Quotulatiousness

October 18, 2024

Justin Trudeau “has, yet again, outsmarted himself for the short-term win”

Filed under: Cancon, Government, Media, Politics — Tags: , , , — Nicholas @ 05:00

A rare appearance of a Matt Gurney column outside the paywall at The Line explains why the Prime Minister couldn’t resist the temptation to attack Pierre Poilievre on the national security file, despite the fact that it gives Poilievre a strong counterattack:

Prime Ministers Starmer and Trudeau at the NATO summit in Washington.
Image from Justin Trudeau’s X account.

What Justin Trudeau did on Wednesday from the witness standing at the foreign interference inquiry — when he made his dramatic announcement of having seen a list of Conservatives who are compromised by or vulnerable to foreign interference — makes a kind of sense.

It does. It was an effective attack on Pierre Poilievre, who has stubbornly led with his chin for months. The reaction of many of my Conservative friends was telling. They knew Trudeau landed a hit, and they were pissed. They were ready for it — I think their counterattack was as good or better. But this whole story, or at least this little snippet of it, starts with Trudeau taking a swing, and not missing.

[…]

In that context, Trudeau’s decision to tease the possibility of some unnamed Conservatives being involved in the machinations of foreign interference makes sense. He saw Poilievre’s chin and decided to shove his fist into it. It’s politics. I get it.

But, once again, I’m not sure that the PM thought this through all the way. Our PM has a habit of occasionally letting his combative instincts get the better of him. The man has a weakness for showy, dramatic gestures, and loves to try and seize the big moments. Sometimes they blow up in his face. I think this one will, too. It is, I suspect, less a punch to the face, and more of an elbow-to-the-boob. It’ll cause more problems than the gesture was worth.

[…]

Trudeau doesn’t get a lot of opportunities to look like a tough leader these days, and he got two this week. His eviction of six Indian diplomats that Canadian intelligence believes were involved in guiding violent crimes in Canada, aimed at politically connected members of Canada’s large Indian diaspora, was one (and I am not yet cynical enough to believe the timing was politically motivated). The second, of course, was Trudeau’s bombshell testimony. Given the shellacking he’s been taking of late, it probably felt amazing [to] go on the attack yesterday.

The problem for the prime minister is that, today, having had his dramatic moment, there’s no follow through. He dropped the mic and then Poilievre did what he was always and obviously going to do: the opposition leader picked that mic right back up again and started talking into it.

Here’s part of Poilievre’s statement (full statement is here):

    My message to Justin Trudeau is: release the names of all MPs that have collaborated with foreign interference. But he won’t. Because Justin Trudeau is doing what he always does: he is lying. He is lying to distract from a Liberal caucus revolt against his leadership and revelations he knowingly allowed Beijing to interfere and help him win two elections. … If Justin Trudeau has evidence to the contrary, he should share it with the public. Now that he has blurted it out in general terms at a commission of inquiry — he should release the facts. But he won’t — because he is making it up.

If Poilievre’s decision to forgo a security clearance is overly complicated and technocratic, then Trudeau’s decision to attack him for it suffers the same drawbacks. By comparison, Poilievre’s approach, here, is better, simpler, and most crucially, it’s right: Release the names!

If MPs from any party have been compromised, the public deserves to know.

I don’t say that lightly or impulsively. There are absolutely downsides to releasing the names, including the very real risks to compromising our investigations and destroying the reputations of people who may have committed no crime. This sucks. But there are greater downsides to not releasing the names — until the Canadian public knows them, our entire democratic system is suspect. To put it another way, if it is inappropriate to release the names in full, then it is equally if not more inappropriate for a prime minister to publicly tease those names during his testimony, while hiding behind oaths of national security in order to avoid handing over the receipts. Protections of “national security” are intended to protect real sources and reputations — not to serve as a launchpad to lob allegations at foes while dodging accountability and transparency.

October 17, 2024

Historian Reacts to Canada and the Scheldt Campaign

OTD Military History
Published 8 Oct 2024

My reaction to the ‪@LEGIONMAGAZINE‬’s video on the Battle of the Scheldt. This campaign was one of the toughest ever fought by Canada in World War 2.

Canada and the Scheldt Campaign from Legion Magazine
Canada and the Scheldt Campaign | Nar…
(more…)

Failing upward into the federal civil service

Filed under: Cancon, Government — Tags: , , — Nicholas @ 03:00

Woke Watch Canada charts the rise and rise of Kimberly Murray from failure to higher-paid failure to the federal civil service on a six-figure annual salary:

Kimberley Murray – Image from APTN News

Kimberly Murray has just wasted $10 million dollars of Canadian taxpayers’ hard-earned money with the blessing of two successive Ministers of Justice, David Lametti and Arif Virani.

By June 2022 — after five years as Executive Director at the Truth and Reconciliation Commission, and a one-year stint as Executive Lead at the Survivors’ Secretariat looking for allegedly missing children — Kimberly Renée Murray had failed to produce the name of a single verifiably-missing residential school child.

Despite this abysmal record of six years looking for the name of a verifiably missing child without being able to find one, Kimberly Murray was appointed by Order in Council as a federal civil servant under the Public Service Employment Act as special adviser to the Minister of Justice at a salary in the range of $228,900 – $268,200 to continue her fruitless search:

    Appointment of KIMBERLY RENÉE MURRAY of Toronto, Ontario, to be special adviser to the Minister of Justice, to be known as Independent Special Interlocutor for Missing Children and Unmarked Graves and Burial Sites Associated with Indian Residential Schools, to hold office during pleasure for a term of two years, effective June 13, 2022.

    Her Excellency the Governor General in Council, on the recommendation of the Prime Minister, under paragraph 127.1(1)(c) of the Public Service Employment Act, appoints Kimberly Renée Murray of Toronto, Ontario, to be special adviser to the Minister of Justice, to be known as Independent Special Interlocutor for Missing Children and Unmarked Graves and Burial Sites Associated with Indian Residential Schools, to hold office during pleasure for a term of two years, and fixes her remuneration and certain conditions of employment as set out in the annexed schedule, which salary is within the range ($228,900 – $268,200), effective June 13, 2022.

During the two years of her mandate, while going through her $10 million dollar budget (and according to one of her interviews, knowingly exceeding Treasury Board guidelines), Kimberly Murray failed in her primary mission — i.e., to produce the name of at least one verifiably-missing child.

Despite this spectacular failure, and her admission to the Senate Committee on Indigenous Peoples on 21 March 2023 that there are no missing children, the current Minister of Justice, Arif Virani, re-appointed Kimberly Murray for a further six months by Order in Council on 28 May 2024, this time at a salary in the range of $254,000 – $297,800.

October 14, 2024

Rumours of a caucus revolt against Justin Trudeau

Filed under: Cancon, Media, Politics — Tags: , , — Nicholas @ 03:00

The polls are historically bad, but Justin Trudeau seems determined to hang on until he has to call an election which is reported to be generating panic among Liberal backbenchers. Any Liberal Party leader is tough to unseat, but especially Trudeau after the most recent changes to the party’s operating rules instituted after he became party leader.

Image from Blazing Cat Fur

Could the season of Thanksgiving see the fall of Justin Trudeau?

Unlikely, but there will be no Happy Thanksgiving for the prime minister as he contemplates rebellious Liberal MPs trying to engineer a palace coup.

Such news may not surprise Trudeau, but the fact that it is now public is a starting gun. It is at times such as these that Sherlock Holmes tells trusty sidekick Watson, “The game’s afoot”.

As Trudeau returns from a trip to Asia, he is likely to hunker down with his faithful entourage to plot strategy while plotting of another kind will be on the minds of the Gang of 20 (the approximate number of Liberal MPs said to have signed a document in support of replacing the prime minister before the next election.)

The Toronto Star first reported on Friday that “anxious Liberals” were worried about the state of the party under Trudeau. People were saying on the doorstep that “your guy’s gotta go,” while one party source said two dozen sitting MPs were deciding whether to run again at the next election.

Fast exits and furry rodents are all associated with sinking ships.

The Star quoted Wayne Long, the only serving Liberal so far to publicly call for Trudeau to quit as leader, saying, “The status quo is leading us to obliteration”.

Party leaders never want to hear the word obliteration when it refers to their own electoral fortunes and certainly not when it comes from the mouth of one of their own MPs.

But Trudeau probably isn’t even listening to the shrill chorus of the caucus. Why now, after nine years, should he start listening to his members?

Meanwhile, the CBC reported that Liberal MPs were meeting in rooms across Parliament Hill to sign a document that pledged them to call on Trudeau to resign. They were signing their own names and “in ink”, said CBC’s David Cochrane, making it sound like a Faustian bargain rather than a parliamentary coup.

Perhaps it is?

October 12, 2024

Canadians don’t hate their banks enough

Filed under: Business, Cancon, Economics, Government — Tags: , , , — Nicholas @ 04:00

In the latest SHuSH newsletter, Ken Whyte follows up on an earlier item thanks to the many Canadians who responded with their own tales of woe in their dealings with Canadian banks:

Since I mentioned a couple of weeks ago that we have published Andrew Spence’s Fleeced: Canadians Versus Their Banks, the latest edition of Sutherland Quarterly, I’ve been inundated with people’s horror stories of their dealings with Canada’s chartered banks. Jack David’s tale in the above interview is a classic of the genre.

In Fleeced, Andrew lays out in aggravating detail how Canadian banks, although chartered by the federal government to facilitate economic activity in the broader economy, do all they can to avoid lending to small and medium businesses, never mind that small and medium businesses employ two-thirds of our private-sector labour force and account for half of Canada’s gross domestic product.

By OECD standards, small businesses in Canada are starved of bank credit, and when they are able to secure a loan, they pay through the nose. The spread between interest rates on loans to small businesses and large businesses in Canada is a whopping 2.48 percent, compared to .42 percent in the US — more than five times higher.

Why? Because Canada’s banks are a tight little oligopoly, impervious to meaningful competition. Their cozy situation allows them to be exceedingly greedy. Their profits and returns to shareholders are wildly beyond those of banks in the US and UK (and, as Andrew demonstrates, their returns from their Canadian operations are far in excess of those from the US market, meaning they screw the home market hardest.)

Our banks never miss an opportunity to impose a new fee, or off-load risk. From their perspective, small business involves too much risk — some of them will inevitably fail. The banks prefer that publishers and dry-cleaners and restaurateurs either finance themselves by pledging their homes, or use their credit cards to cover fluctuations in cash flow or make investments that will help them hire, expand, and grow. And that’s what entrepreneurs do. According to a survey by the Canadian Federation of Independent Business, only one in five respondents accessed a bank loan or line of credit. Half of respondents financed themselves, tapped existing equity and personal lines of credit, and about 30 percent used their high-interest credit cards.

By severely rationing credit and making it exceedingly expensive, Canada’s banks siphon off an ungodly share of entrepreneurial profit to themselves while leaving the entrepreneur with all the risk. Their insistence on putting their own profits above service to the Canadian economy is one of the main reasons Canada has such a slow-growing, unproductive economy and a stagnant standard of living.

There is much else in this slim volume to make your blood boil: exorbitant fees on chequing and savings accounts; mutual fund expenses that torpedo investments; ridiculous mortgage restrictions, infuriating customer service …

Fleeced: Canadians Versus Their Banks is a stunning exposé of the inner workings of our six major banks — something only a reformed banker and financial services veteran such as Andrew could write. He also explodes the myth that a bloated, uncompetitive banking sector is the price we have to pay for stability in times of financial crisis.

We are in desperate need of banking reform in Canada. Read this book and you’ll be shouting at your member of Parliament for prompt action.

October 9, 2024

Dangling the old “high speed rail between Toronto and Montreal” proposal again

Filed under: Cancon, Economics, Government, Railways — Tags: , , , , — Nicholas @ 03:00

In what seems like an annual ritual, the attractive-to-many (but economically non-viable) idea of putting in a high speed rail line between Toronto and Montreal is getting another airing:

The closest active model to the proposed VIA “High Frequency Rail” proposal is the Brightline service in Florida.
“BrightLine – The Return of FEC passenger service” by BBT609 is licensed under CC BY 2.0

In 2021, the Government of Canada confirmed its plans to significantly upgrade VIA Rail’s passenger rail service between the Windsor and Quebec City corridor into a high-frequency rail service.

As the name suggests, this new high-frequency rail service would offer significantly higher frequencies and reduce travel times on the route linking Toronto, Ottawa, and Montreal by 25 per cent.

With dedicated passenger rail tracks separate from freight operations, which greatly contribute to current service delays, this new train service would more consistently operate at increased speeds of up to 177 km/h to 200 km/h, and reliability would improve to an on-time performance by over 95 per cent.

This is quite true … the existing rail network between Toronto, Montreal and Ottawa was designed and built to carry freight traffic first and passengers only as a secondary goal — in many cases to attract government subsidies for the construction of the lines. Passenger services are, at best, marginally profitable but generally passenger service is a dead loss for the railways and only maintained thanks to ongoing government subsidies, grants, and tax breaks.

Freight trains — the profitable part of the railway network — have gotten longer and heavier over time as technology has improved (and train crews have gotten smaller, reducing labour costs) and the signal systems are optimized for freight traffic: long, slow-moving trains that take a lot of time and energy to speed up and slow down. Passenger trains travel faster (well, theoretically anyway) and make frequent stops to pick up and drop off passengers … signalling systems (which are critical to safe operations) need to be designed to optimize the usage pattern of the majority of the trains which in practice means freight with some modifications in high-population areas to accommodate passenger traffic.

This high-frequency rail service would use VIA Rail’s new and growing fleet of modern Siemens Venture trains operating on the Windsor-Quebec City corridor.

But as it turns out, the federal government is also contemplating a new service that is even better than high-frequency rail — the potential for a high-speed rail service, which would be the first of its kind in Canada.

Currently, the federal government is engaged in the Request For Proposal (RFP) process for the project. In July 2023, it shortlisted three private consortiums to participate in the RFP’s detailed bidding process, attracting international interest from major investors and some of the world’s largest passenger rail service operators.

This includes the consortium named Cadence, entailing CDPQ Infrastructure, AtkinsRealis (formerly known as SNC-Lavalin), Systra Canada, Keolis Canada, SNCF Voyageurs, and national flag carrier Air Canada.

The inclusion of Air Canada in the consortium is … interesting … as one of the goals of an actual high speed system would be to drain off a proportion of the short-haul passenger traffic that currently goes by air. A cynic might wonder if Air Canada’s interest in the project is to help or hinder.

According to a report in Toronto Star last week, each of the three consortiums was directed to create two detailed proposals, including one concept with trains that travel under 200 km/h and another concept with trains that travel faster than 200 km/h.

High-speed rail is generally defined as a train service that operates at speeds of at least 200 km/h.

It was further stated in the report that the new service could result in travel times of only three hours between Toronto and Montreal, as opposed to the current travel times of over five hours on existing VIA Rail services.

For further comparison, the travel time between Toronto and Montreal on flight services such as Air Canada is about 1.5 hours, which does not include the time spent at airports, while the driving time over this distance of over 1,000 km is about 5.5 hours — similar to VIA Rail’s existing services.

The potential holds for VIA Rail’s new service to operate at speeds over 200 km/h along select segments of the corridor.

The required costs to implement 200km/h speeds will be in eliminating as many grade crossings as possible and reconstructing some tight curves to allow the higher speed trains … and, as mentioned earlier, retrofitting the signal system for the faster passenger trains. Even those measures, which don’t really produce a true “high speed” system will be very expensive.

QotD: The hijacking of the Canadian identity

The anniversary of that first May 27, 2021 unmarked-graves announcement came and went a few weeks ago, with barely a peep from prominent figures in the Canadian progressive firmament. And the same Trudeau who’d recently served up lurid sermons about our status as a blood-stained genocide state has now switched into proto-campaign mode, gushing manically about the Liberal horn of plenty set to deluge this nation with riches. According to the latest Liberal agitprop, in fact, patriotic Trudeauvian boosterism isn’t merely permissible — why, it’s obligatory. So light up those Canada Day backyard barbecues. Canuck Yom Kippur is finally over.

But before we dismiss this three-year interregnum as a dystopian fever dream, it’s worth asking how our collective Canadian identity could be hijacked — even temporarily — in such a radicalized manner. And the truth is that it isn’t just progressive ideologues who bear responsibility; but also their counterparts on all parts of the political spectrum, few of whom exhibited any inclination to offer pushback while these falsehoods took root in the media. Even many writers at this newspaper, generally held to be a right-leaning outlet, greeted the unmarked-graves claims by heaping shame on their country.

In every other comparably advanced society, there exists a natural tension between conservative nationalists who reverentially sentimentalize their history, and the progressive critics who reflexively denounce it. And it is from out of that tension that something approaching the historical truth emerges. Or, at least something close enough to the historical truth that it provides a stable and coherent basis upon which a society can confidently pin its collectively embraced national identity.

What we learned in 2021 is that this necessary tension doesn’t exist in Canada, because traditionalists can no longer describe their nation’s history in a way that gives voice to their emotionally felt patriotism without attracting claims of racism and neocolonialism. As a result, our marketplace of ideas lacks the checks and balances required to inure us against — oh, gee, I don’t know, let’s take a crazy example — apocalyptic medieval fables in which legions of Indigenous children are thrown into furnaces and shallow graves by cackling nuns and diabolical priests.

So yes, shame on Trudeau for lowering the Canadian flag on federal buildings for half a year to honour victims entombed in non-existent mass graves. But shame on the rest of us for staring at our shoes while this blood libel was being signal-boosted. And now that Trudeau seems on his way out — and, with him, the maudlin, tear-soaked, bent-knee political shtick that accompanied this descent into hysteria — we might turn our attention toward developing a national self-identity sufficiently robust that it doesn’t fall to pieces the next time someone claims to have found genocide’s residue under an old tetherball court.

Jonathan Kay, “Don’t let politicians misinform you. Learn about Canada’s true history for yourself”, National Post, 2024-07-01.

October 8, 2024

Young Canadians turn right – “the average Canadian 21-year-old is more conservative than the average Canadian 65-year-old”

Filed under: Cancon, Media, Politics — Tags: , , — Nicholas @ 03:00

I don’t have a lot of contact with twenty-somethings, as my son’s friends are now in their 30s, so I’m just as surprised as anyone else to hear that younger Canadian voters seem to be switching their preferences to the right unlike most young voters around the world:

Voting intentions among Canadians, September 2024.
Detail from a recent Leger poll.

In one of the more surreal twists of sky-high Canadian public dissatisfaction, the country now ranks as one of the world’s only places in which young people are supporting conservative parties at rates well beyond those of their parents.

A Leger poll from last month found that Conservative support was stronger among voters aged 18-34 than any other age cohort. The under-34s backed the Tories by 47 per cent, as compared to 45 per cent for those aged 35-54, and 41 per cent for voters over 55.

The phenomenon has also started to show up at the provincial level. With about two weeks to go until the B.C. election, the B.C. Conservatives have been put in sight of a majority government due largely to an unexpected wave of youth support.

According to a Sept. 30 Leger poll, voters under 34 were backing the B.C. Conservatives by 47 per cent as compared to the 39 per cent who intended to vote NDP. Among voters over 55, the allegiances were reversed: 48 per cent supported the NDP against 43 per cent for the Conservatives.

Nothing like this has really happened before — at least as long as Canada has had age-stratified opinion polling.

It’s not the first time that a majority of young voters have flocked to a conservative option. The Progressive Conservative landslides of 1958 and 1984 were both secured in part by winning over voters under 30.

But what’s happening now appears to be the first time that the average Canadian 21-year-old is more conservative than the average Canadian 65-year-old.

For now, at least, the phenomenon is somewhat unique to Canada. In the rest of the Anglosphere, political sentiments are still hewing to their traditional pattern of young people leaning progressive, with old people leaning conservative.

The current U.S. presidential election has Democratic candidate Kamala Harris commanding up to 60 per cent of the under-30 vote, as compared to roughly one third of young voters who said they would vote for Republican nominee Donald Trump.

In the U.K., the July general election found that support for right-wing options was directly proportional to the age of the voter. A mere 17 per cent of British voters under 24 voted either for the Conservatives or the populist Reform UK. Among Brits over 70, those same parties commanded a smashing 61 per cent.

In Australia, a recent YouGov poll asking voters if they wanted “more socialism” found that 53 per cent of Australians under 24 did.

October 2, 2024

Poilievre should learn from “Two Tier” Keir’s political stumbles

Sir Keir Starmer swept into office just four months ago, but if you tracked the unforced errors, gaffes, stumbles and bumbles it might as well have been four years instead. Most politicians winning nearly 2/3rds of the seats in Parliament can expect a lengthy “honeymoon” period, but “Two Tier” Keir is far from a typical politician … he’s terrible at his new job. In The Line, Andrew MacDougall charts some of the worst self-inflicted wounds Starmer’s government has suffered and indicates how Pierre Poilievre can avoid them:

Prime Ministers Starmer and Trudeau at the NATO summit in Washington.
Image from Justin Trudeau’s X account.

If Conservative leader Pierre Poilievre thinks he’s halfway home to a happy life in power, he should look across the pond to see the misery now engulfing Sir Keir Starmer and his new Labour government.

Where to start? Sadly for Starmer, there is a smorgasbord of bad political choice.

[…]

And while Starmer did his level best to stay vague during the election campaign about his planned solutions, as all good opposition leaders do in order to minimize incoming attacks, he was meant to have a plan to sort it all out once he got into the building. But there’s no plan. And that’s according to sources inside 10 Downing Street. That’s right: we’re just three months into a majority parliament and a government with a virtually unopposable mandate and the calls are already coming from inside the building saying it’s all gone to shit.

As I was saying, it’s all very late-stage Trudeau.

Fortunately for Canadians who are desperate for a diversion from Trudeau’s path, Pierre Poilievre is a better politician than Keir Starmer. A vastly better politician. And while that might sound like a pejorative in an era where no politician is trusted, the pile of public policy muck heaps facing Western governments won’t be cleared without someone who understands — deeply and intuitively — the politics of the current time.

Starmer understands none of the current dynamic. He defeated the U.K. Conservatives because the U.K. Conservatives defeated themselves. The country would have taken anyone to stop the Tory psychodrama, even a boring North London lawyer who wouldn’t know politics if it smacked him on his newly-tailored arse. People are angry that nothing appears to be working as it should. Not the hospitals. Not the borders. Not the economy. And not their culture. Everything feels different and/or worse to what they’ve come to expect and they blame the (waves arms frantically) “establishment” for their ills. There’s a reason Nigel Farage’s Reform party won its first seats and came second in nearly a hundred more.

People who are already feeling stretched don’t want to hear, as they’ve heard from Starmer, that their taxes are going up. They want to hear they’re going to go down. “Axe the tax”, anyone? They don’t want to hear that things suck; they want to hear how things will get better. They don’t want to be sung hymns about the benefits of immigration. They want to see someone spot the problem that’s gotten out of control and assure them that it’s not racist to do something about it. They want someone who looks and sounds like them, not another politician in a suit saying things politicians in suits always say. They want radical change, not minor dial adjusting on the dashboards of power. Anything else is more of the discredited same.

Canada’s late-stage Trudeau inheritance is daunting. It cannot be avoided. But it must first be acknowledged, not by simply pointing at the last guy and saying “It’s all his fault” (i.e. the classic politician move), but by mirroring the real distress being felt by the many who’ve lost out where and as the traditional power brokers have won. This is where the room to manoeuvre comes from. Something has gone wrong and it’s going to take something different to produce a different result.

September 29, 2024

Fleeced: Canadians Versus Their Banks by Andrew Spence

Filed under: Books, Business, Cancon, Economics — Tags: , , , — Nicholas @ 05:00

In the latest SHuSH newsletter, Ken Whyte talks about one of Sutherland House’s most recent publications:

I could write about eight versions of this post based on the many revelations in Andrew Spence’s Fleeced: Canadians Versus Their Banks, the latest edition of Sutherland Quarterly, released this week. I’m going to run with the version most relevant to my fellow publishers and small business people in Canada.

Andrew lays out in aggravating detail how Canadian banks, although chartered by the federal government to facilitate economic activity in the broader economy, do all they can to avoid lending to small and medium businesses, never mind that small and medium businesses employ two-thirds of our private-sector labour force and account for half of Canada’s gross domestic product.

By OECD standards, small businesses in Canada are starved of bank credit, and when they are able to secure a loan, they pay through the nose. The spread between interest rates on loans to small businesses and large businesses in Canada is a whopping 2.48 percent, compared to .42 percent in the US—more than five times higher.

Why? Because Canada’s banks are a tight little oligopoly, impervious to meaningful competition. Their cozy situation allows them to be exceedingly greedy. Their profits and returns to shareholders are wildly beyond those of banks in the US and UK (and, as Andrew demonstrates, their returns from their Canadian operations are far in excess of those from the US market, meaning they screw the home market hardest.)

Our banks never miss an opportunity to impose a new fee, or off-load risk. From their perspective, small business involves too much risk — some of them will inevitably fail. The banks prefer that publishers and dry-cleaners and restaurateurs either finance themselves by pledging their homes, or use their credit cards to cover fluctuations in cash flow or make investments that will help them hire, expand, and grow. And that’s what entrepreneurs do. According to a survey by the Canadian Federation of Independent Business, only one in five respondents accessed a bank loan or line of credit. Half of respondents financed themselves, tapped existing equity and personal lines of credit, and about 30 percent used their high-interest credit cards.

(The banks, incidentally, claim they need to keep credit card rates around 20 percent because their clients are high credit risks when their own data shows the risk is minimal. They simply prefer to gouge customers. To a banker, forcing hundreds of thousands of small businesses to use their credit cards to finance their businesses rather than giving them proper small business loans at reasonable rates is great business.)

By severely rationing credit and making it exceedingly expensive, Canada’s banks siphon off an ungodly share of entrepreneurial profit to themselves while leaving the entrepreneur with all the risk. Their insistence on putting their own profits above service to the Canadian economy is one of the main reasons Canada has such a slow-growing, unproductive economy and a stagnant standard of living.

There is much else in this slim volume to make your blood boil: exorbitant fees on chequing and savings accounts; mutual fund expenses that torpedo investments; ridiculous mortgage restrictions, infuriating customer service …

The “Foundations” essay could apply equally to Canada’s doldrums as it does to Britain

Earlier this week, I linked to the “Foundations” essay by Ben Southwood, Samuel Hughes, and Sam Bowman and it struck me that so much of what they discuss about Britain’s stagnation applied at least as well to Canada. In the National Post, John Ivison concurs:

The “Foundations” essay pointed to moribund GDP per capita growth, among other data points, to make the argument that Britain is standing still economically. (Britain’s economy grew 0.7 per cent a year between 2002 and 2022, Canada’s increased 0.6 per cent a year in the same period, while U.S. output swelled 1.16 per cent a year.)

In relative terms, both countries are getting poorer: in 2002, Canada’s GDP per person was 81 per cent of the U.S.; in 2022, it was 72 per cent. The same figures for the U.K. against the U.S. are 78 per cent in 2002 and, 70 per cent in 2022.

The reason for Britain’s stagnation, the authors argue, is that it has effectively banned investment in transportation, energy and housing — “the foundations it needs to grow.”

Sound familiar?

“The most important economic fact about modern Britain is that it is difficult to build almost anything, anywhere. This prevents investment, increases energy costs and makes it harder for productive economic clusters to expand,” the authors write, saying the result is lower productivity, incomes and tax revenues.

They argued that Britain needs a program of reform with the scale and ambition of the liberalization of the 1980s that focused on cutting taxes, curbing union power and privatizing state-run industries.

“This time we must focus on making it easier to invest in homes, labs, railways, roads, bridges, interconnectors and nuclear reactors,” they write.

That’s a difficult proposition for politicians who are able to resist anything except the temptation to use resources for immediate electoral gratification, rather than investing for a time after they have left office.

Both Canada and Britain are laggards when it comes to investment in infrastructure. While China spent more than five per cent of its GDP on roads, bridges and other infrastructure in 2021, Canada invested just 0.5 per cent (down from 1.3 per cent in 2010) and the U.K. 0.9 per cent.

But the lack of dynamism is not simply political expediency. Rather, it is motivated by an indifference, even a hostility, toward building critical infrastructure.

The Foundations report noted that Britain has not built a reservoir for 30 years, yet faces chronic water shortages in the east of England. Its environmental agency has blocked new development on the basis that it could only be supplied with water by draining environmentally valuable chalk streams. The result is that England’s innovation hub, Cambridge, is barred from expanding, which threatens to strangle the country’s life-sciences industry.

Similar impulses are at work in Canada. Federal Environment Minister Steven Guilbeault said in February that Ottawa would stop investing in new road infrastructure — a position he later clarified to say meant the federal government would not fund large projects like a highway tunnel connecting Quebec City and Levis, Que.

That same sentiment is reflected in the federal Liberal government’s Impact Assessment Act, passed in 2019, which slowed the pace and increased the cost of major project approvals.

On the housing front, a generation of activists emerged who were intent on preventing urban sprawl yet were also opposed to building mid-rise buildings of the kind that eased housing pressures in continental Europe. Constraints on approval are a major contributor to the 3.5-million-unit housing gap because supply has not kept pace with demand.

The consequence of Canada’s regulatory sclerosis is what business veteran Paul Deegan and former clerk of the Privy Council Kevin Lynch in an FP Comment article earlier this year referred to as “an insidious stealth tax on Canadian jobs and growth“.

Taking each of the “foundations” in turn, the depth of the problem becomes clearer — but so do the solutions.

September 27, 2024

Bloc Québécois leader Yves-François Blanchet as “the Errol Flynn of Canadian politics”

Filed under: Cancon, Government, Politics — Tags: , , , , — Nicholas @ 05:00

In the National Post, John Ivison suggests to Justin Trudeau’s Liberals that the Bloc’s price for supporting the government are just going to keep on rising every time they’re asked to save them from a confidence vote in the Commons:

Yves-François Blanchet Portrait Officiel / Official Portrait a Ottawa, ONTARIO, Canada le 1 December, 2021.
© HOC-CDC
Credit: Bernard Thibodeau, House of Commons Photo Services

It is an indication of how desperate the Liberals are to cling to power that they are even considering a deal with Yves-François Blanchet, the Errol Flynn of Canadian politics.

As was said of the hell-raising movie star by his friend David Niven: “You always knew precisely where you stood with Errol because he always let you down.”

The Bloc Québécois leader will leave the Liberals in the lurch as soon as they refuse his extortionate demands, so best to tell him from the outset to go forth and multiply.

Blanchet has imposed an Oct. 29 deadline before his party pulls support for the government on future House of Commons confidence motions.

The Liberals must back two Bloc private member’s bills, Blanchet said, or the mood will become impossible. “And as soon as it becomes impossible, we will know what to do,” he added, ominously.

Finance Minister Chrystia Freeland said conversations are ongoing, though Blanchet said he has had no discussions with the Trudeau government.

Good, because both Bloc bills are policy madness.

Blanchet has presented them as “good for everybody”, but the truth is they benefit very narrow sections of society — older voters and some farmers — and are bad news for everyone else.

One of the bills, Bill C-319, calls on the government to extend the 10-per-cent increase in Old Age Security payments the Liberals made in 2022 for those over 75 to include the 65–74-year-old age group. The bill is at third reading in the House of Commons but requires the government’s blessing to pass because it commits Freeland to spend money. Lots of money.

The other, Bill C-282, requires the government to exempt the supply-managed farm sector (i.e., eggs, chicken and dairy) from future trade negotiations. It is mired in the Senate’s foreign affairs and international trade committee, where one hopes it will be amended beyond recognition.

September 23, 2024

In Toronto, school kids are being used as pawns in political protests

Filed under: Cancon, Education, Politics — Tags: , , , , , — Nicholas @ 05:00

The Toronto District School Board has some serious issues if a recent high school “field trip” to a political protest is typical of how the board’s employees are allowed to insert their own political agenda into the teaching process:

There were some parents who opted out of allowing their children to participate in a Toronto District School Board (TDSB) sanctioned field trip to observe (not participate) in a public protest. Parents were informed that the event at Grange Park in Toronto involved the Grassy Narrows First Nation’s decades-long struggle with mercury contamination caused by industry. However, they should have taken this proposed field trip as a major red flag. Indeed, according to Spadina-Fort York MP Kevin Vuong, “What the TDSB teachers did was deceitful and unconscionable”.

When I was a kid, my school never attended a protest. And before last Wednesday, I’ve never heard of any school ever planning such an inappropriate field trip – that ended up being used by the ultra-woke TDSB as an excuse to indoctrinate children into social justice activism (which entails the labelling of all white/Jewish children as racists, colonizers, and settlers on stolen land). How many TDSB parents were even aware of what they were signing up for? It appears that many knew of the general shape of things – which had something to do with Grassy Narrows and mercury poisoning – but no parent could have known about the anti-Israel / anti-Semitic component (a mainstay of social justice), which appeared to be the focal point, eclipsing anything to do with Canadian First Nations.

Indeed, the email from the TDSB explained that the protest event was an “educational opportunity … to learn about Indigenous activism, environmental justice and human rights”. The red flag would have been enormous and flapping vigorously in a strong wind for those parents who are initiated into the tenets of critical social justice theory. To those parents, participation in woke activism is a hard hell no. However, many families are still oblivious, or maybe have misunderstood the intentions of the TDSB, or maybe just don’t quite get what critical social justice is. They are unaware that far too many school administrators, trustees, and teachers have decided that their priority is transforming society through a cultural revolution, not educating the young. This, of course, involves transforming children.

The letter to parents assured them that their children would not be participating in the protest. Students would be on site only to observe. However, videos have emerged on social media of middle school aged children marching alongside anti-Israel protestors. Understandably, many parents now feel betrayed. In my view, they should have seen this coming. The TDSB is literally infested with anti-Semetic black radicals and other such woke activists who follow the same identity politics playbook which entered North America through the period of violent 1960s era black radicalism. (I refer the reader to Cedric Robinson’s volume Black Marxism: The Making of the Black Radical Tradition. And, to Dr. Scott Miller’s essay published in these pages “A Moral Chimera: Diversity, Illiberal No-White-Male Policies and the Power of the Black Radical Tradition“. And lastly, if you want to see black radicals in action, read my piece, “Exploring The Grievance Pathway Of Anti-Racism“, on a Parents of Black Children meeting I attended).

Concerning those videos of the protest which circulated social media sparking outrage amongst parents, according to the Toronto Sun, “footage showed students marching alongside flag-waving Elementary Teachers of Toronto members, while a masked woman in a white ‘Justice for Grassy Narrows’ shirt shouted anti-Israel chants into a megaphone”.

CG Idit Shamir (Consul General @IsraelinToronto) posted the following to X (I completely agree with her sentiment):

    “Shocking. 7th and 8th graders from public schools in Toronto were taken yesterday on a Toronto District School Board (TDSB) -approved field trip—not to a museum, but to march in a political protest where they chanted pro-Palestine slogans. Adults in keffiyehs and face coverings led the way, while young minds were subjected to a one-sided political narrative.

    “The @tdsb has crossed a line. Children get sent to school to learn; they should NEVER be forced to participate in political protests. It’s not just that they’ve taken a side—it’s that they have utterly disregarded the rights of pro-Israel and Jewish students and staff, along with any commitment to truth and balance. This isn’t education; it’s indoctrination—it’s an affront to the very purpose of education.”

MPP Goldie Ghamari, also had a strong reaction:

    “What the actual f**k is going on with @tdsb educators in Toronto?

    This isn’t 1944 Nazi occupied Germany.

    This is 2024 in Canada.

    This antisemitic behaviour is unacceptable.

    If you stay silent after reading this, you’re part of the problem and need to hang your head in shame.”

September 22, 2024

Canada’s latest moral preening on the international stage includes a partial arms embargo against … the USA?

In the National Post, Conrad Black points out that the Canadian government’s tedious and never-ending virtue signalling has reached a new and barely believable low:

It is the usual pious and cowardly humbug that causes Ottawa to announce it is suspending the sales of some non-lethal military equipment to Israel because it has the effrontery to opine that the Israeli Defense forces are insufficiently protective of the lives of civilian Palestinians in Gaza. But it is breathtaking that Canada should include in this practically irrelevant step an embargo on some equipment to the United States that it suspects the Americans might pass on to Israel. This initiative is a trifecta of fatuous error. First, it is clear from thoroughly available evidence that Israel has achieved an unprecedentedly low ratio of civilian to authentic military casualties for modern urban counter-guerrilla warfare. This is especially difficult as the enemy in this case, Hamas, proudly states that civilian casualties are useful to its propaganda campaign (which has brainwashed our foreign policy-makers), and which habitually embeds its terrorist cadres in and near schools, hospitals, and places of worship to incite as much collateral damage on its own population as possible.

Second, it departs completely from any real concept of the nature of war. The invasion of Israel on October 7 and the slaughter of more than a thousand Israeli, mostly civilians, was intended and received as an act of war. Wars are not fought by dropping pamphlets or posturing with trivial gestures. As General Douglas MacArthur famously said during the Korean War, “In war there is no substitute for victory”. This is particularly the case in the current war in Gaza as Hamas has made it clear that it will never accept the right of Israel to exist as a Jewish state. As long as that condition prevails, there can be no peace and Israel’s pledge to exterminate Hamas as a terrorist force enables it accurately to be described in the Wilsonian phrase: “a war to end war”. Canada’s government is engaged in a contemptible assertion of moral relativism between the heroic and democratic state of the long wronged Jewish people and a ragtag of vicious terrorists happy to be the cannon fodder of the principal terrorism-promoting state in the world — the primitive racist totalitarian theocracy of Iran.

Finally in the trifecta, in the bankruptcy of their imagination, our foreign policy makers have taken up the trite evasion of the outgoing Biden administration, that “Israel has a right to defend itself”, but we reserve the right to coach it on how to do that and this effectively limits self-defence to the expulsion of invaders but muffled and insulated retaliation against the invaders after they have been evicted from Israel. This is a formula for perpetual conflict and is a moral and military under-reaction to the enormity of Hamas’ provocation. What our government imagines it is accomplishing with this pallid, torpid, and ludicrous gesture surely escapes the imagination of all interested parties.

It must slightly bemuse the United States government that it is boycotted by Canada, which has benefited from an American guarantee of our security since President Franklin D. Roosevelt, speaking at Queen’s University in Kingston in 1938, said that the United States would not “stand idly by” if Canada were invaded by any power from another continent.

September 21, 2024

Statistics Canada notes significant decline in life satisfaction and hope for the future

Filed under: Cancon, Economics — Tags: , , , , — Nicholas @ 03:00

In one sense, we should be quite used to Statistics Canada giving us unwelcome economic news, given the state of the Canadian economy over the last decade. What seems less in character is that they’re connecting the dots between our obvious national financial decline and showing how directly it has impacted ordinary Canadians’ views about life in Canada and what they expect in the future:

Life satisfaction among Canadians is on the decline. Based on data from the Canadian Social Survey, levels of life satisfaction have been tracking downward since the summer of 2021, when quarterly monitoring of key Quality of Life indicators began. Less than half (48.6%) of Canadians aged 15 years and older were feeling highly satisfied with their lives in 2024, down from 54.0% three years earlier.

Not only is life satisfaction down, but so is hopefulness about the future, which dropped from 65.0% to 59.7% from 2021 to 2024. These results are based on a new study released today, “Charting change: How time-series data provides insights on Canadian well-being”, which sheds light on changes in overall life satisfaction, hopeful feelings about the future and financial well-being. It examines differences and trends across various dimensions, such as age, gender, racialized and non-racialized populations, and 2SLGBTQ+ populations.

Decline in life satisfaction more common among young adults and racialized Canadians

Life satisfaction can be considered a pulse check on Canadians’ overall well-being. While this indicator of subjective well-being has been declining for the past few years, there is nonetheless substantive variation in life satisfaction across different demographic groups. Younger adults (aged 25 to 34) had notable declines in their life satisfaction in 2024, with their proportions declining an average of 3.9 percentage points per year since 2021. By 2024, fewer than 4 in 10 (36.9%) of these adults were highly satisfied with their lives.

Meanwhile, seniors (aged 65 and older) maintained their high level of satisfaction, with 61.5% being happy with their lives in 2024. This measure of subjective well-being has remained relatively stable among senior Canadians since 2021.

In addition, racialized Canadians, who are younger on average than non-racialized Canadians, saw greater drops in life satisfaction than their non-racialized counterparts. The proportion of racialized Canadians reporting high levels of life satisfaction fell from 52.7% in 2021 to 40.6% in 2024. This decline was more than five times higher than the decrease observed for non-racialized Canadians, who experienced a decline in life satisfaction of 0.8 percentage points per year from 2021 to 2024. In 2024, over half (51.5%) of non-racialized Canadians were happy with their lives.

It really is a bad sign when the largest province in Confederation is also becoming the most disheartened by its economic prospects:

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