BC premier David Eby decided he needed to be extra performative yesterday, and wrote an open letter to Bank of Canada Governor Tiff Macklem, urging him not to raise interest rates next month because of the “human cost” of these interest rate hikes—ignoring of course the counterfactual of the effects of unchecked high inflation and the “human cost” that it has over the short and medium term.
Here is the letter from Premier David Eby to Bank of Canada Governor Tiff Macklem. #bcpoli pic.twitter.com/ppXoY6Ru8B
— Richard Zussman (@richardzussman) August 31, 2023
https://t.co/RCSvKa08Jj pic.twitter.com/UuGgs2zjx2
— Dale Smith (@journo_dale) August 31, 2023
What is pretty galling in all of this is that Eby knows better. He was once a pretty good civil liberties lawyer, and he fully knows that the Bank is independent, and that they have a legal mandate that they need to fulfil when it comes to keeping inflation at two percent, and that their main policy tool is the blunt instrument of interest rates. His “I know the Bank is independent but…” spiel was frankly embarrassing, and should not have merited the attention it got from the media, but here we are.
Speaking of, Power & Politics was not only true to form in giving him a soapbox to make his point, and rather than doing their jobs of pointing to the irresponsibility of this kind of move, particularly at a time when you also have Pierre Poilievre warning that he’s going to fire the Governor (with what power?) and threatening the Bank’s independence. It would be great if CBC could do a single economics story properly and not just treat it like an issue to be both-sidesed, but they apparently have zero willingness to do so, and the fact that this Eby interview was that ignorant is a sign that they cannot be bothered to care about economics stories for anything than just trying to plug them into their established narratives, and it’s doing the country an extreme disservice.
This interview is wholly ignorant and stupid. Every person involved with this should be absolutely ashamed, but this is English CBC and they absolutely do not care about getting economic stories right. #PnPCBC pic.twitter.com/IlGmyLrQh4
— Dale Smith (@journo_dale) August 31, 2023
Programming Note: I’m taking the full long weekend off, so I’ll see you early next week.
Ukraine Dispatch:
Ukrainian forces have reported some success in the south and east, but I am also tickled by their latest video offering, telling all of those armchair generals to basically shut up because they’ve been doing the heavy lifting on their own. President Volodymyr Zelenskyy says that Ukraine has developed its own long-range weapons that can strike 700 kilometres away, which may have been a sly nod to the attack on Russian airbases that destroyed a number of fighters. The mayor of Kyiv wants to build more fortifications, because there always remains the threat from Russia.
Everyone is now an expert on how we should fight. A gentle reminder that no one understands this war better than we do. pic.twitter.com/TIwssQjiFh
— Defense of Ukraine (@DefenceU) August 31, 2023