Our Constitution can accurately be described as the envy of the world, but then again the world doesn’t really get to see us gawking at each other in open-mouthed confusion over embarrassing gaps like this one. The key features of the 1982 Constitution were hammered out in smoke-filled hotel rooms by men who intentionally refused to record their discussions and who have never ceased arguing about exactly how they went. The various Canadian governments built the frame in haste, were late to begin talking to each other, never involved the public, and left the structure consciously half-finished. It’s a wonder it hasn’t yet come down on our heads.
Colby Cosh, “Mind the constitutional gap”, Maclean’s, 2013-09-09
September 9, 2013
QotD: Canada’s constitution
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June 27, 2013
Section 13 repealed
In all the news from the US yesterday, this little civil liberties tidbit got pushed off the front page:
As I write this I am still only being updated by text message on the proceedings in the Senate chamber but I am told Bill C-304 has passed third reading and will receive Royal Assent tonight making it law.
What does this bill do?
There are a number of amendments to the act that help limit abuse but the main one is this:
2. Section 13 of the Act is repealed.
To put it bluntly, the means you can’t take someone through the federal human rights apparatus over hurt feelings via a blog post or a Facebook comment.
Now the bill is passed and will become law but like many acts of Parliament it will not come into force for a year.
Still after a long hard battle to restore free speech in Canada, this is a victory.
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June 25, 2013
“You cannot have a functioning democratic republic when the laws are so voluminous no one can know what the law is”
I really did think they were kidding about needing to pass the law to be able to find out what was in it, but this appears to be the way US laws are made nowadays:
When a bill is amended in a sneaky manner, as this one has been, no responsible senator could just read 100 new pages. The amendments are interspersed thoughout the bill — it’s not like you could sit and read them as a unit, even if you had the time. Since the proponents are clearly trying to pull a fast one, prudence, as Senator Cruz pointed out, would dictate rereading every line of text, old and new, to search for insertions — and, indeed, news reports indicate that numerous new buy-offs and pot-sweeteners have been inserted.
But there is a larger point: no “important legislation” should be 100 pages long, much less 1,200 (or the even more mind-boggling girth of monstrosities like Obamacare). The United States Constitution is about 4,500 words long — outfits like Cato and Heritage publish it in small pamphlets that can be read in a few minutes. Nowadays, not only are the bills so gargantuan that no one could conceivably master them and predict their consequences; each page produces even more pages of regulations. They can’t even be lifted, much less digested.
You cannot have a functioning democratic republic when the laws are so voluminous no one can know what the law is. And that is especially the case when (a) the rationale for passing new laws — according to “reform” proponents like Senator Marco Rubio and Rep. Paul Ryan — is that we don’t enforce the laws currently on the books; (b) key parts of legislation consist of commitments to do what previously enacted law already commands; and (c) the president, notwithstanding his oath to take care that the laws are faithfully executed, claims the power to refrain from enforcing whatever laws he disapproves of. Washington has made a farce of the legislative process and of the once proud boast that we are ”a nation of laws not men.”
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May 30, 2013
The real reason we’re getting wall-to-wall senate scandal coverage
Colby Cosh suspects we may be on the receiving end of a massive distraction attempt:
I’m starting to half-believe the theory that the Senate expense scandal was cooked up to cover other problems for the Conservative Party of Canada. The broad main effect of the Senate fracas so far has been to exasperate the hell out of everybody. Mike Duffy’s bad behaviour presents the public with the frustrating conundrum that only the Senate can make rules for or punish errant senators, and that the major features of the Constitution (including that one) are probably immune from formal amendment for the next hundred years or so. Stephen Harper’s statutory end-run proposals for permitting Senate elections and tightening term limits are currently awaiting scrutiny by the Supreme Court; if the court rejects his measures, he can argue that they represented at least a fillip of attainable accountability, which they do, and that it is not his fault they were bounced.
In modern history, providing convenient excuses for inaction by elected politicians is about 45 per cent of the court’s function. And, at that, maybe it is okay to notice that the court, now crowded with Harper appointees, is as much an audience for Duffy’s antics as the rest of us. On top of all this, the whole mess invited Justin Trudeau, following cues like a good drama teacher, to plunge headlong into the trap of not only defending the Senate, but defending it on the specific grounds that Quebec is beneficially overrepresented therein.
If people are pulling faces at the Senate, that’s a win for the Conservative party. But perhaps more importantly, it’s a boost for the New Democrats, who have a clear “dynamite it” position on the Senate that they have advocated pretty consistently for half a century. Keeping the seat counts of the NDP and the Liberals roughly level with each other is the paramount strategic axiom for the Tories from now until (at least) 2015.
Most Canadians over the age of 40 would rather do almost anything other than watch another attempt at constitutional wrangling … we saw what happened the last couple of times the feds and the provinces tried re-rigging things to their preference.
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May 24, 2013
Is this Stephen Harper’s tipping point?
Paul Wells talks about the terrible week Stephen Harper has had:
A government is like a shark. If it stops swimming, it drowns. Harper has lasted 11 years as a party leader for two reasons: He was never alone and he had a plan. Indeed, it’s the plan that has often helped keep him from being alone, because his are a loner’s instincts. He reached out to the Progressive Conservatives in 2003 after battling them for 16 years because he knew his Canadian Alliance was too slim a platform for a man who aspired to govern. He made serious concessions to Quebec nationalism after mistrusting it all his life. After he united the Conservative party, he reached outside its bounds to attract Liberal MPs — David Emerson, Wajid Khan — and then, through Jason Kenney’s ethnic-outreach efforts, he took away an ever-growing bite of the Liberal voter base.
At every moment, he could afford such bold moves because he was secure in his leadership of the Canadian conservative movement. Harper’s critics tend to describe him as a loner, a brain in a jar created by mad scientists toiling in underground laboratories at the University of Calgary. But in fact he has expressed a broad cultural conservatism in the land. Millions of Canadians have been happy he is their Prime Minister. Knowing he had a base, he could build beyond it through decisive action.
And now? He is increasingly alone and isolated. Look across the country, across the border, around the world, and even within his own caucus.
[. . .]
In private conversations with reporters, Conservatives were calling for Harper to provide far more detail about the Duffy-Wright deal than he did on Tuesday. He let them down, as he has often done in this drama. Duffy was Harper’s choice for Senate. Wright was Harper’s chief of staff, working under Harper’s nose. When their plot was revealed, Harper’s response was to make a great show of reminding his MPs to keep their own noses clean. It’s like a neighbourhood kid who sends a baseball through your living-room window and then comes over to lecture you on your clumsiness.
All of this would matter less — to Conservatives, to the country — if it felt like a distraction from an “active and important agenda.” Of course, some of this government’s activity is well-known and broadly popular among Conservatives. Since the 2011 election, Harper has shut down the Health Council of Canada, the National Council of Welfare, the National Round Table on the Environment and the Economy, Rights and Democracy, the First Nations Statistical Institute and the National Council of Visible Minorities. The Millennium Scholarship Foundation, the Council for Canadian Unity and the Canadian Council on Learning were shut down a little earlier. The end of the mandatory long-form census was only the beginning of sharp cuts at Statistics Canada.
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May 21, 2013
Apple and the question of profit shifting
Tim Worstall explains why both Apple and the Senate Permanent Subcommittee on Investigations can both be correct on the question of profit shifting — because the term’s meaning isn’t consistent:
Apple divides itself, roughly speaking, into two segments. The Americas and everywhere else (not that unusual for a US company, actually). Apple’s point is that it makes profits in the US selling things to people in the US. All profits from doing this pay the full US corporate income tax minus the usual deductions and allowances that every company can take advantage of.
Apple also points out that it makes the majority of its profits selling things outside the US to people who are not Americans. The iPhones are made in China and sold in Europe, just as one example. These profits are made outside the US: and Apple does not bring them into the US. Thus such profits are not liable to US corporate taxation (it is more complex than this but that’s the gist of it).
However, the Senate doesn’t use that commonsense definition of the phrase:
The Subcommittee is agreeing that these are profits made in foreign countries. Profits made by buying something in China and selling it outside the US. These profits are then not repatriated to the US. This is then deemed to be profit shifting.
It’s worth noting what everyone does agree upon.
Apple makes large profits in the US. These pay full US corporate income tax.
Apple makes large profits outside the US. These are kept outside the US and do not pay US corporate income tax.
And so the question becomes, what is the definition of profit shifting? If we take Apple’s definition, that they do not move profits out of the US, then they’re not profit shifting. If we take the Subcommittee meaning then they are. For without the corporate structures that Apple has put in place then those foreign profits would be subject to the US corporate income tax (minus, of course, the foreign taxes already paid).
Update:
The company that built the iDevices you love so much MUST BE PUNISHED because that’s what government is all about, my children.
— etherbrian (@etherbrian) May 21, 2013
Update, the second: The Register‘s report on the Irish side of the “profit shifting” story:
Irish deputy PM: You want more tax from Apple? Your problem, not ours
Póg mo thóin, you crazy Yanks
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May 19, 2013
Stephen Harper’s chief of staff submits his resignation
Maclean’s covers the morning’s breaking news from Ottawa:
The prime minister’s chief of staff announced his resignation early Sunday, saying he left his post in light of the controversy around his personal handling of Sen. Mike Duffy’s expense payments.
Nigel Wright stepped down after a phone conversation with Stephen Harper, signalling a recognition that he — and not Duffy’s improper expense claims — had become the story.
Ray Novak, who has been by Harper’s side since 2001, will be the prime minister’s new chief of staff. Novak is thought to represent stability and is well known by all the federal ministers.
The Prime Minister’s Office said earlier this week that Wright personally paid off $90,000 in inappropriately claimed housing expenses for Duffy, prompting critics to complain that the bailout violated ethics rules that prohibit senators from accepting gifts.
I’m surprised it took this long for Wright to resign … I’d expected him to fall on his sword the day after it was revealed that he’d paid Duffy’s expenses with a personal cheque.
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April 21, 2013
April 18, 2013
March 11, 2013
March 7, 2013
February 27, 2013
Parliamentary Budget Officer conducting “constitutional vandalism”
Senator Anne Cools is displeased by the PBO’s ongoing legal and media campaign against the Federal government:
An independent senator says the parliamentary budget watchdog, Kevin Page, overstepped his mandate by taking the government to court in a battle for spending figures, and the Senate should force Page to withdraw the legal proceedings.
In a speech to the Senate Tuesday, Sen. Anne Cools argued that Page’s regular comments to reporters and more recent comments to his international counterparts about his battles with the government over spending figures were “provocative and inflammatory public statements” that are “intolerable and unacceptable.”
Page’s actions, Cools argued, were tantamount to contempt of Parliament, were a breach of parliamentary privilege and were affecting the Senate’s credibility to carry out its functions.
“Contemptuous and un-parliamentary,” she said of Page’s actions and comments, “they are constitutional vandalism.”
“They are inappropriate conduct from a Library officer under the direction of the Speakers of the Senate and the House of Commons. This Senate cannot accept this and should take some ‘shock-no-more’ actions.”
February 11, 2013
Senate report calls for tariff cuts
In the Financial Post, Terence Corcoran looks at the good and not-so-good aspects of a recent Senate report on the reasons Canadians pay so much more for goods than Americans (even when the goods are identical and the currencies are trading at par):
Retail prices in Canada, seemingly across the board, are higher. Even with the Canadian dollar at par, the price of everything from running shoes to televisions and Chevy Camaros to books is said to be above U.S prices. One bank report once put the Canada-U.S. price gap at 20%.
Somebody’s gotta do something, everybody agrees. Enter the Senate committee with one of the most hard-nosed, market-driven overviews of how and why Canadians pay more for goods at retail. The report dodges and fudges some key issues, especially farm product supply management, which was seen by the committee and the retail industry as too politically hot to handle.
[. . .]
Even in this, however, the committee pulls its first punch. The recommendation to “review” such tariffs — watery phrasing in itself — also suggests “keeping in mind the impact on domestic manufacturing.” Sorry, folks, but you can’t have it both ways. Tariffs are protectionist devices for manufacturers that consumers pay for. If you want to reduce the price to consumers, the $3.9-billion in protection for manufacturers has to go. End of discussion.
What makes The Canada-USA Price Gap even more valuable is its compact insights into the many causes of higher retail prices in Canada. The economy is a complicated and often unfathomable series of market and price relationships beyond the power and even understanding of policy makers. The report recognizes that fact time and again.
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January 20, 2013
Corporate welfare — it’s the American way
Sheldon Richman on the amazingly inefficient US tax code and some of the ways it got that way:
When Congress and President Obama came up with their beyond-the-last-minute deal to put off addressing the coming fiscal crisis, The Wall Street Journal turned the spotlight on a little-noticed, yet too typical aspect of Washington’s machinations: “The bill’s seedier underside is the $40 billion or so in tax payoffs to every crony capitalist and special pleader with a lobbyist worth his million-dollar salary. Congress and the White House want everyone to ignore this corporate-welfare blowout,” the Journal reported.
So a bill that was represented as the first steps toward fiscal responsibility (try not to laugh too hard) contained billions of dollars in corporate welfare. And it was a bipartisan affair.
[. . .]
Manipulating the tax code to benefit particular interests has obvious appeal for politicians — it’s a source of power and influence — and a code that did not permit such manipulation would be much less attractive to them. Outright cash subsidies from the taxpayers, while not unheard of, smacks too much of cronyism and is more likely to alienate taxpayers. But complicated exceptions written into the tax laws can be presented as creative governance on behalf of the public interest. But it is cronyism as offensive as outright subsidies.
[. . .]
Corporate welfare is not primarily about lowering taxes. That would be a worthwhile goal, of course, and could be achieved simply by slashing tax rates and simplifying the code. But when taxes are lowered selectively by writing complicated exceptions into the law, the goal is to bestow privileges on cronies, not to reduce the burden of government on all. Corporate welfare, among its many sins, violates equal protection under the law.
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