Tag Archives: Bank of Canada

Roundup: Putting Alleslev at the fore

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As expected, Andrew Scheer named Leona Alleslev as his new deputy leader yesterday, but left the majority of his House leadership team in place. Alleslev is a bit of a curious choice, given that she was a Liberal until a little over a year ago until she crossed the floor in a huff (and in conversation with MPs, it seems that a large part of her reason for crossing was because she was essentially being ignored by the PMO when she was trying to step up, and she felt unappreciated for her efforts, which is fair enough). There were plenty of sarcastic responses from long-time Conservatives over Twitter, given how she campaigned against Stephen Harper in 2015. Others Conservatives – Scheer loyalists in particular – were trying to insist that Alleslev represented the way the party needed to bring Blue Liberals into the fold – but this assertion is fairly problematic given that the Venn Diagram of Blue Liberals and Red Tories would show a fairly significant crossover in areas of being socially progressive, which is partly where the Conservatives are having problems right now. As well, it’s hard to qualify Alleslev as reaching out to those voters when she goes on TV and just parrots all of Scheer’s talking points, particularly around the environment, to the point where she was contradicting her previous statements and trying to walk them back when called on them. I’m not sure how demonstrating groupthink is reaching out to new voters. It’s also hard not to be cynical about Alleslev’s appointment as a box-ticking exercise about her being both a woman and from the GTA as the political reasons as to why she was chosen.

Scheer also took the opportunity to vow that he was staying on as leader, and insisted that the party needed to pull together behind him. This while Stephen Harper’s former campaign manager, Jenni Byrne, also called for his ouster, and there also talk about how Conservatives in Alberta are angry that he wasn’t able to defeat Trudeau in spite of Trudeau doing his level best to defeat himself in some cases.

In amidst this, Lisa Raitt was also keeping herself in the media, putting out the supposition into the public sphere that the more xenophobic populism that reared its head during the party’s last leadership campaign branded them during the election, and that it changed the perceptions around the party. (Raitt is also defending Scheer and saying that his weakness is that he doesn’t come off as a “strong man” on any particular area). And while Raitt is trying to insist that the likes of Kellie Leitch (and eventually Maxime Bernier’s Twitter persona) were somehow isolated incidents, she ignores the fact that Scheer himself promulgated far-right conspiracy theories about the UN Compact on Global Migration, that his comms team spread racist memes about irregular border crossings, that he offered succour to avowed racists because he thought he could use them to “own the Libs,” and that even though he knew that the xenophobia and far-right element of the “yellow vesters” had taken over that so-called “convoy” to Ottawa, he nevertheless still met with them – in full view of their xenophobic signs and symbols – and then took weeks to actually denounce white supremacy when called on it. So I’m having a hard time giving Raitt the benefit of the doubt for this theory of hers.

Meanwhile, Matt Gurney posits that Scheer’s ability to survive now turns on whether he can convince enough people that he can actually do better in the next election – and that’s becoming harder to do. Paul Wells poses more questions that the Conservatives need to consider regarding Scheer, the direction of the party, and their ability to build a winning coalition internally that has proved fairly elusive in recent decades.

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Roundup: Look at all the chimeric ministers

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With the usual bit of pomp and circumstance, the Cabinet has been shuffled in advance of Parliament being summoned. It is bigger by two bodies, there are seven new faces, a few new portfolios – and baffling ones at that – a few being folded back into their original ministries, and yes, gender parity was maintained throughout. The Cabinet committees are also getting a shuffle, which gives you a glimpse at what they see the focus will be, and spoiler alert, it’s very domestic and inward-looking – not much of a surprise in a hung parliament where there are few plaudits or seats to be won on foreign affairs files. It’s also no surprise that it’s Quebec and Ontario-heavy, and largely representing urban ridings, because that’s where the Liberals won their seats.

And thus, the biggest headline is of course that Chrystia Freeland has been moved from foreign affairs to intergovernmental affairs, but with the added heft of being named deputy prime minister – the first time this title has been employed since Paul Martin, and Freeland assures us that it’s going to come with some heft and not just be ceremonial. She’s also retaining the Canada-US file, so that there remains continuity and a steady hand on the tiller as the New NAFTA completes the ratification process. It also would seem to indicate that it gives her the ability to keep a number of fingers in a number of pies, but we’ll have to wait for her mandate letter to see what specifics it outlines, though the expectations that she will have to manage national unity in this somewhat fractious period is a tall order. Jonathan Wilkinson moving to environment has been matched with the expected talk about his upbringing and education in Saskatchewan, so as to show that he understands the prairies as he takes on the environment portfolio. Jim Carr is out of Cabinet officially, but he will remain on a Cabinet committee and be the prime minister’s “special representative” to the prairie provinces, which is supposed to be a less taxing role as he deals with cancer treatments (though I don’t see how that couldn’t be a recipe for high blood pressure, but maybe that’s just me). Two other ministers were demoted – Kirsty Duncan, who will become deputy House Leader, and Ginette Petitpas Taylor, who will become the deputy Whip – though it should be noted that both House Leader and Whip are of added importance in a hung parliament.

The opposition reaction was not unexpected, though I have to say the Conservatives’ talking point was far pissier than I would have guessed – none of the usual “we look forward to working together, but we’ll keep our eyes on you,” kind of thing – no, this was bitter, and spiteful in its tone and language. Even Jason Kenney was classier in his response (but we all know that lasts about five minutes). That’ll make for a fun next few years if they keep this up.

As for some of my own observations, I was struck by the need to name a new Quebec lieutenant, given that Trudeau used to say that they had a Quebec general (meaning him), so no need, and lo, did the Conservatives had meltdowns over it. Likewise, there was thought under the previous parliament that they would eliminate all of those regional development ministers and put them all under Navdeep Bains (whose ministry has rebranded again from Industry, to Innovation, Science and Economic Development, and is now Innovation, Science, and Industry), which kept a lot of the kinds of nepotism that was rampant in those regional development agencies at bay. Now Trudeau has hived off the economic development portfolio into its own ministry, to be headed by Mélanie Joly, but she’ll have six parliamentary secretaries – one for each development agency region, which feels like the whole attempt to break those bonds is backsliding. Science as a standalone portfolio was folded back into Bains’ domain, but the very specific project that Kirsty Duncan was tasked with when she was given the portfolio four years ago was completed, so it made a certain amount of sense. Democratic Institutions is gone, folded back into Privy Council Office and any of its functions Dominic LeBlanc will fulfill in his role as President of the Queen’s Privy Council (which is a role that is traditionally secondary to another portfolio). Trudeau continued to keep his Leader of the Government in the Senate out of Cabinet, which is a mistake, but why listen to me? (I’m also hearing rumours that Senator Peter Harder is on his way out of the job, so stay tuned). The fact that David Lametti got a new oath as minister of justice and Attorney General to reflect the recommendations of the McLellan Report was noteworthy. But overall, my biggest observation is that Trudeau is doubling down on the kinds of chimeric ministries that tend to straddle departments, which makes for difficult accountability and confusing lines of authority on files. The most egregious of the new portfolios was the “Minister of Middle Class™ Prosperity,” which is a fairly bullshit title to attach to the fact that she’s also the Associate Minister of Finance, which should have been significant in the fact that it’s the closest we’ve been to a woman finance minister at the federal level, but dressing it up in this performative hand-waving about the Middle Class™ (which is not about an actual class but about feelings) is all the kinds of nonsense that keeps this government unable to communicate its way out of a wet paper bag, and it’s just so infuriating.

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In hot takes, Chantal Hébert sees the move of Freeland as the defining one of this shuffle, and notes that it could either be just what they need, or it could be a kamikaze mission for Freeland. Susan Delacourt sees the composition of the new Cabinet as one that corrects past mistakes and of taking on lessons learned. Robert Hiltz points to the two polarities of this Cabinet – the farce of the Minister of Middle Class™ Prosperity, and the menace of putting Bill Blair in charge of public safety. Paul Wells makes the trenchant observation that carving up ministries across several ministers has the effect of creating multiple redundancies that will make more central control necessary – and I think he’s right about that. (Also, for fun, Maclean’s timed the hugs Trudeau gave his ministers, which didn’t compare to some from 2015).

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Roundup: The Cabinet dominoes

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With the days counting down until the Cabinet shuffle, the speculation is starting to get intense, and much of it is centred around the fate of Chrystia Freeland and whether Justin Trudeau will keep her in foreign affairs or move her to a more problem-solving domestic portfolio – particularly intergovernmental affairs, and capitalizing on her Alberta upbringing as the regional representative around the table (along with Jonathan Wilkinson as the Saskatchewan representative). One of the considerations is that nobody is quite sure who might take Freeland’s place in the foreign affairs portfolio, and the dominos go from there.

Another consideration is the fact that there will need to be some additional bench strength remaining for the committee chairs, as they will be a bigger battleground in a hung parliament than under a majority, given that the opposition will now hold the majority on them. That will essentially mean that amendments for bills will become a bigger consideration at the committee stage than they were in the previous parliament (to say nothing of what happens with amendments coming from the Senate, now that the Commons can insist on adopting them if the opposition all gangs up). There will be plenty of new dynamics that need to be managed – which is why the positions of House Leader and Whip will be all the more important in this new parliament.

Meanwhile, Heather Scoffield has been imagining mandate letters for incoming ministers, and those released over the weekend include the international trade minister, as well as the social development minister.

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Roundup: Big numbers for hate clicks

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I’m not a big fan of pieces that construct data in a way to give the worst possible reading, with the intention of making readers angry, because it’s not only bad journalism but it’s irresponsible because our job should be about providing context – not weaponizing it for hate-clicks. And yet, here is a shoddy piece from the National Post designed entirely for the purpose of stoking the fires of the supposed anger in Western Canada right now, by producing a piece which purports to show how Alberta is basically funding Quebec. Oh, they’ll say – this is all Statistics Canada data! But as with any statistical data, it is dependent upon how it is contextualized and presented, and in this case, it’s in terms of “net fiscal transfers” without breaking out what that entails, nor does it actually explain equalization in any way. The most nuanced the piece gets is citing economist Trevor Tombe who reminds people that Albertans pay more in taxes because they have the highest incomes in the country – but it doesn’t then explain that those taxes go to federal general revenues, which then get distributed in programs, which can include equalization. There is no talk about equalization being about the fiscal capacity of a province and ensuring that they can have an equal level of service compared to other provinces, and how that is impacted by their provincial tax rates, or the fact that Alberta has chosen to keep its provincial taxes artificially low and making up the shortfalls with the revenues from their non-renewable resources. The favourite figure is how much Quebec gets in equalization payments, ignoring that on a per capita share, Quebec’s equalization is actually below most other provinces. These are all figures and context that matters – simply throwing big figures around is only designed to make people angry. It’s shite journalism, and yet here we are, yet again.

And speaking of fiscal transfers, here’s a look at how the $1.6 billion that the federal government has been using to bail out Alberta after their last oil crash has nearly fully been paid out, while the province keeps insisting that Ottawa has been “indifferent” to their situation.

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Roundup: Waiting – or not – for a Cabinet call

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One of the more interesting stories that was out first thing Friday morning was that of new NDP MP Heather McPherson, the party’s only Alberta MP, who mused openly to the CBC that she would be willing to take on a Cabinet position if prime minister Justin Trudeau offered it – but she wouldn’t cross the floor for it. Hours later, she backtracked on Twitter, saying that she obviously wouldn’t take a Cabinet position – likely because it was pointed out to her what that would entail. While this is obviously a rookie mistake, it might be worth delving into a bit more for the sake of everyone’s edification.

First of all, having an opposition MP in Cabinet – who remains an opposition MP and who hasn’t crossed the floor – is pretty much a coalition, even if you don’t want to call it that. Being in Cabinet, she would be bound to Cabinet confidentiality and solidarity, meaning that she would have to vote with the rest of the Cabinet, even if the rest of the NDP were opposed; and confidentiality could be a very sticky issue if they want to ensure that she’s not going to divulge Cabinet secrets to her caucus colleagues behind the closed doors of the caucus room (which in and of itself has its own confidentiality convention that, like Cabinet confidentiality, is intended to let the members have free discussions without then being picked off by media when their views are off-side from the rest of the Cabinet or caucus, as the case may be). Now, there are exceptions to how this can work, such as in New Zealand where they have developed a system where they could swear her in as a member of the Privy Council and bring her into Cabinet discussion where appropriate by not make her a full member of Cabinet (as they do with Green MPs in that government), but I’m not sure what the utility would be in this case, when there are better options available to Trudeau (such as appointing a Senator, which is more in keeping with our own traditions and one of the reasons why our Senate exists in the way it does). Regardless, the point is moot, and that’s as far as the thought exercise extends.

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Roundup: Performative or procedurally correct?

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The NDP held their first post-election caucus meeting yesterday, saying goodbye to departing MPs and welcoming their rookies and returning MPs, and when they met the press afterward, Jagmeet Singh announced that he is going to press for pharmacare and for the government to abandon their application for judicial review the Human Rights Tribunal compensation for First Nations youth. But there are problems with both – on the former, he is proposing the party’s first private members’ bill be taken up with the matter, and on the latter, the substantive problems with the Tribunal likely exceeding its statutory authority to make that kind of compensation order is kind of a big deal and as a lawyer, you would think he might have an appreciation for bad jurisprudence while still pushing for the government to go ahead with the compensation that they said they would honour. But you know, performative outrage.

Which brings me back to the notion of pharmacare legislation. The whole promise is built on both bad practice and bad procedure. Remember that when it comes to private members’ bills, they are allocated by lottery, meaning that it’s random as to who gets what slot, and Singh is not proposing as leader to take away the slot of the first NDP MP whose name comes up so that he can dictate what bill will be presented. That’s not only heavy-handed, but it actively removes the independence of that MP (which the NDP is used to doing while pretending they don’t, but let’s call a spade a spade). So much for any of the issues that MP cares about – the leader demanded their spot. The second and more important aspect is that private members’ bills can’t initiate government spending, and pharmacare is provincial jurisdiction, meaning that it’s depending on negotiating with premiers. The bill, essentially, is out of order, unless it becomes an exercise in demanding a national strategy, which the NDP love to do, but one of their MPs went on TV last night to say that they intend to use it to lay out the framework they want to implement. I can pretty much guarantee you that it means the bill will be dead on arrival, and that the committee that decides on what private members’ business is voteable will decide that it’s not. (The sponsor who was forced to give up their spot for this bill will then demand that the Commons vote to override the committee, and when they don’t, the NDP will wail and gnash their teeth that the Liberals don’t care about Pharmacare, which is a script so predictable it might as well be a Hallmark Channel Christmas movie).

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What the NDP could do instead is use their first Supply Day to debate a motion on Pharmacare, which would then have a vote and let them scream and moan if the Liberals don’t adopt it for the reason that they’ve already committed to the implementation plan in the Hopkins report (which the NDP decry as not being fast enough), but at least that would be procedurally sound. But their apologists have been telling me on Twitter that all private members’ bills are theatre and only exist to make a point (untrue), or that they could simply get a minister to agree to it in order to spend the funds (never going to happen), but hey, it’s a minority parliament so the NDP can pretend to dictate terms as though they actually had bargaining given the seat maths. It’s too bad that they can’t be both performative and procedurally correct.

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Roundup: It’s the same government and words matter

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Concern for civic literacy in this country took another blow as numerous media outlets started reporting that prime minister Justin Trudeau was meeting with Governor General Julie Payette to “signal his intention to form government.” They took this obviously wrong line directly from the PMO press release, but let me reiterate that it is wrong. Worse, Power & Politics said that Trudeau went to Payette to ask permission to form a government, which is so wrong that it should make the walls bleed with anguish. Payette doesn’t give permission. Trudeau is already the prime minister and the election doesn’t change that. Government doesn’t change – it merely carries over into a new parliament. What Trudeau was really doing was meeting about his intentions for the upcoming parliament, including when he would like her to summon it – but this was not actually or accurately communicated to Canadians. And true, he could have theatrically resigned and got sworn in again, but that would be both counterproductive and dumb, but again, this is the language that we’re using to describe this routine bit of government business.

Shortly thereafter was news that Trudeau had tapped Canadian ambassador to France, Isabel Hudon, and Anne McLellan, for his “transition” to his “second term,” at which point my head exploded because there is nothing to transition, and we don’t have “terms” in Canada. He may be shuffling his Cabinet, and there may be shakeups in PMO or in their Machinery of Government shop, but it’s the same ministry. There is nothing to actually transition to or from. It’s just a Cabinet shuffle. And again, this was not accurately communicated nor explained to Canadians.

There are clear concepts in Westminster parliaments that are not being accurately described, either by the hapless fools in Trudeau’s PMO, or by any of the media bureaux, who should know better. We are inundated with Americana politically, and there are so many people – both politicians and journalists – who want to playact American politics in Canada because it’s “fun” or “sexy,” when we’re a different country with a very different system, and “borrowing” terms or concepts (or in the case of the NDP, entire election planks that don’t make sense) that don’t actually translate here don’t help anyone. Instead, they create confusion that bad actors exploit to their own purposes, who know that they won’t be corrected when they deliberately misconstrue things. This is a problem, and would that our media outlets could see that this is a problem that they have the power to fix – but they don’t, and here we are. Do better, everyone. Seriously.

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Roundup: Admitting the need for negotiation

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With the policy-over-controversy reset now in full swing, Justin Trudeau was out first this morning in Hamilton to announce next steps in the government’s planned universal pharmacare programme, with a $6 billion “down payment” in the system, along with more funding for increased access to family doctors and mental health services. Unlike other campaigns – looking specifically at you, NDP – this one was honest in the fact that it would rely on negotiations with the provinces, and that it would be incremental (something the NPD promise handwaves over), though where Trudeau got into a talking point was where he kept bringing up Doug Ford in this, and asking who Canadians trusted to negotiate with Ford – Scheer, or him? And he repeated it over, and over, and over again, to the point of parody.

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Andrew Scheer was in Vaughan, Ontario, to announce a four-point plan to make housing more affordable, which included a plan to “fix” the mortgage stress test (erm, have you read anything the Bank of Canada has put out?), let first-time homebuyers take out thirty-year amortized mortgages (almost like the 2008 financial crisis didn’t happen!), launch a national enquiry into money laundering in real estate, and make surplus federal real estate available for developers. The first two seem to ignore the actual issues at play regarding bad debt and the past financial crisis, and has instead swallowed the arguments of real estate lobbyists wholesale – never mind that the housing market has come roaring back in recent months, showing that the stress test was not the issue, and it’s almost like these plans could have the effect of driving up housing prices again. Funny that. Like Trudeau invoking Ford, Scheer was also invoking Kathleen Wynne’s name as his own scare tactic, which seems like a poor choice considering that her government has already been defeated, and Ford was found to have mislead Ontarians on the size and scope of the deficit (while he spends more at the same time as cutting services).

Jagmeet Singh finally visited New Brunswick for the first time in the 23 months he’s been leader, where he announced a “star candidate” (very loose definition), apologised for not having visited sooner (offering no excuses), and repeating his plans for pharmacare – again, with no details about how exactly he’d get the provinces to sign onto a very expensive programme with disparate systems and formularies within a year.

In an interview broadcast yesterday, Singh also said that he would allow any province to have a veto over projects like pipelines, which is also ridiculous, goes against the whole notion of why we have a constitution, and also goes against his whole platform where he wants to impose federal programmes on areas of provincial jurisdiction (being pharmacare and dental care).

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Roundup: Gun control theatre

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While there was suspicion that the announcement was timed as a pivot from the past two days of bad press – Liberals insisting that his has been planned for days – Justin Trudeau was in Toronto yesterday for a morning of meeting people on the streets before he announced his long-awaited additional gun control measures which are guaranteed to please nobody – a total ban on semi-automatic assault rifles (never mind that there’s no actual definition of an “assault rifle”) with a buy-back programme, and the ability for cities to make additional regulations around handguns (as in, allowing them to attempt to ban them), plus some additional offers around licensing and the ability to forbid the purchase of new weapons after certain red-flags. The measures are not enough for those who want a national handgun ban, too far for certain gun enthusiasts, and almost certainly going to be useless because the problem of illegal guns is that the vast majority of them are smuggled from the US, which these measures largely won’t address (I didn’t see any promise for more resources for CBSA in the backgrounder). In other words, it’s a political play, trying to balance the need to be seen to be doing more about gun control for big cities where it’s a problem, while not alienating their rural voters (again), while also being hemmed in by jurisdictional considerations (Doug Ford, for example, has said he won’t go along with any kind of handgun ban that would fall under provincial jurisdiction). Nevertheless, the symbolism of banning AR-15s is something they hope to capitalise on, while they castigate Andrew Scheer for his promise to relax some gun control regulations, so that may be enough for them in the election in any case.

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Speaking of, Andrew Scheer was in Saint John, New Brunswick, to promise that a Conservative government would spend $1.5 billion to get provinces new MRI and CT machines in an effort to reduce wait times (structural issues? What structural issues?) – never mind again that it’s provincial jurisdiction and he may have a hard time getting them to actually spend dollars that he’s earmarked for said purchases. Scheer also clarified that oil and gas subsidies would not be part of those he plans to eliminate – try to look surprised, everyone!

Jagmeet Singh was in Windsor to talk up the party’s pharmacare plan, and answer yet more questions on the Blackface issue, citing that he didn’t want to be complicit in Trudeau’s public exoneration. (And yet, the media is demanding this kabuki theatre to play out).

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Roundup: The damage control campaign

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The fallout from Wednesday’s Brownface/Blackface allegations were met with yet another instance, this time video that seems to be from the 1990s of a third incident, which Trudeau hadn’t mentioned (later saying that he hadn’t remembered it) – and, plot twist, Andrew Scheer a short while later admitted that the party had been sent the tape and they turned it over to Global News days ago, who set about trying to verify its authenticity. It wasn’t until mid-afternoon in a Winnipeg park that Trudeau held another media availability, looking extra contrite, and more forceful in his language in insisting that yes, it was actually racist, and he was owning up to it and didn’t want to be definitive as to how many times because there may be other incidents he couldn’t remember, and why he couldn’t remember them was likely because he grew up in a very privileged position and he has come to realise that it left him with an enormous blind spot when it comes to these kinds of things – something that I don’t think we’ve ever really a political leader admit to.

Later in the day, Trudeau’s rally in Saskatoon was changed into a town hall – likely because it’s an environment that he seems to do better in, and because it would allow him to get some of the airing of the grievances right off the start – ripping off the Band-Aid, as it were. The issue was only raised a couple of times off the start – once by someone who wanted an estimate of how many times he’d done it, another who insisted that he shouldn’t dwell on the past, but much of the event was on Indigenous issues, and Trudeau seemed much more his usual self.

Singh, meanwhile, held a small event in Hamilton to highlight how his plans around things like dental and pharmacare will help small businesses, but mostly answered more questions about the Trudeau Blackface revelations and suggested that it’s a pattern of behaviour with Trudeau. (Singh also launched into a whole rant about how great protectionism was during the media availability, for the record).

Andrew Scheer was in Saint-Hyacinth, Quebec, to lay out a policy around increasing the age credit for seniors, before suggesting that he didn’t accept Trudeau’s apology because “he lied” during it (not recalling the third video), and suggested that Canadians heed Singh’s words (because remember, a stronger NDP is a boon to Conservative fortunes).

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