebec City is the oldest city in the North America; The Chateau Frontenac Hotel towering over the St Lawrence.
Montreal is Canadian Pacific headquarters and Trans-Canada Limited. Ottawa is the capital of the nation. Toronto is the Queen City. Niagara Falls is connected to the French River and Georgian Bay. [edit: no, unless you include the Niagara River, Lake Erie, the Detroit River, Lake St. Clair, the St. Clair River, and Lake Huron] Canadian Pacific steamer carries its passengers across the Great Lakes.
Winnipeg to the prairies and across the prairies through Regina and Saskatoon. Arrival at Calgary and Edmonton. Banff and Lake Louise are located in the Canadian Rockies. Through the Rockies, the train ends in Vancouver where English Bay and Stanley Park are located. The city of Victoria gives an image of England on the Pacific.
Source footage: The National Archives of Canada – https://www.canada.ca/en/library-archives.html
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April 27, 2017
“Richard Florida has a new book [that] advises cities on what to do about problems that result from advice he gave them in his previous books”
Chris Selley hits this one out of the ballpark:
Gadabout urbanist Richard Florida has a new book: The New Urban Crisis. It advises cities on what to do about problems that result from advice he gave them in his previous books, notably The Rise of the Creative Class. Stuff your downtown core full of creative types and you shall prosper, the University of Toronto professor advised, and many cities listened. Now some face a “crisis of their own success,” he told a Toronto breakfast crowd at the Urban Land Institute’s Electric Cities Symposium: the blue-collar types who make the creative class’s artisanal baked goods and mind their children have been “pushed” ever further into the suburbs. Economic and geographic inequality results, and Rob Ford/Donald Trump/Brexit-style resentment can build.
Florida’s many critics have long warned this was a flaw in his vision. But now Florida says he finds it “terrifying,” so he’s off on another book tour.
If I sound a bit peevish, it’s because I find him rather insufferable. Critics have poked holes in much of his research, but much more of it strikes me as overly complex analysis and measurement of fairly basic, intuitive phenomena that are common to dynamic and not-so-dynamic cities. While the remarkable urban revivals in recent decades in New York and Pittsburgh, and nascent ones in Detroit and Newark, are all very interesting, I’ve never understood what they have to teach us about Canadian cities. Their cores never “hollowed out” in the first place, necessitating wholesale renewal. When I listen to Florida talk, I hear Lyle Lanley trying to sell Springfield a monorail.
In any event, his prescriptions for the GTA are not exactly visionary: more transit, more affordable housing, densification over NIMBYism and more decision-making autonomy for cities. “The key today is shifting power from provinces to cities,” Florida writes in a Canadian-focused paper linked to the new book. That made it all the more galling to watch his post-speech “fireside chat” with Ontario Premier Kathleen Wynne, whose tires he pumped well beyond their recommended PSI.
“You know this. It’s in your blood,” Florida gushed of her urbanist bona fides.
Well, let’s see. Wynne can certainly claim to have committed many billions in taxpayer money to transit projects. But if there were awards for NIMBYism, Wynne would have one for the nine-figure cancellation of two unpopular gas-fired power plants, during an election campaign of which she was co-chair; and perhaps another for her party’s shameless politicking on transit in Scarborough.
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QotD: Canada the (self-imagined) “moral superpower” … the military midget
… Canada has no influence whatever in the world. It is unique in this condition among G7 countries, because it has a monstrously inadequate defence capability and takes no serious initiatives in the Western alliance or in international organizations.
Canadians seem to imagine that influence can be had in distant corners of the world just by being virtuous and altruistic and disinterested. That is not how international relations work. The powers that have the money and the applicable military strength have the influence, although those elements may be reinforced if a country or its leader is able to espouse a noble or popular cause with great persuasiveness. This last was the case in the Second World War, where Winston Churchill, Franklin D. Roosevelt, Charles de Gaulle and Adolf Hitler were all, in their different ways, inspiring public speakers who could whip up the enthusiasm of their peoples. Churchill and Roosevelt stirred the masses of the whole world who loved and sought freedom. There are no world leaders now with any appreciable ability to stir world opinion, and influence in different theatres is measured exclusively in military and economic strength, unless there is a colossal moral imbalance between contending parties. Even where such a moral imbalance exists, as in the contest between civilized and terrorism-supporting countries, the advantage is not easily asserted.
[…]
But we are almost entirely dependent on the United States for our own defence. When President Roosevelt said at Queen’s University in Kingston in 1938 that the U.S. would protect Canada from foreign invasion, Mackenzie King accepted the responsibility of assuring that invaders could not reach the U.S. through Canada. Since the Mulroney era, we have just been freeloaders. If we want to be taken seriously, we have to make a difference in the Western alliance, which the Trump administration has set out to revitalize. As I have written here before, a defence build-up: high-tech, increased numbers, and adult education, is a win-double, an added cubit to our national stature influence (and pride), and the best possible form of public-sector economic stimulus. It is frustrating that successive governments of both major parties have not seen these obvious truths. Strength, not amiable piety, creates national influence.
Conrad Black, “Being nice gets Canada liked. But we won’t be respected until we pull our weight”, National Post, 2017-04-14.
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April 24, 2017
A new anti-censorship tool – Slitheen
The Register‘s Thomas Claburn on a new tool being developed in Canada to aid internet users in countries with hard censorship access material their governments don’t want them to see:
Computer boffins in Canada are working on anti-censorship software called Slitheen that disguises disallowed web content as government-sanctioned pablum. They intend for it to be used in countries where network connections get scrutinized for forbidden thought.
Slitheen – named after Doctor Who aliens capable of mimicking humans to avoid detection – could thus make reading the Universal Declaration of Human Rights look like a lengthy refresher course in North Korean juche ideology or a politically acceptable celebration of cats.
In a presentation last October, Cecylia Bocovich, a University of Waterloo PhD student developing the technology in conjunction with computer science professor Ian Goldberg, said that governments in countries such as China, Iran, and Pakistan have used a variety of techniques to censor internet access, including filtering by IP address, filtering by hostname, protocol-specific throttling, URL keyword filtering, active probing, and application layer deep packet inspection.
In an email to The Register, Goldberg said the software is based on the concept of decoy routing.
“The basic idea behind decoy routing is that the (censored) user’s computer makes an Internet connection to some non-censored (‘overt’) site, such as a site with cute cat videos,” said Goldberg. “However, it embeds a hidden cryptographic tag in its connection, which only a particular Internet router somewhere on the path between the user and the cute cat site can see. That router, seeing the tag, then redirects the traffic to a censored (‘covert’) site, say Wikipedia.”
As Bocovich and Goldberg explain in a paper [PDF] they co-authored, these tags make the web session’s master TLS secret available to a cooperating ISP. This allows the ISP to conduct what amounts to a friendly man-in-the-middle attack by having a network relay it controls open a proxy connection to the censored website.
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April 20, 2017
Without our sacred supply management, it’d be “Human sacrifice! Dogs and cats living together! Mass hysteria!”
Colby Cosh saddles up old Rocinante and has a tilt at the ludicrous supply management regime in milk:
You remember how Chobani, a hipster yogurt business based in New York state, got a temporary permit to sell the product in Ontario and won over customers. You know how it tried to meet our supply-managed dairy system halfway by making plans for a factory in Kingston. You know how milk processors waged berserker war in court to prevent the permit from being renewed, and closed ranks to deny the company a supply of Canadian milk.
And, most of all, you know how the product disappeared from our shelves, how Canadians still seek it out on cross-border trips, and how slow and confused the dairy cartel was about meeting the new demand for extra-heavy yogurt. None of this is going to be too easy to explain to a four-year-old.
I hasten to add that I am not seriously playing the “Won’t someone think of the children” card so beloved of politicians, newspaper columnists, and other shameless scum. The four-year-old will get over it. She’ll grow up in a free-trade Canada in which she does not have to accept a world of consumer second-bests, simulacra, and make-dos, except possibly in the dairy section. She can have no personal memory of Seventies Canada — never know what it is like to switch from Eaton’s to The Bay just to buy slightly different versions of the same low-quality, unfashionable crap. The question I grew up with was “Why does Canada have seemingly permanent poorer living standards than the U.S.?”; now it is just “Why are the cheese sections in our grocery stores so pathetic?”
So, Mad Max to the rescue? Not if champion protectionist Steven Blaney can stop him:
… supply management froze the world of Canadian dairying at a perfect moment for Quebec, and so the system has become a sacred cow made of other, literal cows. Because economists and intellectuals know that supply management is a transfer of wealth from consumers of all classes to a few thousand affluent farmers, the beneficiaries reinvest a great deal of the profit in hapless, defensive public-relations efforts that only tend to make us loathe them more.
They have even found a political champion in Steven Blaney, the cadaverous oddball from the Eastern Townships who is in the Conservative leadership race to play milk spoiler to fellow Quebecer Maxime Bernier. Bernier wants to retire supply management by buying farmers out of their quotas with a national tax on dairy, lasting for a fixed period.
This is a generous approach to free trade in dairy: it is a buyout of unearned entitlements. Producers who want to leave the industry would do so with an enormous grubstake — the kind of which workers laid off from regular jobs can only dream. Those who hang in there would get to keep something like the present value of their annulled production quotas as they face new careers in an honest-to-God marketplace (which is what some of them very much wish to do).
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April 17, 2017
QotD: The dubious “value add” of the LCBO
The liquor board’s cocktail recipe of the month, offered on its website, is for “gin and lemonade,” which you make with a shot of gin and some lemonade. The gin is cherry, so there’s that. Its three recommended beers of the month are themed for the hockey playoffs. They are — I am not kidding — Molson Canadian in a bottle, Molson Canadian in a can, and Molson Canadian in a larger can. The value the LCBO’s adding that a private retailer couldn’t is not obvious.
David Reevely, “LCBO union uses government’s rhetoric against it in brewing labour battle”, National Post, 2017-04-06.
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April 15, 2017
Federal marijuana bill “is about as good a framework as we had any right to expect”
Chris Selley looks at the Trudeau government’s marijuana legalization framework, as revealed on Thursday:
The fact is, though, this is about as good a framework as we had any right to expect from the Canadian government. The feds will insist upon a safe and controlled supply chain, with licenses and inspections; you may keep four plants at home — an indulgence I would have bet against; promotional materials will be severely restricted in much the same way as for tobacco; the minimum age will be 18; and the maximum limit on the amount of dried flower you can carry around in public will be 30 grams — same as it is in Washington state and Colorado.
Retail and all the questions that go with it are the provinces’ problem, just as they should be. (In theory, a buzz-kill province could set the legal age at 105 and the public possession limit at zero, though the government says mail order would be available in provinces that don’t have a retail sector.)
The feds will balance out all this wanton permissiveness with tough talk of putting “organized crime” out of business and protecting our children from weed. (The maximum sentence for giving marijuana to a minor is 14 years in prison!)
And now we see whether it actually happens — by summer 2018, or at all.
The news Thursday was full of worries and concerns and potential reasons why it might not. They range from legitimate-but-surmountable to downright silly.
Yes, the science of THC impairment behind the wheel is inexact. So I guess pot-consuming car-drivers had better take that under advisement. THC-impaired driving is already illegal, after all.
There is the bewilderingly persistent supposed issue of Canada’s obligation to prohibit drugs under UN conventions on narcotic and psychotropic substances. This week, the University of Ottawa’s Global Strategy Lab released a 27-page paper explaining “how Canada can remain party to the conventions without either withdrawing … or amending them.” It’s all very interesting, but why not just withdraw from the damn things?
[…]
Frankly, I’m amazed the Liberals have come even this far at a time when they’re walking on eggshells around the Trump administration. To the extent it has articulated a pot policy, it has been the opposite of the relatively laissez-faire approach the Obama administration took toward states that decided to legalize. Attorney-General Jeff Sessions talks about marijuana the way General Ripper in Dr. Strangelove talks about communists.
That will make legalization all the more impressive an achievement if the Liberals pull it off — and all the more damaging a self-inflicted wound if they don’t.
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April 14, 2017
The Canadian Corps Takes Vimy Ridge – The Battle of Arras I THE GREAT WAR Week 142
Published on 13 Apr 2017
This week 100 years ago, the Western Front comes to live with a big British offensive at Arras. The Canadian Corps and the British 51st Infantry Division take Vimy Ridge which had been contested for 3 years by now. The rest of the battles goes well in the beginning too but due to a snowstorm and the German defences it soon slows down.
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Alberta’s new problem of “rising income support caseloads”
Colby Cosh sounds a warning note for Alberta’s NDP government:
… there is a danger — I say this with glum certainty that this centuries-old accepted truth will incite tantrums — in permitting the dole to grow too large. One need only look at the United States’s current addiction to federal and other disability programs. The U.S. reformed welfare as Alberta (and eventually Ontario) did, but disability schemes involving armies of doctors, lawyers and administrative judges became an equally huge species of para-welfare.
The result is a national orgy of prescription opioids and suicide, as policy inertia encourages millions to make a bad back or a trick knee the centre of an unproductive, isolated life. The bottle of OxyContin absolves and soothes; Donald Trump wins a presidential election.
I want no part of anything like this for Alberta. During my lifetime the province has been an economic colony, obsessed with competitiveness and quite short on the state’s version of “compassion.” We all knew we would get NDP economic policy when we voted NDP. They have un-flattened taxes, revived groovy ’70s industrial planning, taxed carbon, regulated farms, run planet-sized deficits, and sheltered the bureaucracy while businesses choked and private-sector workers struggled.
Only the very inattentive could have been unprepared for most of this, as a price to be paid for hosing out the Conservative stable, or even as a desirable correction. Welfare numbers signify a more fundamental, threatening change. It is one that the New Democrats may find more dangerous to its electoral future than all the rest put together, if Ontario history is any guide.
The growth in welfare rolls that can take place in a year may take 10 to reverse. And, of course, such growth suggests that other NDP nostrums, like hiking the minimum wage, aren’t working out. Why would anyone at all require state income support in labour’s paradise? Do NDPers need to look far to find a stalking, wrathful, hyperconservative Mike Harris figure in Alberta?
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April 12, 2017
Why wasn’t Lucy Maud Montgomery considered for inclusion on a banknote?
Colby Cosh uncharacteristically praises-to-the-skies Lucy Maud Montgomery as even a shortlist candidate to appear on a Canadian banknote:
The choice of Viola Desmond came at the end of a formal search for historic women to put on a banknote, and I am still baffled by the absence of one name from the shortlist: that of the novelist L.M. Montgomery. If you think about the global noteworthiness standard, there are not many Canadians of any race or gender who can meet it. In its highest form it would exclude, for example, Wayne Gretzky, who must be one of the two or three most famous Canadians: there are too many places on Earth that know or care nothing of ice hockey.
They play Bach on keyboard instruments everywhere, so you could put Glenn Gould on a banknote under this rule. I start running out of names pretty damn fast after that, which may suggest a truth about our country that we do not like to confront. But Lucy Maud Montgomery is surely near the top of any such list.
Think what an extraordinary thing it is that we are still arguing about the merits of new adaptations of (and posters for) Anne of Green Gables. Those books are literature of a type that almost revels in its ephemerality. They were meant to be affordable components of a homogenous literary diet for the young. Montgomery could never have imagined that she would end up as the most enduring, best-travelled Canadian fiction author of all.
But how many cycles of fashion has Anne outlived; how many avant-garde authors and poets of her time has she seen off into oblivion? There is something about her that has unfailingly charmed readers of 1960 and 1990 and 2017. Nothing about this phenomenon is insincere or contrived, and it seems to transcend the English-speaking world with ease. Progressives and feminists are not reluctant to give the Anne books to their children. There has been no attack that I know of on Montgomery’s political bona fides. Her intellectual ambitions were small, and confined to an out-of-the-way place, yet her imagination conquered a world.
All of which does not even take into account the merely commercial argument for a banknote with Anne of Green Gables and/or her creator on it: the Japanese would hoard it like treasure. Then again, maybe that is what the Bank of Canada is afraid of — unpredictable monetary effects from an important currency denomination being too popular as a collectible. But I cannot see any other reason for them to keep missing this layup. Maybe they are prudently keeping Anne in reserve for the advent of the five-dollar coin, in order that the annie might join the loonie and the toonie?
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