Tag Archives: Budget 2021

Roundup: A lack of precognition

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We’re now on day one-hundred-and-seven of Russia’s invasion of Ukriane, and I couldn’t find any stories to link to on Canadian sites, as everything was about the January 6th committee in the US, because priorities. Meanwhile, Ukraine’s agriculture minister told the Canadian House of Commons agriculture committee that Russia has been raiding Ukraine’s grain stores, and then selling it on the world market using falsified documentation. As well, the RCMP say that they have cracked down on $400 million in Russian assets and transactions from sanctioned individuals.

https://twitter.com/Ukraine/status/1534832733637287936

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Closer to home, the Bank of Canada released their Financial Systems Review yesterday, and made remarks about some of the vulnerabilities in the economy, such as high consumer debt levels and variable rate mortgages rising precipitously in the next few months as interest rates continue to rise in order to get inflation under control. They are confident the economy and households can handle the higher rates because the economy needs them.

This being said, I have to take some exception to the commentary happening on Power & Politics last night, and from the host in particular, who was expounding upon how central bankers got it “wrong” about inflation. Apparently they are supposed to have the power of precognitition and could accurately predict the fact that global supply chains would take longer to untangle than previously thought because China went into some serious lockdowns under a COVID-zero policy, that fuel shortages would drive up world oil prices before the Russia invaded Ukraine, and they were supposed to have properly foreseen said invasion and could adjust their inflation expectations accordingly. There have been an increasing number of unlikely scenarios that all pretty much happened across the world over the past two or three years, and you’re ragging on central bankers for not having properly tried to head it off? You can argue that they were too late to ease off on stimulative measures, even though their actions were largely in line with the advice and the data they had at the time, but going after them because they didn’t accurately predict a pandemic and a war? Sit down.

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QP: Quoting Joël Lightbound

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It was an unusual morning, where one of the Liberal backbenchers, Joël Lightbound, decided to torpedo his status as rising star and held a press conference to slam the government’s handling of vaccine mandates, and mouthing a bunch of the same talking points about “divisiveness” that Candice Bergen has been spouting of late. Naturally, every one of the opposition parties was bound to pick up on this and hit the government with it as hard as they possibly could. In the Chamber, most of the leaders were present in person, Jagmeet Singh excepted. Candice Bergen led off, script in front of her, and she raised Lightbound’s concerns and selectively quoted Dr. Theresa Tam, and demanded and end to public health measures (never mind that most of them are provincial). Justin Trudeau acknowledged that people are tired of lockdowns, but Canadians were united in doing what needed to be done to beat the pandemic by following the science. Bergen listed countries with fewer restrictions and demanded an end to them in Canada, and Trudeau repeated that they follow science and that there was a less severe impact than in most of those other countries because we did the right thing. Bergen pandemic one final plea for freedom, and Trudeau doubled down on following science and note their work with premiers to bring in the measures that saved lives, before needling the Conservatives about their support for the occupiers outside. Luc Berthold took over in French to again quote Lightbound to decry “divisiveness,” and Trudeau repeated his points about following science and not politicising it. Berthold screamed that Trudeau was not answering the question, and Trudeau made a pitch for vaccination to end the pandemic.

Yves-François Blanchet rose for the Bloc, praised the injunction that silenced the occupation, and praised Quebec City’s handling of their protesters, but seemed to ignore that the Ontario government should have a role here. Trudeau said that he would speak with the mayor later in the day, and that they need to show solidarity in getting through the challenge. Blanchet then raised Lightbound before demanding more health transfers for the provinces, and Trudeau reminded him that summits with premiers are not held with the Bloc, before listing investments over the past two years.

Jagmeet Singh appeared by video to raise the blockades at two other border crossings, and Trudeau insisted that they were in touch and supplying resources, before calling out the Conservatives for their inconsistent messages on the occupation. Singh repeated the question in French, and Trudeau repeated his response. 

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QP: Bergen a measured apologist for grifters

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While Justin Trudeau remains in isolation, and doing virtual meetings that were not QP, his deputy was in attendance. It was also Candice Bergen’s first day as interim Conservative leader, so we would see what the tone would be like. Bergen led off, to much applause, and with her script in front of her, she demanded that the government present a plan to “work with” the grifter occupation outside, and worried that vaccine mandates for interprovincial travel was “not helpful.” Chrystia Freeland first congratulated Bergen on her appointment, and thanked O’Toole for his public service, and then condemned the desecration and hate symbols on display by the protesters. Bergen said she wanted to see an olive branch to the grifters, and Freeland reminded her about Greg Fergus’ speech about how Black people feel when they see Confederate flags outside, and why all members have an obligation to speak put against a movement that tolerates it. Bergen accused Freeland of gaslighting, and demanded that olive branch, and Freeland repeated the obligation to speak out, even if these people are friends. Bergen then switched to an overwrought question on inflation, and Freeland recited that the government is standing up for Canadians. Gérard Deltell took over to demand spending be reigned in to control inflation, and Freeland reminded him that this is a global issue.

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Alain Therrien led for the Bloc, and he demanded higher health transfers to the provinces, to which Freeland reminded him that the federal government provided eight out of every ten pandemic aid dollars, and pitched for support for Bill C-8 on additional aid measures. Therrien repeated the demand for increased transfers, and Freeland repeated her response. 

Jagmeet Singh appeared by video, and asked why Black and Indigenous people are treated differently when they protest—which is not really the responsibility of the federal government. Freeland solemnly repeated the the plea to pay attention to Fergus’ speech. Singh repeated the question in French, and got the same answer. 

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QP: In the shadow of O’Toole’s demise

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In the wake of the vote ousting Erin O’Toole as Conservative leader, he was absent from the Chamber, as one would very well expect. As well, because Justin Trudeau was still in COVID isolation, he would be answering everything by video. Candice Bergen led off, with her script in front of her, and she demanded that the prime minister bring resolution with the grifter occupation and let them know that they are being heard. Trudeau, by video, first thanked O’Toole for his service, before reminding them that there was an election where vaccine mandates were an issue. Bergen repeated that these grifters need to feel like they’re being heard (you do know that their demand is to overturn democracy, right?), and Trudeau recited that they are engaged in encouraging people to get vaccinated. Bergen worried about the supply chains as a result of this vaccine mandate, and Trudeau reminded her that the mandates have not impacted the supply chain, but COVID has, which is why they need to be vaccinated. Gérard Deltell took over in French and said a bunch of nonsense about the PBO blaming government spending on inflation, which Trudeau disputed given that COVID has ultimately been the cause. Deltell gave a somber recitation about food inflation and insisted that this was not a global problem but because of government spending—a complete falsehood—and Trudeau reiterated that this is a global issue, while they are there to help families.

Yves-François Blanchet, the only leader in person today, rose for the Bloc, and he too paid brief tribute to O’Toole, before worrying about the grifter occupation and wanted concrete action to end it. Trudeau reminded him that politicians do not direct police forces, but they would provide all resources necessary for law enforcement. Blanchet that Trudeau wasn’t taking action and wanted a timeline, and Trudeau noted that he did tell them that they had been heard and that it was time to leave, and that they would continue to work with law enforcement agencies.

Jagmeet Singh appeared by video, and he wondered why the laws to protect healthcare workers are not being enforced—because he just heard that governments don’t direct police, right? Trudeau recited about how they passed that law and that healthcare workers deserve a safe workplace. Singh then made a brief thanks to O’Toole for his service before repeating his question in French, and Trudeau repeated his response.

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QP: Back to inflation

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After a number of statements about Black History Month, things got underway, with almost none of the leaders present—Justin Trudeau is still isolating and not planning to attend virtually, and Erin O’Toole has other problems to worry about. Gérard Deltell led off in his stead, worrying about inflation and cited the PBO’s concerns about stimulus spending as though government spending is what’s driving inflation (which it is not). Chrystia Freeland worried that the Conservatives were talking down the economy, and countered it with the good news about the GDP figures that showed complete recovery in advance of omicron. Deltell dismissed this as being cold comfort for the average person, for which Freeland insisted that this was just Deltell focusing on the Conservatives’ partisan interests, and recited that we are projected to have the second highest growth in the G7. Deltell insisted this was “contempt” for Canadians, and Freeland insisted that she does her own grocery shopping, and that facts and data are important and that inflation in Canada is beneath the G7, G20 and OECD averages. Michelle Rempel Garner took over in English to accuse the minster of being out of touch, and Freeland suggested that it was the Conservatives who should apologise for voting against Bill C-2 that are helping support those affected by mockdowns. Rempel Garner called the government out of touch with average Canadians and were fuelling divisions, and told Freeland to “take the temperature down,” and Freeland repeated her response about the supports in C-2.

Yves-François Blanchet rose for the Bloc, and he dissembled for a while before demanding action on the grifter convoy outside. Omar Alghabra stated that he has met with those in the supply chain including the trucking industry and that they would continue moving forward. Blanchet noted that wasn’t his question, and repeated it, for which Freeland thanked him for supporting C-2, and that she agreed that it was important for them to be able to do their work, which is why they trust law enforcement. 

Jagmeet Singh appeared by video, and asked about the blockade at the Coutts border crossing in Alberta and demanded federal action. Alghabra agreed that the blockade needs to end. Singh switched to French to lament housing affordability, and Ahmed Hussen recited this talking points on the National Housing Strategy and the first-time home ownership programme. (Note that shortly after this question, the RCMP moved in on that Coutts blockade and broke it up, for which I half expect Singh to take credit for).

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Roundup: Unauthorized travel and absurd punishment

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In spite of instructions not to travel outside of the country, Liberal MP Yves Robillard did anyway, and now is facing censure for it. Liberal Whip Steve MacKinnon issued a statement saying that as a result of this non-essential travel, Robillard is being removed from his committee duty (he was a backbencher on the national defence committee, meaning there is no financial penalty for this loss), and that MacKinnon will give him a talking-to later.

This having been said, I find the removal from committees to be an odd sort of punishment, because you’re assigning them less work to do. Maybe the assumption is that they are somehow vain enough to want face time in committees, but that seems like a perverse incentive. You could reassign them to the less glamorous committees, like Scrutiny of Regulations, I suppose, where they are unlikely to get media attention or to any travel, or the like. If I had my druthers, I would not only keep them on their assigned committee, but ensure that every hour not on committee was spent being assigned to House duty in perpetuity (with some additional prohibitions against device use so that they can’t be spending the time playing solitaire on their tablets, or the like), but that may cross the threshold into cruel and unusual punishment.

I will also note that taking away someone’s committee duties is counterproductive because there aren’t enough bodies to go around on committees as it is, so removing someone just means more work for everyone else. It’s especially perverse that this has also been handed down on Senator Denise Batters, who was kicked out of the Conservatives’ national caucus, but she still sits with their senate caucus, but has been denied committee work—which, again, makes more work for everyone because the diminished Conservative ranks in the Senate means not enough of them to go around to fill committee seats (and this gets to be a big problem, much as it was pre-2008 when Stephen Harper was refusing to fill Senate seats and his senators were doing double and triple duty on committees to just try and have enough bodies on them). More to the point, this just gives Batters more time to be on Twitter, picking away at O’Toole. Taking away someone’s committee duties as punishment simply makes no sense at all.

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QP: Deception about deflation

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For the final Question Period of 2021—which was still undetermined as things got underway, as the House Leaders were engaged in a game of chicken—neither the prime minister nor his deputy were present, but the latter would appear virtually. Erin O’Toole led off, script in front of him, and he immediately started off with a lie about deflation, which did happen, and he was presuming it to be a good thing because it would lower prices, when in fact it would have led to a spiral that turned into a depression as businesses couldn’t service their debts. Chrystia Freeland, by video, called this out as misinformation, and noted that Stephen Poloz cited that the government’s actions averted a second Great Depression. O’Toole railed about Freeland’s alleged misinformation during the election campaign and compared her to Donald Trump, and Freeland called O’Toole the leader of flip-flops, and noted that in the election the Conservatives promised even more spending while they were currently railing against it, and that a consistent position might be nice. O’Toole repeated his first question in French, and Freeland repeated the Poloz comments in French. John Barlow got up and railed about the export ban on PEI potatoes and wondered why the agriculture minister was not currently in Washington resolving the situation. Freeland assured him the federal government was working to resolve if and noted she was next to the prime minister when he raised it with Biden, while Conservatives advocate capitulation. Barlow insisted that this has basically destroyed PEI, and Freeland dismissed this as scaremongering, and reassured farmers they were working on it like they did with previous disputes they won on.

Alain Therrien led for the Bloc, and blamed the Quebec teacher who was reassigned for wearing a hijab, railing that she knowingly broke the law and saying otherwise was Quebec bashing. Freeland calmly recited that they stand with Quebeckers who stand up for individual rights and freedoms. Therrien railed that mayors are funding court challenges, accusing them of not understanding secularism or democracy, and Freeland gave some fairly disarming reassurances that the federal government works well with Quebec and the Bloc shouldn’t pick fights.

Peter Julian rose for the Bloc, and in French, he worried that omicron could lead to lockdowns with no supports, to which Freeland made a pitch for MPs to pass Bill C-2 to provide necessary supports. Julian shouted the same question again in English, and Freeland repeated her response in the other official language. 

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QP: Competing scripted inflation talking points

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It was akin to Friday attendance in Chamber for everyone but the Conservatives, who were largely present, but the PM was in attendance, which is what counts on a Wednesday. Erin O’Toole led off, script before him, and he decried the cost of living crisis and accused the prime minister of fixing his budget by fuelling inflation. Justin Trudeau read a prepared script of good news talking points from the fiscal update. O’Toole tried and failed to land an attack about pipelines and supply chains, and this time, Trudeau extemporaneously recited the promise to have peoples’ backs. O’Toole raised the report on food inflation, and quipped about the prime minister not thinking about monetary policy, and Trudeau reiterated his usual points about the fact that they were helping Canadians and why investing up-front in ensuring people made it through the crisis was the smart economic thing to do. O’Toole switched to French to decry food inflation, and demanded the government fix it—not specifying how. (Wage and price controls, anyone?) Trudeau noted the health crisis and keeping people safe, which was how to help the economy recover. O’Toole worried the dream of home ownership has vanished, blaming Trudeau for it, and Trudeau praised programmes they have rolled out to help fight the housing crisis.

Yves-François Blanchet led for the Bloc, and he complained about Bob Rae’s comments about Bill 21 and demanded Rae be recalled. Trudeau said that he profoundly disagree with Bill 21, and they would be on the side of Quebeckers who were upset that the teacher lost her job for wearing a hijab. Blanchet railed that Trudeau was condoning “Quebec bashing,” and Trudeau said that Quebeckers like him stand up for individual rights including freedom conscience.

Jagmeet Singh rose for the NDP, and he demanded the federal government give more booster shots, rapid tests, and hiring more nurses—never mind that is all provincial jurisdiction. Trudeau recited concerns about omicron and warned Canadians should reconsider non-essential travel and getting boosters as quickly as possible. Singh repeated the demand in French, and Trudeau said they were already doing that having procured enough shots for all Canadians.

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Roundup: A rosier fiscal update

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There was some drama around the delivery of yesterday afternoon’s fiscal update, as two members of Chrystia Freeland’s staff tested positive for COVID, and while she had not been around them recently, she decided that the prudent course of action was to stay isolated and deliver it virtually rather than in the Chamber. She also made it clear that this was not a budget or a mini-budget, but rather a look at where the nation’s books are, and it was a rosier picture than was anticipated in the spring’s budget.

There are no significant new spending promises in this document, aside from more money being set aside for COVID supports as the omicron variant bears down on us (which includes buying millions more rapid tests for the provinces to deliver—not that most have been good at it so far), as well as the $40 billion being set aside for compensation for Indigenous children in care and to fix the system going forward, and some money to help BC recover from their recent spate of natural disasters, and to reimburse seniors faced with GIS clawbacks. There are also some dollars being put toward reducing immigration backlogs, and helping ports deal with supply-chain snarls. But otherwise, it held the line, surprising some observers who like to chide this government’s profligacy. There was a gender section that laid out in stark terms how the pandemic affected women disproportionately.

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As for opposition reaction, the Conservatives complain there’s nothing in there about inflation…which is the Bank of Canada’s job, and the only thing the federal government could do are wage and price controls. The NDP say there isn’t enough about the clawbacks in there, or not enough other support measures, but with the Bloc pretty much guaranteed to support it, they can afford to look tough in spite of being paper tigers.

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Roundup: Freeland is setting her policy own agenda—oh noes!

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The Globe and Mail had a strange hit piece out yesterday that was largely targeted at Chrystia Freeland, but it was kind of all over the place and seemed to be missing the mark on a few different tangents. It was framed around Michael Sabia, the new-ish deputy minister of finance, and the fact that he hasn’t made any headway in reining in spending or coming out with a “growth agenda,” as though we aren’t still in a global pandemic that has required extraordinary government fiscal measures in order to keep the economy from spiralling into a depression, or the fact that the last budget was a growth agenda, but it was focused on inclusive growth rather than tax cuts, which a particular generation cannot wrap their heads around (and the fact that the piece singles out the childcare plan is evidence of this fact).

What was particularly troubling about the piece was the fact that it couldn’t quite decide how it was attacking Freeland. On the one hand, it worried that she was too hands-off in the department, leaving Sabia to manage it while she dealt with big policy items (for which she was attacked in absentia during Question Period yesterday), while at the same time, it is overly concerned that Department of Finance officials aren’t driving policy, but the government is. Which, erm, is kind of how things work in our system. The civil service is supposed to provide fearless advice but also do the work of implementing the policies and directives of their political bosses. That’s the whole point of a democracy—this is not a technocracy where the bureaucrats run the show, and if these sore Finance officials have a problem with that, perhaps they either need a refresher on how this works, or they need to find themselves out of the civil service.

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None of this is particularly surprising, mind you—there are still too many pundits and journalists who still think it’s 1995 and will always be 1995, because that is the established media narrative by which they must always obey (and this hit piece also touches on the Cult of the Insider narrative as well with all of the anonymous inside sources). And the fact that Freeland is a woman holding the job, and is focusing on things like inclusive growth and not the usual “tax cuts=jobs” agenda frankly makes it too easy for the 1995 narrative to keep being circulated. But it’s not 1995, and perhaps it’s time that We The Media stop pretending otherwise, because this kind of hit piece was frankly something that should not have seen the light of day.

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