Roundup: Carney out, no need to panic

To the dismay of the bulk of the pundit class, Mark Carney says he has other climate-related commitments and won’t be running for a seat in the next election. In response, Pierre Poilievre tweeted that Carney is afraid of running because Trudeau will cause a financial meltdown, and Carney will try to blame it on Freeland. It’s just so stupid, and yet this is the state of public discourse in this country.

To be clear, there is no financial meltdown going to happen. Yes, there are challenges that need to be addressed, but let’s be real here.

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Roundup: The Languages Commissioner goes rogue

We appear to have another Independent Officer of Parliament who has decided to go rogue, as the Commissioner of Official Languages, Raymond Théberge, has announced that he plans to investigate the nomination process that selected Mary Simon as Governor General, given her lack of French. There are, of course, a whole host of problems with this, starting with the fact that the GG is not a federal bureaucrat and is not included in the Official Languages Act. Her office in Rideau Hall is certainly subject to the Act, and there is no question it will operate bilingually, but Simon herself is not. Furthermore, she is appointed by the Queen on the advice of the prime minister, and the advice that he gets from his appointments committee (as problematic as the current structure may be) is non-binding.

Théberge, in that case, has decided that he’ll investigate the Privy Council Office for their role in supporting said committee and providing advice, which…is a stretch. A very, very big stretch. The whole sham investigation is already outside of his mandate, and more to the point, it is hugely colonial at that, and certainly not exactly befitting the stated goals of decolonization and reconciliation. (There is, of course, the matter of this government’s apparent hypocrisy in how it treated the appointment of Simon and how it treats the appointment of Supreme Court of Canada justices, but that is also not exactly something that Théberge could investigate).

Meanwhile, Philippe Lagassé enumerates these points, explains the role of convention versus legislation in these kinds of appointments, and most especially points to the fact that Théberge might want to better familiarize himself with the Constitution, given that the appointment didn’t violate any Act of Parliament. What a gong show.

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Roundup: Kenney announces his next big distraction

By now you’ve heard that Jason Kenney has announced the referendum questions that Alberta will be voting on in October as part of Kenney’s mass distraction plans. It’s unheard of to have multiple referendum questions – in this case, daylight savings and removing equalisation from the Constitution – on top of an unconstitutional sideshow of Senate “nominee elections,” and yet Kenney is putting these all together with the upcoming municipal elections. This has the bonus for Kenney of muddying the waters of those elections, where more progressive candidates tend to do better, particularly in the cities, and he gets to claim that he saves money by holding them at the same time, but this is a lie. Municipal elections are run by the municipalities themselves, while these referenda and bogus “nominee elections” are held by Elections Alberta, and just because they happen at the same time and can co-locate spaces doesn’t change the fact that it going to cost more.

The thing is, the referendum on equalization won’t actually do anything because even if they sent a message to the rest of Canada and brought everyone to the table to negotiate, the only thing that’s in the Constitution is the principle of equalization – the formula itself is federal legislation, because the programme is paid out of federal general revenues. But Kenney is content to keep lying to the public and pretending that Alberta signs a cheque every year that Quebec cashes and pays for its child care system with (which it doesn’t – they pay for that out of their own taxes, and they reap the direct economic benefits from it as well). As well, the myth that Quebec killed Energy East is being invoked (Quebec had nothing to do with it – the proponent couldn’t fill both Energy East and Keystone XL with their contracts, so Energy East was abandoned as Keystone XL looked like the more likely to reach completion – not to mention that it wouldn’t have actually served the Eastern Canadian market), which is again about stoking a faux sense of grievance. The fact that Kenney is stoking this anti-Quebec sentiment because he thinks it’ll win him points (and hopefully distract the angry mob that is gathering outside his own door) is not lost on Quebeckers when it comes to Kenney’s good friend, Erin O’Toole, looking for votes in the federal election.

But as economist Trevor Tombe keeps saying, Alberta doesn’t need equalization in the same way that Bill Gates doesn’t need social assistance – Alberta is still making way more money than any other province, even with their harder times economically. The province’s deficit is not a result of equalization or money supposedly being siphoned east (again, equalization comes out of federal taxes) – it’s a result of a province that refuses to implement sales taxes or other stable revenue generation, and expecting everyone else to subsidize that choice (while also cutting corporate taxes under the illusion that it would create jobs, but didn’t). This is just Kenney handwaving and shouting “look over there!” because he knows he’s in trouble, and he needs to keep everyone focused on a different enemy. He shouldn’t be rewarded by people falling for it.

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Roundup: Another 751 unmarked graves

There was yet more sobering news yesterday, that as many as 751 unmarked graves were located near the former Marieval residential school in Saskatchewan. Aside from the sheer number, some ways in which this site differs from Kamloops is that not all of the graves will be of children, and that many had headstones, which the Catholic Church removed in the 1960s during a dispute – which is a criminal offence, and the local First Nations chief said that they are treating this like a crime scene. And non-Indigenous Canadians should brace themselves, because we’re going to hear about hundreds, perhaps thousands, more of these graves over the next few years as the work of locating them ramps up, making it impossible to ignore the true face of our country’s history.

In response to the announcement, prime minister Justin Trudeau stated that this is Canada’s responsibility to bear, which was met by the usual calls that this was not enough action. The government has already committed to funding these searches in accordance with the wishes of local First Nations communities, as not all of them want the same approach, and Marc Miller said that they are open to boosting the funding if the need is there. There are also calls for an independent inquiry into these sites, but that could be a complicated structure if it requires provinces to get involved (and it likely will), and we could find ourselves with a repeat of some of the problems faced by the MMIW inquiry if that is the case.

Of course, the government’s response was made all the more problematic because Carolyn Bennett sent a spiteful one-word text to Jody Wilson-Raybould, who then tweeted it out and declared it to be “racist and misogynistic,” listing the tropes that she felt it invoked. Bennett publicly apologised and stated that it was their “interpersonal dynamics” that got the better of her, by which she means that the pair pretty much cannot stand one another, which lines up with the stories of their fights in Cabinet. It doesn’t excuse it, and Bennett absolutely should know better (especially because Wilson-Raybould has demonstrated that she keeps receipts), but that hasn’t stopped this from eclipsing some of the coverage of the day, which should have focused on Marieval, and what the next steps need to be.

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Roundup: Lies about inflation and the central bank

For weeks, the Conservatives (and Pierre Poilievre in particular) have been making a bunch of bogus and nonsensical attacks against the government and what they term the “inflation tax,” which makes absolutely no sense, but is predicated on the wild notion that the Bank of Canada is allegedly printing money to finance the government’s “out of control” deficits, and that this is going to drive up inflation and turn us into Venezuela. It’s bullshit – the Bank of Canada is independent from government (and it should be shocking that the Conservatives are suggesting otherwise given the history of the independence of the central bank in this country), quantitative easing is not “printing money,” and given that a year ago, in the early days of the pandemic, we were facing deflation as a country, an expansionary monetary policy was the right move to make. We’re still in need of stimulus, because the recovery has been so uneven, but the Bank of Canada knows this, because it’s their job.

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With this in mind, it was no surprise yesterday that when the inflation figures were reported, the fact that it clocked in at an annualized 3.6% had the Conservatives, and Erin O’Toole in particular, trying to make hay of this – and media outlets didn’t help with their headlines that this was the highest rate in a decade, without putting that in proper context. Now, part of that is the base effect of last year’s massive drop, which is going to take time to work itself out in the data; but it’s also in part based on factors from right now, the most important of which is housing prices, which have skyrocketed as demand has outstripped supply. None of this is a surprise, and none of this has anything to do with the size of the federal deficit or the Bank of Canada’s quantitative easing, and yet that is the narrative being painted. It didn’t help that O’Toole’s examples lacked any logical consistency, such as blaming increases in post-secondary education on the federal government, when that’s a provincial jurisdiction. Not that truth matters.

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Compounding this, however, is the completely irresponsible way in which this was being spun by shows like Power & Politics, where the framing was “the cost of everything is going up!” followed by asking panellists if the government should do something about it. And to their credit, most of those panellists said no, leave it for the Bank of Canada, but the fact that the host kept torqueing this notion about “prices are rising!” and trying to constantly get people to say something – anything – inflammatory about inflation, was not only irresponsible, but shows actual contempt for proper economics reporting by the gods damned CBC. They don’t care about actual information or reasonable discussion, they want the false balance of opposed partisans battling it out, and the “drama” that creates. It does such a disservice to everyone that it amazes me that they can get away with it.

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Roundup: New targets, same criticism

It was Earth Day yesterday, and US President Joe Biden held a climate summit, which Justin Trudeau used as a platform to announce that Canada would be setting a more ambitious climate target of 40 to 45 percent reduction of emissions from 2005 levels, and naturally, that was panned from all sides. For the NDP, the Bloc and the Greens, it’s not enough, and for the Conservatives, it’s too much, and “empty words” that lack a plan (despite all evidence to the contrary). One of the spanners in the works here is the Americans announcing their own new targets, which sound more ambitious than ours – but are they really?

Enter economist Andrew Leach, who is offering a warning that we can’t commit to matching American emissions targets because our emissions mix is very different, so we’d be essentially making a different commitment than they are, which could hurt us. The Americans can get much further on reductions that we can with less stringent policies because of their emissions mix. Unfortunately, too many of our parties and party leaders seem to think that Canada is just a smaller version of America, and that we can simply copy their policies and divide by ten – but it doesn’t work like that, and we should call out this kind of thinking.

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Roundup: CBC’s baffling mandate talk

There are some pretty questionable narratives that circulate in Canadian media for a lot of very dubious reasons, and we had another winner yesterday, when Justin Trudeau was on Peter Mansbridge’s podcast. Bafflingly, he was asked if he needed to go through an election to get a “mandate” to implement his upcoming budget, and I cannot even.

I. Cannot. Even.

Trudeau – semi-correctly – noted that he does not because he already one.

This notion that we somehow have “mandates” in our system is completely divorced from reality. We don’t have mandates – governments operate on the basis of confidence. They are appointed by the Governor General based on their ability to maintain the confidence of the Chamber – they are not popularly elected. They do not need to solely operate on what was in the election, because a) events, dear boy, events, and b) they operate on the basis of confidence. If the legislature has a problem with the government’s agenda, they will let them know. It’s also incredibly difficult to claim a “mandate” in our electoral system given that we operate by plurality, and even more especially when we have a hung parliament. (More on this from Philippe Lagassé here).

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Even more to the point, why the gods damned CBC would write up 800 words on this interaction for a dynamic that does not exist in a Westminster parliamentary system like ours is boggling.

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QP: Demanding a “data-driven” plan to re-open

On a beautiful Tuesday in the Nation’s Capital, the prime minister was indeed in the Chamber for QP, along with fourth other Liberals, which was a very pleasant change of pace. Erin O’Toole led off in person, script on mini-lectern, and he raised the fatigue over lockdowns and the spectre of opioid overdoses, and true to his party’s Supply Day motion, demanded a “data-driven” federal plan for re-opening the economy. Justin Trudeau noted that the federal government has always been there for Canadians and would continue to listen to the recommendations of experts on re-opening. O’Toole tried to wedge a mental health angle, and Trudeau insisted that they stuck to the advice of science, and poked that some Conservatives didn’t even believe in masks. O’Toole then falsely accused the federal government of making a political decision around second doses, before accusing the federal government of being late on everything, to which Trudeau pushed back, citing that the provinces make the decision around spacing vaccine doses. O’Toole then repeated his first question in French, got much the same response in French, and for his final question, O’Toole accused the country of trailing behind. Trudeau took the opportunity to say that while O’Toole wanted a plan for the economy, he still doesn’t believe that the environment and the economy go hand in hand.

Yves-François Blanchet rose to for the Bloc, and after raising the announcement on high-speed internet yesterday, demanded higher health transfers. Trudeau reminded him that they have given higher transfers to the provinces in the pandemic and they would discuss future transfers after it was over. Blanchet then raised the panic over a certain obnoxious blow hard professor’s “Quebec-bashing,” but this time, Trudeau didn’t bite and returned to talk about federal supports for provinces. 

Jagmeet Singh then rose for the NDP, and in French, demanded an apology for General Vance getting a raise after allegations were raised against him, and Trudeau spoke about the importance of independent investigations. Singh switched to English to demand the government support their Supply Day motion on taking profit out of long-term care, to which Trudeau reminded him that under the constitution, this is a provincial responsibility. 

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QP: Bludgeoning about belief in climate change

It was heartening to see a few more bodies in the Chamber, but alas, there remained only a mere two Liberals — Mark Gerretsen and the designated front-bench babysitter, Catherine McKenna. Candice Bergen led off in person, and she spun a very dubious connection between continued lockdowns and federal actions or perceived lack thereof. Jonathan Wilkinson, surprisingly, answered and gave a brief speech about how climate change is real, in the wake of the Conservatives’ policy convention. Bergen then pivoted to the trials of the two Michaels, and demanded the government withdraw their participation in the Asian Infrastructure Bank, which Marc Garneau disputed, citing that these were a top priority, and thanked allies for appearing that the court houses in China in protest. Bergen railed that the government sent $40 million to the Asian Infrastructure Bank, and Garneau gave a stern warning to China about arbitrary detention. Gérard Deltell took over in French, and received pay increases given to General Vance after the allegations against him were raised, for which Harjit Sajjan stated that he doesn’t determine pay raises, but that it was done independently on the advice of the public service. Deltell tried again, and this time Sajjan raised testimony from Harper’s former chief of staff at the defence committee earlier in the day.

Alain Therrien rose for the Bloc, and demanded increased health transfers for the provinces, crocodile tears about the plight of nurses metaphorically streaming down his face, for which Patty Hajdu reminded him they are already giving increased transfers to the provinces. Therrien was not mollified, demanding increases, and in response, Hajdu listed assistance given to the provinces.

Jagmeet Singh then led for the NDP in person, and in French, he also raised Vance’s pay increase and demanded an apology, for which Sajjan repeated that he does not determine pay. Singh then switched to English to demand concrete action to end systemic racism in the RCMP, and Bill Blair gave his condolences to Colton Boushie’s family, and said that the Commissioner of the RCMP agreed to implement the recommendations of the report.

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Roundup: Too-generous benefits?

I find myself a bit troubled by this notion that pandemic benefits have been “too generous,” even when people trot out statistics that show that some households got as much as $3000 more in supports like CERB over reported lost income in a three-month period, and some $2500 more in lower-income households. Partially why this rankles is because this is a gods damned global pandemic and we needed people to stay home rather than try to recklessly go to potentially unsafe workplaces where they could spread the virus. This notion that people needed to get back to work is one of the reasons why COVID infections and deaths were at much higher rates in other countries who had less generous supports, and I don’t think we should necessarily be apologising for this.

The other aspect of this that is unsettling is this notion that if these benefits continue that there will be a disincentive to work as the economy recovers, but again, if the economy is recovering and we are reaching a point of mass vaccination sufficient to actually have a re-opened economy, then these pandemic-specific programmes would be wound down, so it shouldn’t be a long-term consideration. More to the point, however, is that these pandemic supports were not really all that generous, and if people think it’s a disincentive to work, then maybe they should re-examine the wages that people are being paid – if they’re so low that CERB-level payments are a disincentive, then perhaps the job is the wage rate and not the benefits themselves. Businesses have continually lobbied to keep minimum wages artificially low, in spite of an increasing volume of evidence that higher minimum wage don’t actually cause businesses to close (and in fact, have the opposite effect). Perhaps governments should take that into account as we look to “build back better,” with more inclusive growth that should include higher wages for these workers, rather than returning to the failed “old normal” of grinding poverty.

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