Tag Archives: Inflation

QP: Food prices versus budget back-patting

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In advance of the budget vote, the PM was present today, as were most of the other leaders. Pierre Poilievre led off in French, where he trotted out his new line likening the budget to credit card spending “with no limits,” and that this created surges in inflation and taxes, and raise the Parliamentary Budget Officer’s concerns that the size of the deficit has doubled. (And no, a federal budget has absolutely no relation to a credit card, and I wish to the gods our politicians would stop making these comparisons). Mark Carney praised the budget as a “generational investment” budget, and cited the PBO that the policy was sustainable in the long term. Poilievre cried that this was multigenerational debt that is driving up food prices (it is not), and read the food price inflation data from this morning, and blamed “Liberal taxes” (which is also nonsense). Carney reminded him that inflation has slowed down and has been within the Bank of Canada’s target for the past two years. Poilievre switched to English to repeat the line about the national credit card and inflation. Carney repeated in English that it’s a day because inflation is down, unemployment is down, and they have an opportunity to vote for their budget. Poilievre was not slowed, and uttered some complete bullshit about food price inflation, and repeated his nonsense about credit cards. Carney repeated the lines about inflation and unemployment while confidence in our economy is “sky high.” Poilievre repeated nonsense about “hidden taxes,” and Carney pointed out that wages have grown faster than inflation, and exhorted the Conservatives to vote for their budget. Poilievre switched to the rise in extortion, calling it a result of “soft-on-crime policies” and “open borders,” which is a foghorn and not a dog-whistle, and Carney called on them to support their future legislation.

Yves-François Blanchet rose for the Bloc, worried about tariffs, and wanted the PM to admit his strategy has failed. Carney reminded him that we have the best trade agreement currently and they are working to a better on. Blanchet mocked this, and demanded the same, and Carney said that Trump is calling his back, before praising investments for Quebec in the budget. Blanchet then demanded that the government capitulate to their requests for the budget, and Carney again repeated the investments for Quebec in the budget.

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QP: Trading “Food Professor” quotes back-and-forth

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The PM was present for a second day in a row, and you would have expected all the other leaders would be as well, but Pierre Poilievre was absent. That left Melissa Lantsman to lead off instead, and she dutifully read the script about the size of the deficit that accomplishes so little. Mark Carney thundered that the budget is about building the country and that they will put $3000 in the pockets of very Canadian by the end of the decade. Lantsman worried about debt servicing charges and that it goes to “bankers” (as opposed to, say, pension funds), and Carney said that the health transfers were preserved and that the interest charges are less than they were under Harper. Luc Berthold took over in French to read the lines in French about fuelling inflation and children lining up at food banks, to which Carney responded with his lines about 75 percent of the budget is about protecting sovereignty, and that repeated the $3000 claim. Berthold insisted that Carney would go down in history as the most expensive, before repeating his canard about inflation. Carney countered that it was not the most costly budget, but the most ambitious. Jasraj Hallan took over to rush though some swipes at Carney possibly holding money in offshore tax havens. Carney responded that the budget fights for tax fairness and cuts taxes for 22 million people. Hallan repeated the same accusation, and Carney said that he was proud of his time in the private sector but now he is helping to grow the country.

Yves-François Blanchet rose for the Bloc, and he complained about the so-called “discrimination” in Old-Age Security, and Carney noted the social transfers in the budget, and that it was indeed just that older seniors can get more. Blanchet then raised their plan for credits to help young people buy a first home, and Carney said that there is already an advantage for young people, which was on top of their investment in housing. Blanchet then demanded higher health transfers with no conditions attached, and Carney said that Quebec is getting $12 billion for healthcare and $5 billion for infrastructure, along with a few other big numbers.

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QP: Continually invoking the so-called “Food Professor”

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Post-budget, the PM was finally present for the first time in two weeks, as were all of the other leaders, ready to put on a show. Pierre Poilievre led off in French, and he declared that never has any budget forced Canadians to pay more for so little, decried the size of the deficit. Mark Carney insisted that Canada still has the best position in the G7, and that this was about building for the future. Poilievre decried that the cost to service the debt meant less money for doctors, and Carney retorted that debt servicing charges were less than they were under Harper. Poilievre repeated his first question in English, and threw in a couple of added slogans. Carney declared that 75 percent of the measures in the budget are to protect are sovereignty while the rest are for help for the cost of living, such as their tax cut. Poilievre insisted that the industrial carbon price was threatening “food sovereignty,” and quoted the so-called “Food Professor” to make his point. Carney patted himself on the back for killing the consumer carbon levy, that farms all fell below the industrial carbon price cut-off, and that the Climate Institute calculated that the impact of the industrial carbon price on inflation is zero. Poilievre tried to tie this to steel production and food prices, and Carney repeated that the effect of the industrial carbon price on food inflation is zero. Poilievre then switched to Friday’s Supreme Court decision, falsely characterised it, and demanded the government invoke the Notwithstanding Clause. Carney said that they would come up with new legislative measures in response. 

Yves-François Blanchet led for the Bloc, to lament that their priorities were not in the budget, and Carney responded that clean electricity tax credits was a good measure. Blanchet insisted that a tax credit was just creative accounting, and Carney insisted that Hydro-Quebec would be the biggest beneficiary, and that carbon capture was needed for the oil Quebec uses. Blanchet decried that the budget was just austerity, and Carney insisted this was about investing and that this was a growth budget.

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QP: Scattershot demands for an “affordable budget”

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It was a rare PM-less Wednesday, as Mark Carney had a full day planned of meeting with industry leaders in South Korea, while back at home, the rest of the party leaders were all present and ready to go. Pierre Poilievre led off in French, and he lamented “ballooning” debts and deficits, tied this to food bank usage, and wanted the government to work with them on an “affordable budget.” Steven MacKinnon said that Poilievre was demanding things he couldn’t even put in his own budget, and worried they wanted a Christmas election. Poilievre said that people shouldn’t have to choose between an expensive budget or an expensive election, and then falsely tied the industrial carbon price to food price inflation. MacKinnon said that they have affordable measures like the school food programme which the Conservatives voted against. Poilievre switched to English, to falsely claim that deficits caused inflation, and demanded the government eliminate the imaginary “hidden taxes on food.” MacKinnon assured him it would be an affordable budget and wondered if Poilievre would order his “troops” to vote for it. Poilievre repeated his claim to “positive collaboration” with the falsehood about the industrial carbon price. MacKinnon jibed that Poilievre’s imaginary taxes were only matched by his imaginary friends in caucus. Poilievre concern trolled about the Food Banks Canada report and re-read the anecdote from it, and again demanded an “affordable budget.” Patty Hajdu read a competing quote from the CEO of Food Banks Canada in support of federal programmes. Poilievre claimed that these programmes only feed bureaucracies and lobbyists and that things got worse, and repeated his “affordable budget” line. Hajdu said that it was clear that Poilievre was aiming for a Christmas election rather than help for Canadians.

Christine Normandin led for the Bloc, even though Yves-François Blanchet had delivered a member’s statement moments before, and accused the government of preferring an election to consulting with the opposition on the budget. MacKinnon listed off members of the Bloc he’s met with, and offered to meet with her as well. Normandin listed off Bloc demands and said this was preferable to an election. MacKinnon wondered why the Bloc was trying to negotiate with non-negotiable demands. Gabriel Ste-Marie blamed the federal government for the housing crisis, and scapegoated immigrants, before demanding more unconditional transfers to Quebec. Gregor Robertson responded that they were focused on homelessness first and foremost.

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QP: Parsing Carney’s “miserable” speech

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The PM was away again today, this time having spent the morning at the Darlington nuclear plant, and before his planned appearance at the Blue Jays’ practice (because priorities). Pierre Poilievre led off in French, and said that Mark Carney’s speech last night was “depressing,” and that he was demanding young people make sacrifices, when they have already been making sacrifices and have nothing left. Joël Lightbound said that young people sacrificed a  pessimistic, negative vision of Canada from Poilievre and chose a serious leader with an ambitious government. Poilievre said that Lightbound didn’t listen to the speech, and he repeated the supposed sacrifices that these young people have made, including falsely claiming that these are the worst job numbers in 30 years, before demanding an “affordable budget.” Lightbound said that the gulf between Poilievre and Carney gets wider and wider, and he rhymed off the talking points about the “transformational budget” and “spending less to invest more.” Poilievre switched to English to repeat his lament for the “depressing speech” and the sacrifices being demanded. John Zerucelli stood up to proclaim that he was proud to present red seals to a three young tradespeople before he praised the government’s plans. Poilievre again falsely claimed that the jobless rate was at a thirty-year high outside of COVID, and that young people need jobs and housing. Zerucelli proclaimed how much they were going go build. Poilievre again lamented that nobody had apparently watched Carney’s “miserable” speech and that youth would have to sacrifice more when they have already sacrificed enough, and wanted his own plan put into the budget. Steve MacKinnon got up to quip that the only person who is miserable when the prime minister speaks is Poilievre, before he gave a soaring paean about the announcement this morning and that the future was bright for youth. Poilievre again pitched his own plan to be put into the budget, and again, MacKinnon gave another soaring speech about the hope they are giving youth.

Christine Normandin led for the Bloc, and decried the government’s dismissing of the Bloc’s demands as “political games.” Steven Guilbeault said that Blanchet was changing his plans as often as he changes his shirts, and his tone of cooperation has given way to panning the budget before reading it. Normandin panned Carney’s empty consultations, and Guilbeault listed all of the people who met with the Bloc leader. Yves Perron again decried the “political games” line and insisted that the Bloc’s demands represent the needs of Quebeckers. As he always does in the face of such rhetoric, MacKinnon reminded the Bloc that they have fewer seats that the Liberals do in the province.

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QP: An incomplete “economics lesson”

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The PM was present today, as we learned he has been having pre-budget meetings with opposition leaders (for what it’s worth, given that the document is about to head to the printers). Pierre Poilievre led off in French, and raised his meeting with Mark Carney later in the day, and demanded an “affordable budget for an affordable life.” Carney assert that this budget would be bring operational spending under control while making major investments in capital projects. Poilievre said that the Liberals promised this a decade ago and we have only had economic ruin since, before again demanding an end to deficits and so-called “hidden taxes.” Carney reiterated they would clean up operational spending before reminding him that inflation remains in the target zone. Poilievre switched to English to repeat his first question, and Carney repeated his points about cleaning up operational spending to invest more, and that people have been doing better singe he became prime minister. Poilievre went on a rant about how Carney was telling people that they have never had it so good, to which Carney decided to give an economic lesson, pointing out that inflation is in the target zone, food inflation is in the G7 average, and that Canada is in the best position in the G7. Poilievre accused Carney of lecturing Canadians lining up at food banks—to which the Liberals shouted “you!”—and listed high food prices. Carney pointed to his tax cuts and stated he was here for single mothers and Canadians. Poilievre again railed about the inflation figures, and Carney again listed off his bullet points of his budget promises for operational spending and capital investment.

Yves-François Blanchet led for the Bloc, raised another auto plant closing because of tariffs, and demanded action from the government. Carney stated their disappointment with the closures, and stated that they were still negotiating but Canada still has the best deal possible. Blanchet dismissed this as not being enough, and demanded other assurances in the negotiations. Carney promised they would protect Supply Management and Quebec culture in the negotiations. Blanchet wanted assurances for forestry, and Carney reminded him that they have a fund to help the sector.

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QP: Blaming so-called “inflationary deficits” for food prices

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The PM was again in town but otherwise absent from QP, and the same dynamics were at play in the Chamber. Pierre Poilievre led off in French, and he raised today’s Statistics Canada inflation numbers, blaming government spending any taxes (even though taxes are anti-inflationary). François-Philippe Champagne praised the upcoming budget and the IMF suggestion that Canada and Germany had room to make generational investments. Poilievre then turned to the Auditor General’s report on the CRA and its call centres. Champagne responded with the “good news” that they are already partway through a one-hundred day action plan. Poilievre switched to English to repeat his first question on inflation, and Champagne repeated his same response from the IMF Director General. Poilievre repeated his same question on the Auditor General’s report on the CRA, and got a “take no lessons” from Champagne, who listed the things that Poilievre voted against. Poilievre dismissed “costly slogans” from the other side and got shouted down, and once things calmed, he raised the 1200 jobs at the GM plant in Ingersoll, and accused the government of betraying workers. Mélanie Joly assured him that Carney would fight for their jobs, and that she had a conversation with the CEO of GM this morning. Poilievre dismissed her efforts as all talk with no action (as though he could do anything differently if he were in power), and he repeated the accusation of betrayal. Joly said that they would hold these companies to account, before reading the new jobs at other plants.

Yves-François Blanchet rose for the Bloc, and he raised a “hate preacher” for a second day, and demanded the government close the religious exemption for hate speech. Steven Guilbeault agreed that hate speech has no place in Canada, and implored him support Bill C-9. Blanchet said that the bill doesn’t get to the issue of religious exemptions, and Guilbeault repeated his same answer. Blanchet insisted it would be easy to solve the problem, and said that they would be moving amendments they hoped the government would support. Guilbeault said that they are willing to hear amendments at committee.

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QP: Scary crime script day

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Unusually for a Thursday, the PM was present, and maybe he would correct false accusations again? Maybe? Pierre Poilievre led off in French, reciting scary tales of an murder while on bail and a child who found a crack pipe, and blamed it on “Liberal laws.” Mark Carney offered sympathy for families, and said that “comprehensive” legislation was on the way. Poilievre switched to a English to only mention the murder, and told the government to “get out of the way” to pass their bill. Carney expounded on how the government’s consultations and said that they have evidence-based laws on the way, and not just cut-and-paste American laws. Poilievre accused him of “screaming” and “ranting and raving,” and again decried the bail system. Carney, more calmly, said that they have only been in government for six months, and that comprehensive was on the way. Poilievre insisted that there were “massacres” happening in the streets, and Carney repeated that they have comprehensive bail reform on the way in a few weeks. Poilievre ranted about me tales of victims of crime, and got the same answer again from Carney. Poilievre again spouted falsehoods about past laws, and demanded the government set-aside partisanship to pass their own bill at all stages. Carney said that the Charter of Rights and Freedoms won’t just “get out of the way” like the Conservatives want, and invited the Conservatives to support their incoming legislation. 

Christine Normandin led for the Bloc, and accused the government of letting the postal strike happen. Carney said that Canada Post is no longer viable and that they need reforms, which is why they need to implemented the policies from the industrial report. Normandin said the government was absent on reforms for the years, and allowed things to get to this point. Carney again raised that report as a path forward and said that they need to come to an agreement. Marie-Hélène Gaudreau read a script that said the same thing, and Carney repeated that they need a real solution.

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QP: Pretending there are taxes on groceries

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The PM was in town, back from one set of travels and before the next, while the day felt both like Monday as no one had sat for the previous two days, while the post-caucus Wednesday energy still suffused the Chamber. Pierre Poilievre led off in English for a change, and he lamented job losses across various sectors, and blamed the prime minister. Mark Carney offered his sympathies for families affected, and touted their actions to protect industries. Poilievre quoted the hyperbolic statements of the interim PBO, accusing the PM of killing jobs, to which Carney said that Poilievre was ignoring the effect of U.S. tariffs, and offered his “spend less, invest more” line. Poilievre went on a tear about the deficits, to which Carney offered a “fiscal lesson,” which consisted of our AAA credit rating and the lowest deficit in the G7. Poilievre accused Carney of being worse than Trudeau, and Carney chanted that the country is building industry, houses, the country, etc. Poilievre switched to French to once again quote the PBO, and Carney again cited our strong fiscal position in the G7. Poilievre returned to English, to return to the issue of food price inflation, blaming “taxes” on groceries. Carney cite that there’s no GST on food, there’s no carbon levy, there is no carbon price on farms, and that real wages are growing.

Yves-François Blanchet rose for the Bloc, and accused the government of meddling in the Canada Post labour dispute, and considered it a “provocation.” Carney stated that Canada Post is an essential service and it needs to be viable, but they need to take action to stop it from losing millions of dollars. Blanchet said that if it was an essential service, why radical cuts would be made, and that workers learned about the cuts TV. Carney stated that he just became PM, and that they have needed to make changes for a long time. Blanchet accused Carney of being a conservative, and demanded “serious experts” to reform Canada Post. Carney said that the corporation and union need to come to an agreement between themselves, but that they also needed more flexibility. 

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Roundup: The weird fixation on east coast LNG

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There was another report about Europeans looking for Canadian LNG, this time in The Logic in a conversation with the German ambassador. What it did not really mention was the actual business case—only that the “long timelines” involved was a reason why former prime minister Justin Trudeau said that there wasn’t a business case for it. The thrust of the piece is that demand maybe longer than just short-term because even rapid electrification will still require some gas, however there is a boatload of context about this that journalists who have this weird fetish for LNG never actually touch on.

First of all, this discussion is only about east coast LNG, not west coast, where the conditions are different, and where there a whole bunch of potential projects that are fully permitted, and have all of their approvals in place, but aren’t moving ahead because the market isn’t showing demand (and by demand, we mean signing long-term contracts to buy the product). While this was also the case on the east coast, it’s complicated by the lack of ready supply of natural gas to liquify. Neither Quebec nor New Brunswick are about to start fracking for the sake of domestic supply, and the costs to bring a pipeline from western Canada to New Brunswick for export purposes is a lot to consider when we think about what is “long term.” That means supply is likely to becoming from the US, and that in turn will drive up local prices because they’re competing with the theoretical export terminal. To add to that, the “long term” we need to keep in mind is that these kinds of plants need to be operating for a good forty years or so to get their money’s worth. Is anyone in Europe thinking about the infrastructure necessary on that kind of time scale? Unlikely, and unlikely at that time scale for the kinds of prices that Canada would be offering, which are higher than they could get elsewhere.

What do they mean by "long-term"? Because these kinds of projects need a 40-year lifespan or so to actually get their money's worth, by which time we'll be well past net-zero goals.

— Dale Smith (@journodale.bsky.social) 2025-09-25T13:37:04.762Z

This is why these stories never actually make sense, because those journalists never actually talk to an energy economist about it, or if they do, it goes right out the other ear while they maintain this weird fixation on LNG. I’m not quite sure what it’s in service of—have they simply absorbed the propaganda of the oil and gas industry, who say dumb and wrong things like how our fossil fuels are the “cleanest” (they absolutely are not), or worse, that it will displace coal (the final emissions profile is not that much lower than coal, and as David Cochrane is the only journalist to push back on this talking point, there is no guarantee that they wouldn’t just use Canadian LNG in addition to coal rather than displacing it)? Or is this some kind of sad attempt at playing gotcha with Trudeau and the business case line? Because certain journalists are relentless in badgering and hectoring European leaders about this, and it’s just weird, and just completely ignorant of the facts on the ground.

Ukraine Dispatch

A Russian attack on Chernihiv meant power cuts for 70,000 people. NATO Secretary General Mark Rutte says that members can target Russian planes that enter their airspace as necessary. And president Zelenskyy says he is ready to leave office once the war is over.

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