Quotulatiousness

July 7, 2025

The federal government’s EV mandate cannot stand

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

Following its established pattern, the Canadian government will seek any possible path other than economic reality, especially when it comes to things like mandating that all vehicles sold in Canada must be EVs by 2035:

Nissan Leaf electric vehicle charging.
Photo by Nissan UK

It’s not always the unexpected that gets governments in trouble — often enough it’s their own bad judgement, poor timing or general clumsiness that gets in the way. But the unanticipated does happen a lot.

Parties and politicians put time and effort into concocting a set of policies aimed at winning votes by proposing remedies to problems identified as occupying top rungs of current voter concern. If they’re lucky they get elected, presumably intending to put those policies into effect at the earliest opportunity. Then the world shifts and pulls the rug from under them.

Former prime minister Justin Trudeau was a big fan of the attention-getting promise. Especially if it was a pledge timed well into the future when he was unlikely to still be around to be held responsible. Carbon reductions too ambitious to be realistic. Budget targets too unlikely to be believed. Statist planning projects that tended increasingly to the surreal.

Mark Carney is left with the detritus and the problem of what to do about it. As prime minister he’s already acted on a few of the problematic leftovers, ditching the carbon tax even though he’d previously supported it as a good idea; scrapping an increased tax on capital gains although the Treasury could certainly use the money; “caving,” as the Trump administration so tastefully put it, on a digital services tax that was a bad idea to begin with but pushed through by the Trudeau government anyway.

There’s an argument to be made, and not a bad one, that each retreat was the right move for the moment. And if there are mistakes that need abandoning, the early days of a new government is proverbially the best time to do it.

But righting wrongs has confronted Carney with a new predicament, in that there are so many Trudeau-era wrongs that need righting. Washington was still in the midst of its victory dance over its digital tax triumph when Canada’s auto industry came along to plead for similar treatment from Ottawa, insisting automakers couldn’t possibly meet previously-set electric vehicle targets and urging the new Liberal government to backtrack post haste.

Carney hosted the session with Canada’s chief executives for Ford, Stellantis and General Motors. Brian Kingston, chief executive of the Canadian Vehicle Manufacturers Association, was blunt in identifying the targets set for electric vehicle (EV) production as the main topic.

“The EV mandate itself is not sustainable. The targets that have been established cannot be met,” he said on arriving for the meeting. Afterwards he told Politico‘s online news site, “At a time when the industry is under immense pressure, the damaging and redundant ZEV mandate must be urgently removed”.

QotD: The mythological “perfect market” and “perfect competition”

Filed under: Economics, Government, Quotations — Tags: , , , , , — Nicholas @ 01:00

In modern neoclassical economics, the benchmark of analysis from which real-world markets are judged is the model of perfect competition, in which a homogenous good is bought and sold by a large group of buyers and sellers, respectively, none of whom have an influence on the price. Moreover, under such conditions, there exists free entry and exit of sellers in the marketplace, defined by perfect information.

The narrative that is constructed and logically follows from this model is that observed deviations from perfect competition in the marketplace are indicative of imperfections, also known as “market failures”, associated with the existence of monopoly power, pervasive externalities, the provision of public goods, and macroeconomic instability. According to this narrative, government intervention is the deus ex machina that saves the market from its own “imperfections” through regulations, taxes, subsides, and other public policy measures. Why? To use a quote from Frank Knight often used by James Buchanan, “to call a situation hopeless is to call it ideal”. The narrative that is constructed is one in which, outside the conditions of the ideal of perfect competition, there is no hope but for government intervention to save the market from itself. Anyone who has taken an economics course is well aware of what I’ve stated thus far, and therefore this should not be surprising.

But what is the implicit meaning of the word “imperfect” that is baked into the narrative, which is constructed into the model of perfect competition? What is implied when we postulate that markets are “imperfect” in comparison to the benchmark of perfect competition is that markets are flawed, non-ideal, or otherwise sub-optimal, and therefore in need of correction through government intervention. Who could dispute the logic of this narrative?

However, if we simply reinterpret our understanding of the word “imperfect”, not only will it reframe the narrative being told about the marketplace, but also the public policy implications that flow from this narrative. If we analyze the etymology of the word imperfect, breaking it down from its Latin origins, you will learn that “im” expresses the negation, “per” comes from the Latin word meaning “thoroughly” and “fect” comes from the Latin verb “facere“, meaning “to do”. Thus, rather than saying that something, or some state of affairs, is flawed, suboptimal, or non-ideal, another way to interpret the meaning of “imperfect” is an act or process that is not thoroughly done, or incomplete. In fact, from a quick perusal of the Merriam Webster’s Dictionary, you will find a similar definition of the word imperfect: “constituting a verb tense used to designate a continuing state or an incomplete action” (emphasis added).

Rather than regarding the market as a flawed or sub-optimal state of affairs, a better understanding of an “imperfect market” reveals that the market is a process of continuous tendency towards perfection, or completion, where are all the gains from trade are exhausted and all plans between buyers and sellers are perfectly coordinated. As Ludwig von Mises states in his magnum opus, Human Action, the “market process is the adjustment of the individual actions of the various members of the market society to the requirements of mutual cooperation” (1949 [2007]: 258).

Thus, markets will always be imperfect, but that is precisely why markets exist in the first place! Markets never conform to the “ideal” of perfect competition, but this is completely irrelevant, since under such state of affairs, markets are unnecessary and redundant, since all resources are already perfectly allocated to their most valued uses. Market processes exist precisely because to generate the information necessary to better coordinate the plans and purposes of individuals in a peaceful and productive manner. The entrepreneurial lure for profit and the discipline of loss is what guides such imperfect processes in a tendency towards the creation of more complete information between buyers and sellers.

Rosolino Candela, “Are Markets Imperfect? Of Course, But That’s The Point!”, Econlib.org, 2020-05-18.

July 5, 2025

QotD: Roman provinces under the Republic

Filed under: Europe, Government, History, Quotations — Tags: , , — Nicholas @ 01:00

When Rome first expands overseas in 264, they opt not to continue replicating the socii-system as they go, but rather through a gradual and ad hoc process, develop a separate system of governance-by-magistrate for these provinciae or “provinces”, though as we’ll see the exact meaning of this word changes over time as well.

While the Romans mostly improvise this system for just a handful of provinces – most of the basic patterns of Roman provincial governance develop in just the first four provinces1 – that system becomes the customary way Roman magistrates [consuls and praetors]and promagistrates [proconsuls and propraetors] handled the overseas provinces they were assigned to. Consequently, it was replicated over and over again through Rome’s steadily expanding empire. By the time the Republic collapses into the Empire, Rome will have not four provinces but fourteen; by the end of the reign of Augustus, as the Roman Empire largely took the borders it would mostly hold for the next four centuries, there were just under thirty provinces. Yet the way Rome will govern these provinces largely continued to hold to model established in the Republic, at least through to the Severan Dynasty (193-225 AD), if not further.

As a result, the improvised system the Romans developed for those first four provinces would end up being how the vast majority of people in the Roman empire would experience Roman governance.

Bret Devereaux, “Collections: How to Roman Republic 101, Addenda: The Provinces”, A Collection of Unmitigated Pedantry, 2023-11-03.

    1. Sicily, Corsica et Sardinia, Nearer Spain and Further Spain, gained in the period from 241 to 197 and Rome’s only provinces until the addition of Macedonia in 147.

July 4, 2025

July 4, 1826

Filed under: Government, History, USA — Tags: , , — Nicholas @ 02:00

The History Guy: History Deserves to Be Remembered
Published 4 Jul 2022

On the fiftieth anniversary of the ratification of the Declaration of Independence, the US lost two of the men most responsible for its creation. Independence Day 1826 might be the most important since July 4, 1776.
(more…)

July 3, 2025

“[T]he old Fleet Street … would not have foregone the pleasures of a story involving the words ‘prime minister’, ‘firebombings’ and ‘quartet of male models'”

Filed under: Britain, Government, Media, Politics — Tags: , , , — Nicholas @ 04:00

Mark Steyn notes the amazing disinterest the British press has been showing for Prime Minister Keir Starmer’s recent firebombing “male model” troubles:

Sir Keir Starmer speaking to the media outside Number 10 Downing Street upon his appointment.
Picture by Kirsty O’Connor/ No 10 Downing Street via Wikimedia Commons.

Meanwhile, “Two-Teir Keir” gave an extraordinary interview to a friend from The Observer, in which he reveals that, other than his war on the remnants of UK free speech, he’s spent the last year getting everything wrong. It’s a weird and psychologically unhealthy confessional that one could not imagine from any of his predecessors, whether the wretched David Cameron or the Marquess of Salisbury. If you want the scoop, skip the lame-arse coverage from the decaying Spectator and go to my old chum Dan Wootton. The Speccie’s snoozeroo “gossip columnist” headlines his piece “Four lowlights from Starmer’s Observer interview“, yet fails to note the most intriguing lowlight of all.

Six weeks ago, Sir Keir gave a speech on immigration which, while being a statement of the bloody obvious two decades too late, nevertheless went further than anyone else of any consequence in British life has been prepared to go. Somewhat curiously, this speech came just a few hours after his car exploded and two houses of his were firebombed — for which three (at the time of writing) Ukrainian “male models” have been arrested. I would not wish to suggest the PM has a unique fascination with Ukrainian “male models”. A fourth man has since been arrested — a “male model” from Romania. Diversity is our happy ending! The words “male model” do not appear in The Observer‘s account:

    In the small hours of 12 May this year, there was a firebomb attack on the Starmer family home in Kentish Town. His sister-in-law, who had been renting the house since he became prime minister, was upstairs with her partner when the front door was set alight. “She happened to still be awake,” Starmer says, “so she heard the noise and got the fire brigade. But it could have been a different story …”

    The prime minister, who had arrived back from a three-day trip to Ukraine the night before, was due to unveil the government’s new immigration policy that morning. “It’s fair to say I wasn’t in the best state to make a big speech,” he says. “I was really, really worried. I almost said: ‘I won’t do the bloody press conference.’ Vic [Lady Starmer] was really shaken up as, in truth, was I. It was just a case of reading the words out and getting through it somehow …” – his voice trails off …

So Sir Keir has now disavowed the only non-bollocks thing he has ever said. He “deeply regrets” saying Britain risked becoming “an island of strangers”, but he only did so, he offers in mitigation, because he was stressed out by all the firebombing from the massed ranks of fetching Slav twinks congregated on his various doorsteps. Unlike the Speccie, my chum Dan Wootton has a nose for a story:

Lucy Connolly was fast-tracked into her gaol cell in nothing flat – because that was the priority of the British state. By comparison, the men who firebombed the Prime Minister’s car and houses will not appear in court until next April, because determining how a remarkable number of East European “models” with no English-language facility were sufficiently familiar with Sir Keir’s homes and car to firebomb them is not a priority. Presumably, by the time April rolls around, the boyish charmers will have been persuaded to do an Axel Rudakubana and cop a plea, so that no trial need be held at all.

Say what you like about the old Fleet Street, but they would not have foregone the pleasures of a story involving the words “prime minister”, “firebombings” and “quartet of male models”. The silence of The Spectator is very typical. If you subscribe to James Delingpole’s view that the increasingly bizarre individuals who make it to the top of the greasy pole — Starmer, Macron, Trudeau — are there because the people who really run the world have got kompromat on them (which is your basic Occam’s Razor), then terror cells of Donbass rent boys blowing up the PM’s motor is an obvious false-flag operation designed to discredit the general thesis …

Here’s the gist of it all, courtesy of another Bob Vylan crowdpleaser:

    Heard you want your country back Ha! Shut the f*** up! Heard you want your country back

    You can’t have that!

I’m Keir Starmer and I endorse this message. As I wrote twenty years ago — whoops, no, thirty sodding years ago, a counter-culture has to have a culture to counter. And in Britain and elsewhere an old establishment has merely been supplanted by a new one with lousier tunes. It’s not “edgy” or “transgressive” if you’re live on the BBC’s biggest outlet at an event run by a bloke with a knighthood. The only true counter-culture is that identified by the pseudo-edgy ersatz-transgressive Sir Bob Vylan — the ones who want their country back. Ask Peter Lynch.

Oh, wait, you can’t: He’s dead. Sir Keir Starmer and Jeremy Richardson KC killed him — because, in order to prevent you “harming” them, it is necessary for them to harm you.

July 1, 2025

Like a cheap suit, Canada folds under Trumpian pressure on the Digital Services Tax grab

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

A couple of days back, I characterized Prime Minister Mark Carney’s determination to push ahead with the Digital Services Tax “insane”, as it was overwhelmingly likely to trigger a strong reaction from the Trump administration. As it did. So, finally recognizing they were in a no-win situation, the federal government announced at the last minute that they wouldn’t be demanding the literally billions of dollars from the US “tech giants” after all. Michael Geist can legitimately say “I told you so” on this issue:

President Trump Attends G7 Summit in Canada by White House https://www.whitehouse.gov/gallery/president-trump-attends-g7-summit-in-canada/ CC BY 3.0 US

After years of dismissing the warnings of likely retaliation, the Canadian government caved last night on the digital services tax. Faced with the prospect of the U.S. suspending trade negotiations, Finance Minister François-Philippe Champagne announced that the government would drop the DST altogether, payments scheduled for Monday would be cancelled, and legislation will be forthcoming to rescind the legislation that created it in the first place. Over the weekend, I wrote about the repeated warnings that the DST was a serious trade irritant with the U.S. that cut across party and presidential lines. While ignoring the risks was bad enough, I argued that Canada played its DST card too early. Rather than delaying implementation in the hopes of incorporating it into a broader trade deal with U.S., it marched ahead, leading to an entirely predictable response from U.S. President Donald Trump. That left Canada in a no-win situation: stick with the DST but face the prospect of higher tariffs or embarrassingly drop the DST (and $7.2 billion in revenue over five years) with only restarting negotiations that were on until government overplayed its hand to show for it.

It is hard to overstate how badly the government managed the DST issue over the past five years. It alienated allies by pushing ahead with the DST despite efforts at an international deal at the OECD, stood alone in rejecting an extension of a moratorium on new DSTs, made the DST retroactive which solidified opposition, and continually downplayed the concerns of successive U.S. Presidents and Members of Congress from both sides of the aisle. Meanwhile, when companies began passing along the costs of the DST to Canadian businesses, it did nothing. And when they urged the government to delay implementation to at least allow for the issue to be incorporated into a broader trade pact, it ignored the advice.

At every step, there were better options. This year, the likelihood that the DST would come to a boil was obvious to anyone who was paying attention. But rather than following the UK strategy, which managed to salvage a smaller DST (2% rather than 3%) as part of a bigger agreement that includes a commitment to support UK digital access to the U.S. market and to negotiate a larger digital trade deal, Canadian officials seemingly assumed that the U.S. was bluffing and would not retaliate.

If this sounds familiar, it is because the Canadian government misreading the tech sector has become a hallmark of its policy. Talk tough, practically dare companies and foreign governments to respond, and then frantically seek an exit strategy when they do. This was the case with the Online News Act and Meta’s blocking of news links, with the government’s AI regulation which new Minister of AI Evan Solomon says will not be re-introduced, with the Online Harms bill, and now with the DST.

The Food Professor explains what Trump got right in his Trade War

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

On the social media site formerly known as Twitter, Dr. Sylvain Charlebois, aka @FoodProfessor explains how Trump’s Trade War strategy is working out for US interests, in contrast to the Trudeau/Carney governments’ approach:

The Globalism Hangover: What Trump’s Trade War Got Right

“Trump’s bombastic style aside, his nationalist approach to trade and food policy is forcing global institutions to justify their existence — and that’s a conversation Canada can no longer afford to ignore.”

For the past six months, President Donald Trump’s trade policies have been widely mocked, criticized, and condemned. Some of it is certainly warranted. The Wall Street Journal, for instance, recently likened his tariff-heavy approach to global trade as a direct path toward another Great Depression. But data out of the United States tells a more nuanced story — one that challenges conventional wisdom.

Despite persistent headwinds, the U.S. economy continues to outperform expectations. The Federal Reserve Bank of Atlanta projects second-quarter GDP growth at 3.8%. In May, the U.S. economy added 139,000 jobs, outpacing forecasts, while inflation remained subdued at 0.1% month-over-month and 2.4% annually. The U.S. trade deficit has been cut nearly in half, pointing to stronger export performance and a rebalancing of trade relationships.

Canada, by contrast, is showing signs of economic strain. The national economy is shrinking, manufacturing is struggling under U.S. trade pressure, and food inflation is outpacing general inflation. In short, our economy is not keeping pace—despite our public criticism of the Trump administration.

To make matters worse, the Trump administration has now halted all trade negotiations with Canada, signaling that our bilateral economic relationship holds little strategic value for Washington. For the U.S., Canada is no longer a priority — especially under a Carney-led government that has visibly pivoted toward Europe, a market still heavily invested in maintaining close ties with the United States. From an agri-food standpoint, this shift is consequential: access to our largest trading partner is narrowing, while Ottawa appears more focused on diplomatic optics than on securing stable, competitive trade channels for the Canadian agrifood economy.

This is the one thing the ‘Elbows Up’ crowd never understood — and still doesn’t. We’re not in a trade war with the U.S. There’s no war to be won. For Trump, this is about a realignment of the global order, plain and simple — one centered entirely on American supremacy.

Love him or loathe him, Trump is not destroying the U.S. economy — not yet, anyway. His unapologetically nationalist agenda extends far beyond tariffs. He has withdrawn U.S. support from key global institutions such as the WHO and is threatening to sever ties with others, including NATO and several UN-affiliated agencies. Among them is the Food and Agriculture Organization (FAO), the UN’s most authoritative body on food security.

At a recent event in Brazil, a senior FAO official acknowledged that fundraising dynamics have shifted. In the Trump era, governments are asking harder questions: Why should we fund the FAO? What domestic benefit does it provide? What used to be assumed support is now conditional — and arguably, more accountable.

This shift isn’t unique to Washington. Many countries are quietly aligning with the U.S. position, scrutinizing globalist institutions with renewed skepticism. Transparency and accountability are byproducts of this anti-globalist sentiment — something not inherently negative.

For decades, globalism pushed the world to believe that trade liberalization was the only viable path to growth and prosperity. It became conventional wisdom. But globalism has made some nations — and some people — richer, while leaving others behind. In the process, domestic sectors, including agriculture, were often sidelined or sacrificed in the name of global efficiency.

The problem with globalism, particularly in agri-food policy, is its tendency to pursue uniformity over relevance. Canada, for example, adopted the carbon tax under a globalist climate agenda that often overlooks the vital role food producers play in feeding people. Instead of being supported, the sector is too often vilified as a problem. But agriculture is not a liability — it is a necessity.

Trump’s message — wrapped, of course, in provocative and often abrasive language — is that one-size-fits-all global policies rarely work. Nations have different socio-economic realities, and those should come first. While cooperation is essential, so is recognizing local and regional priorities. In this sense, his “America First” approach is not without logic — especially when it seems to be yielding short-term economic gains.

For Canada’s agri-food sector, the lesson is clear: striking a better balance between global commitments and national imperatives is overdue. We should not abandon multilateral cooperation, but we must stop anchoring policy to global agendas we have little influence over. Instead, let’s define what works for Canadians — what supports our farmers, protects our food security, and reflects our unique landscape — while keeping the broader global context in view.

We are not there yet. But if this moment of disruption sparks a more realistic and regionally attuned approach to food policy, we’ll be better for it.

QotD: Canadian measuring “systems”

Filed under: Cancon, Government, History, Quotations, WW1 — Tags: , , — Nicholas @ 01:00

There’s a section in a book about First World War that’s been called the most Canadian paragraph ever written. It’s in the book At the Sharp End by historian Tim Cook, and he’s describing the way Canadian soldiers built trenches. Writes Cook, “the front-line trenches were ideally some six feet deep, and surmounted by another half to full meter of parapet”. If you’re Canadian, you probably didn’t notice anything off about that. But what Cook did was to casually mix two measurement systems in a single paragraph: He starts off by measuring the trench in feet, and then switches to meters for no particular reason. And Canadians do this all the time. Most of the world uses the metric system. The Americans use imperial. And then Canada uses an unholy amalgam of both. It’s one of our weirdest national traits – and one of the first things that immigrants notice when they come here.

We measure weather and room temperature in Celsius, but we still bake in Fahrenheit. Your weight is in pounds, but your car’s weight is in kilograms. You drink alcohol by the ounce, but soda by the millilitre. The phenomenon was summed up in an imaginary dialogue by Canadian comedian Janel Comeau. Scene: An American, a European and a Canadian. The American says “I use miles and pounds”. The European says “I use kilometres and kilograms”. The Canadian takes an assortment of global measuring systems, crushes them into a powder, and snorts them like cocaine before declaring, “I’m 5’3, I weigh 150lbs, horses weigh 1000kgs, I need a cup of flour and 1L of milk”.

And none of this is an accident. Canada’s bizarre system of half-imperial, half-metric represents the truce lines of a culture war battle whose scale and ferocity is all but forgotten today. There were people in the 1970s who wanted to purge this country of any memory of the imperial system. Feet, inches and gallons were a relic of a backwards, colonial age, and the future belonged to rationalist, scientific metrication. A small army of bureaucrats armed with meter sticks and one-litre jugs were dispatched to spread the metrication gospel. And if you didn’t comply with the new metric zeitgeist, you could face severe consequences. For example, if you were a gas station continuing to sell gas by the gallon instead of by the litre, you could be fined.

But this grand plan to reprogram the Canadian psyche was thwarted, and thwarted forever. And when you buy beef by the pound or do your carpentry with inches and feet, you are the unwitting legacy of a populist, anti-government protest movement that hated the metric system and went all-out to stop it. We’re talking protests. Lawsuits. Civil disobedience. This story will literally feature a group of pissed-off Conservative MPs opening a “freedom” gas station to defy federal mandates to sell gasoline by the litre.

Tristin Hopper The metric schism | Canada Did What?”, National Post, 2025-03-11.

June 30, 2025

DOGE couldn’t address the structural problems with the US government

Filed under: Bureaucracy, Government, Media, Politics, USA — Tags: , , , , , , , — Nicholas @ 03:00

At the Foundation for Economic Education, Mohamed Moutii looks at the reasons DOGE was unable to come close to achieving the lofty goals it was launched with:

DOGE’s biggest failure was its inability to deliver its promised sweeping transformation. From the start, its $2 trillion savings target was unrealistic. Cutting nearly 30% from a $7 trillion budget was never feasible, especially with politically untouchable programs like Social Security, Medicare, Medicaid, and Defense off the table.

Musk’s claim that eliminating waste alone could close the gap didn’t hold up. While most budget experts support cutting inefficiencies, they agree that waste isn’t the main driver of the fiscal crisis. Even slashing all discretionary spending would save only $1.7 trillion. The real pressure comes from mandatory programs, which account for nearly two-thirds of the budget, leaving only a quarter of spending truly up for debate.

As reality set in, Musk’s savings claims shrank from $2 trillion to just $150 billion. While DOGE cites $170 billion saved, independent estimates suggest closer to $63 billion, less than 1% of federal spending, with many claims either inflated or unverifiable. Some savings were credited to long-canceled contracts. Though headline-grabbing layoffs and cuts were made, they were often botched, forcing agencies to rehire staff or reverse course. Meanwhile, federal spending rose by $166 billion, erasing any gains. Trump’s fiscal agenda worsens the outlook with the first-ever $1 trillion defense budget, sweeping tax cuts, and protected entitlements — all while annual deficits approach $2 trillion.

Yet DOGE’s failures ran deeper than mere fiscal naiveté. What began as Musk’s role as a “special government employee” quickly expanded into an unchecked exercise of executive power, raising constitutional alarms. His team reportedly accessed classified data, redirected funds, and sidelined entire agencies — actions taken without Senate confirmation, potentially in violation of the Appointments Clause of the Constitution. Legal pushback swiftly followed, with fourteen states suing Trump and Musk over the constitutionality of Musk’s White House-granted authority.

Meanwhile, glaring conflicts of interest became impossible to ignore. Musk’s companies — X, SpaceX, and Tesla — hold $38 billion in federal contracts, loans, tax breaks, and subsidies while facing over 30 federal investigations. His push to dismantle regulatory agencies like the Consumer Financial Protection Bureau (CFPB) — while X launches the “X Money Account“, a mobile payment service subject to CFPB oversight — only deepened concerns. Musk was legally obligated to separate his business dealings from government decisions. One major result has been the impact on Musk’s reputation. Once hailed as a visionary for his promotion of electric cars, he is now viewed unfavorably by many former fans.

QotD: Britons and their NHS

Filed under: Britain, Bureaucracy, Government, Health, Quotations — Tags: , , — Nicholas @ 01:00

Anecdotes, neither positive nor negative, are not the way to assess the performance of the NHS or any other healthcare system. But I suspect that I am not alone in finding it distinctly difficult, intimidating and unpleasant even to get to see a doctor (though I am middle-class and tolerably prosperous).

I have to run a gamut of procedures to do so and face a receptionist who treats me as a fraud trying to get something to which I am not entitled, and I have no practitioner whom I can call my doctor. The NHS has crowded out private competition, and the nearest private doctor is 25 miles away. Suffice it to say that, if I want to see a doctor, it is easier, quicker and more pleasant for me to go to France than to the health centre about 300 yards from my house in England.

I cannot in all honesty say, however, that my health has suffered in any measurable way as a result of this unpleasantness, because my health is good and I am not a doctor-botherer. But it does reveal something about Britain that is not true in France: in our dealings with the NHS, we are a nation of paupers who must accept what we are given by grace and favour of the system. It may be good or it may be bad, but we have to accept it.

Furthermore, under the NHS doctors themselves are becoming ever less members of a liberal profession and ever more executors of orders from on high, with little leeway to consider whether these orders are good or bad in the case of the individual case before them.

This is a problem in all systems in which a third party pays for patients’ treatment, but it is particularly acute in a highly-centralised and dirigiste system such as the NHS, in which uniformity is the goal, even if it be uniformity of error. And increasingly, it creates an atmosphere of technical, managerial and ethical conformity.

Theodore Dalrymple, “Empire of conformists”, The Critic, 2020-04-29.

June 29, 2025

Carney’s insane determination to keep the Digital Services Tax

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

One of the most noted features of Prime Minister Mark Carney’s attitude toward, well, everything is his unwillingness to take the concerns of his opponents into account. He seems to feel that he always knows best and therefore any opposition is therefore, by his definition, wrong. The government had been warned by pretty much every observer that the attempt to impose a protectionist digital service levy had incredibly high chances of triggering blowback … and it has:

Mark Carney’s thought process when he encounters dissent, probably

In other words, you can have many reactions to the current DST battle, but surprise should not be one of them. Canada pushed ahead despite efforts at an international agreement on the issue and later dismissed the increasing friction over the issue with the U.S., which has been signalling its opposition to the DST for many years. Donald Trump has taken action, but his views are not dissimilar from Joe Biden’s on the issue nor Members of Congress from both parties. Further, the companies directly affected by the rules have been similarly responsive. For example, Google began levying a 2.5% DST fee on Canadian advertisers last year in anticipation of the DST taking effect in 2025, thereby passing along much of the DST cost to Canadian businesses and consumers.

To be clear, Canada is free to adopt whatever tax policies it wants and tech companies should pay their fair share of taxes. Ensuring tech companies collect and remit sales taxes on digital sales and services is now well established in Canada. But the government’s policy of “making web giants pay” by going above taxes all companies pay with a percentage of revenues to support Canadian film and television, millions for the news sector, and now the DST was always going to spark a reaction.

Further, the Canadian DST is exceptionally complex, covering a wide range of digital revenues that occur in Canada. The baseline applicability is for companies that generate 750 million euros (about C$1.1 billion) in global revenue of which at least $20 million is digital services revenue in Canada. Digital services revenue can arise from (1) online marketplace services revenue (which would cover an Ebay, Airbnb or Uber), (2) online advertising services revenue (Google or Microsoft), (3) social media services revenue (Facebook or TikTok), and (4) user data revenue (any company that collects and sells user data). Targeting these services means there is a lot stake, estimated by the Parliamentary Budget Officer at $7.2 billion over five years.

Other countries have DSTs, but Canada was the only one to introduce one despite an agreement to institute a moratorium on new DSTs years ago at the OECD. And then it was one of the only countries to reject an extension of that moratorium. The government insisted it would move ahead without delays and indicated it was confident it could avoid retaliation.

Given the trade tensions with the U.S. since the election of Donald Trump, unilaterally dropping the DST in the midst of a trade battle did not make much sense as we needed policy certainty under a broader deal. In other words, the DST was a card we had to play as part of a negotiation. But once we played that card by announcing the tax would take effect next week, it virtually guaranteed the U.S. would respond as it did. The priority should have been a broader deal. The government could have adopted a Trump-style delay for a month to give more time for negotiations. It could have have followed the UK model of weaving it into a broader agreement and committing to a larger digital trade deal. Instead, the government continued years of dismissing the trade risks associated with the DST, potentially creating bigger economic problems in the process.

Dan Knight on how Ottawa deliberately baited Trump, despite all the warnings that this was an incredibly stupid idea:

Donald Trump has officially walked away from the negotiating table. The trigger? Canada’s ill-conceived Digital Services Tax (DST) — a reckless, retroactive grab for revenue targeting U.S. tech firms. Trump isn’t mincing words: he’s calling it a “blatant, discriminatory attack” on American innovation, and now he’s moving to punish Canada economically for it.

So what exactly is this tax?

The Digital Services Tax, passed by the Liberal government and implemented under Mark Carney’s leadership, applies a 3% levy on revenue — not profits — earned by large digital firms operating in Canada. And it’s retroactive. That means it’s being applied to earnings from as far back as January 1, 2022, with companies forced to make lump-sum payments by June 30, 2025.

This tax specifically targets companies with global revenue of at least 750 million and Canadian digital revenue of at least CAD 20 million. Translation: It’s a direct hit on American giants like Google, Amazon, Meta, Airbnb, and Uber, and it spares Canadian firms and EU-based entities from equivalent exposure. It’s not tax fairness — it’s protectionism with a smiley-face sticker.

Trump has responded in kind. As of June 27, all trade negotiations with Canada are suspended. Retaliatory tariffs — already mounting since February — are set to escalate. Trump is drawing a red line, and he’s daring Canada to cross it.

What’s at stake?

Everything. Canada sends over 75% of its exports to the United States. We’re talking about nearly a trillion dollars in annual trade. With Trump now actively leveraging tariffs and ending negotiations, entire sectors — from automotive to agriculture, energy to manufacturing — are in the crosshairs.

Already this year, Trump has slapped 25% tariffs on Canadian imports, with specific hits to steel, aluminum, vehicles, and auto parts, and 10% tariffs on Canadian oil, gas, and potash. These moves have already disrupted markets. Ending trade negotiations is a body blow to an already wobbly Canadian economy — still reeling from Trudeau-era mismanagement and Carney’s corporate globalist agenda.

So who could have seen this coming?

Almost everyone.

The oddity of Donald Trump’s personal “golden share” in US Steel

Filed under: Business, Government, Japan, USA — Tags: , , — Nicholas @ 04:00

In the National Post, Colby Cosh points out the weirdest element of President Trump’s deal with Nippon Steel for the takeover of venerable US Steel:

A “golden share” is a special kind of equity that gives its holder veto power over specified corporate decisions. It is often used in privatizations to give governments some vestige of control over corporate entities originally created by the state (or, in Canada, the Crown) for public purposes. In this unusual case, the U.S. government is magically gaining a golden share in exchange for permitting the sale of one private company to another. The government will be given the right to choose some U.S. Steel board directors, to forbid any name change, and to veto factory closures, offshoring, acquisitions and other moves.

As the Cato Institute immediately pointed out, this is a de facto nationalization of U.S. Steel — the sort of thing that would have had Cold War conservatives climbing the walls and hooting about socialism. But at least socialism professes to be social! Yesterday a lefty energy reporter named Robinson Meyer was nosing around in the revised corporate charter for the newly-acquired U.S. Steel, and he discovered a remarkable detail that the Cato folks had missed: the decision powers of the golden share have been legally assigned to Donald Trump in person and by name for the duration of his presidency. Only after Trump has left the White House do those golden-share powers revert to actual U.S. government departments (Treasury and Commerce).

The stench of banana-republicanism here is truly overwhelming. Again, any species of government foreign-investment review is bound to have a personal character, but such decisions are not supposed to involve the legally explicit assignment of a valuable corporate asset to the decision-maker in his own person. Can this be described as anything but legalized, open bribery — assuming that U.S. courts will find it legal if the terms of sale are challenged? Where in the U.S. Constitution, or in the history of the United States, can any warrant for this extraordinary behaviour conceivably be found? And will unholy bargains of this nature soon become routine?

June 28, 2025

Breathtaking hypocrisy in the BC Ferries deal to buy ships from China

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

As you’d imagine, with the coastal geography of British Columbia, there’s a lot of demand for ferry service between the mainland and Vancouver Island (and other less-accessible-by-land locations). BC Ferries runs a fleet of ships to handle this traffic and needed some new ferries to replace older vessels. They decided, in the middle of a trade war, to source the ships from China rather than a Canadian shipyard. And the federal government financially backed the purchase:

So just to recap — because this one’s almost too absurd to believe: BC Ferries cuts a billion-dollar deal with a Chinese state-owned shipyard to build four new ferries. Canada’s Deputy Prime Minister Chrystia Freeland — always quick to perform outrage when the cameras are on — writes a stern letter saying how “dismayed” she is. She scolds British Columbia for daring to do business with a hostile foreign regime that’s literally attacking our critical infrastructure in real time.

And then — wait for it — it turns out her own federal government quietly financed the whole thing.

Yes, really.

According to an explosive report from The Globe and Mail, the Canada Infrastructure Bank — a federal Crown corporation — provided $1 billion in low-interest financing for the very same China shipbuilding deal Freeland claimed to oppose. The contract was signed in March 2025. The outrage? That only came later, when the public found out about it in June.

Freeland’s letter to BC’s Transportation Minister was loaded with warnings. She talked about China’s “unjustified tariffs” and “cybersecurity threats”. She demanded assurances that “no federal funding” would support the purchase. But what she didn’t mention — what she conveniently left out — was that Ottawa had already cut the cheque. The financing was already in place. The loan had been approved. Freeland just didn’t say a word.

And when reporters asked for clarification, what did her office say? Nothing. They passed the buck to another minister. The new Infrastructure Minister, Gregor Robertson, now claims the government had “no influence” in the procurement decision. No influence? You loan a billion dollars to a company and have no opinion on where it goes?

Let’s be clear: This wasn’t some harmless miscommunication. If it wasn’t a cover-up, then it was sheer incompetence — the same brand of incompetence that’s driven our shipyards into obsolescence, our economy into dependence, and our country into managed decline. An entire federal cabinet stood by, watched this unfold, signed the cheque — and then pretended they had nothing to do with it.

And British Columbia’s government? Just as bad. Premier David Eby, the man who pretends to champion “BC First”, claims he was “not happy” with the China deal but says it’s “too late” to change course. Too late? This isn’t an asteroid heading for Earth. It’s a contract. And contracts can be rewritten, canceled, renegotiated — if anyone in charge had the political will to stand up and say, “No, we don’t hand billion-dollar infrastructure projects to hostile regimes”.

But instead, we get excuse after excuse. They say BC Ferries is independent. They say there was no capacity in Canada. They say we had no choice. All the while, Canadian shipyards sit idle, unionized workers are frozen out, and the Canadian taxpayer is stuck subsidizing Chinese shipbuilding — and Chinese espionage.

June 26, 2025

German police raid homes to counteract online “hate speech” by “digital arsonists”

Filed under: Germany, Government, Liberty, Media, Politics, Technology — Tags: , , , , , — Nicholas @ 04:00

Things are getting worse for free speech in Germany, as eugyppius reports:

Apollo News reports on the newest, most irregular German holiday, which consists of the police conducting coordinated raids on and interrogations of ordinary people who are alleged to have said rude things on the internet:

    On Tuesday morning police across Germany conducted raids targeting “hate speech and incitement” on the internet. According to the news agency dpa, there are currently 170 operations underway, including house searches and other measures. Those accused are charged with insulting politicians and inciting hatred …

    The Federal Criminal Police Office (BKA) is in charge of the operation … In North Rhine-Westphalia, several police authorities struck simultaneously at 6 a.m. Police from Düsseldorf, Dortmund, Gelsenkirchen, Cologne, Bielefeld, Münster, Hagen, and Bonn are among those involved. Fourteen suspects are to be questioned and two search warrants executed.1 The individuals in question frequently express themselves on social media, such as on X.

    … The Action Day against alleged hate posts has been taking place regularly for years. On June 18, the BKA joined forces with the reporting center “REspect!” to participate in the “International Day Against Hate and Incitement”. People were called upon to report posts that allegedly spread hate.

Today was the twelfth such “Action Day against Hate and Incitement on the Internet”. That is only an approximate title; it varies slightly across press sources. This dubious ritual began in 2016, after Merkel opened the German borders to the entirety of the developing world and our politicians grew tired of people calling them imbeciles online. Police are very open that the goal of these coordinated Action Days is intimidation – or, as they put it, “deterrence”.

Our federal police love this holiday so much they often celebrate it twice a year, which is why are already on the twelfth such day, even though we have only had nine years since the establishment of this custom. Sometimes our betters even throw in bonus action days that for some reason don’t count, as during Covid when they conducted a special “Action Day against Political Hate Postings” after the seventh “Nationwide Action Day against Hate Postings” but before the eighth “Nationwide Action Day against Hate Postings”. Who knows how many such action days we have really had, especially considering that since 2020 the broader EU has adopted this sporadic holiday and occasionally coordinates its own Continent-wide “Action Day against Hatred and Incitement on the Internet”.

[…]

By calling these Action Days idiotic, I don’t mean to minimise them. They are borderline illegal, for they exploit what should be purely investigative tactics (interrogations, house searches) to scare and punish people in advance of any criminal conviction. The emphasis is not only on right-leaning posters, but invariably and most disgracefully on ordinary people with relatively little social media reach, whose posts in many cases have been seen a mere handful of times. The message is clear: They can get you, whoever you are; they can get anybody. Living in a country whose authorities amuse themselves by periodically harassing their own citizens in this way is disturbing. It’s an absolute scandal that all the major political parties support this, save for Alternative für Deutschland. It’s a reason to vote AfD all by itself.

QotD: Credentialism versus meritocracy

Filed under: Bureaucracy, Education, Government, Quotations, USA — Tags: , , , , , — Nicholas @ 01:00

Returning briefly to the running theme of Vietnam, what all the “happy little hotdogs” had in common was: They were all Harvard men. Kennedy was a Harvard graduate. McGeorge Bundy had been a Dean at Harvard. McNamara was a Harvard b-school grad. John McNaughton was a Harvard professor. Maxwell Taylor was a West Pointer, but all the other happy little hotdogs said “he was the kind of general Harvard would produce”; they could think of no higher compliment.

Harvard’s motto is “Veritas” — truth — but it ought to be “ludificationes pertinet“, which the internet informs me is how you say “delusions of competence” in Latin. I meant it when I said that the “Ministry of Talent”, as these jerkoffs unironically called themselves, actually had some serious brainpower and real accomplishments … but the Peter Principle is also true, and though they had some real brains and actual accomplishments, neither their brains nor their accomplishments at Harvard translated to anything out in the real world, any more than some Late Republic social climber’s “experience” as curule aedile translated to anything real in their world.

Just as the Roman Senate had no idea how to deal with a Julius Caesar, then, despite it all, so no American “leader” had any idea how to deal with a guy like Ho Chi Minh, even though he, like Caesar, had always been perfectly open and forthright about what he was doing and why. It never occurred to “the best and brightest” to even ask the question “What does Ho Chi Minh want?”, because after all, Ho Chi Minh wasn’t a Harvard man.

And all this was 60 years ago. These days, the AINO cursus honorum is so widespread that every kid who manages to fill out a college app has a resume that would give McGeorge Bundy an erection lasting more than four hours. You’ll have to trust me on this, I guess, but I wouldn’t be surprised to learn that Flyover State — which is respectable but rinky-dink; the kind of outfit where you see their team losing a late December bowl game and you think “Gosh, I guess that state has a third college in it” — had several hundred student organizations …

… all of which seem to exist for no other reason than to have “officers”, to which these little social climbers can be “elected”, the better to pad their law, med, and grad school apps. By the end of my career, probably 3/4 of the students who ever sent me an email had an auto-signature on it, and that auto-signature was longer than my entire CV. President of this, Vice-Treasurer of that, Assistant Grand Poobah (junior grade) of the other thing. Grandpa Simpson was a piker compared to these kids:

    I’m an Elk, a Mason, a Communist. I’m the president of the Gay and Lesbian Alliance for some reason. Ah, here it is. The Stonecutters!

Instead of giving potential movers and shakers some practical experience, our modern cursus honorum casts the widest possible net for sociopathy. McGeorge Bundy is your absolute best case scenario. He wasn’t actively evil; he was just a goofy egghead who thought he was way smarter and more accomplished than he actually was, because he’d never been in a position to find out otherwise. (An anecdote that tells you everything you need to know, courtesy of Wikipedia: “When applying to Yale, Bundy wrote on the entrance exam ‘This question is silly. If I were giving the test, this is the question I would ask, and this is my answer.’ Despite this, he was still admitted to Yale as he was awarded a perfect score on his entrance exam”).

Think about that the next time you go to the doctor. Even if your MD — or, much more likely these days, PA — isn’t a prize graduate of Bollywood Upstairs Medical College, xzhey most likely spent xzheyr college years as an Elk, a Mason, a Communist …

Your worst case scenario is, of course, another Caesar. A fake and gay one, it goes without saying — this being Clown World — but a fake and gay Caesar can still do tremendous damage, because they’re the worst of both worlds: Bundy-level goofs, and angry ethnic sociopaths with huge chips on their shoulders. These are the kids who have been “team leads” doing “original research” since about age 12. Not only have they never failed, they’ve never been exposed to the merest hint of the possibility of failure. All their “success” is theirs by right. They have Caesar’s vaulting ambition, his utter disregard for tradition, his absolute cutthroat ruthlessness … and none of his experience, to say nothing of his competence.

Severian, “Cursus Honorum”, Founding Questions, 2021-12-27.

« Newer Posts — Older Posts »

Powered by WordPress