This link offers an insightful look into the roots of the European debt crisis.
It offers some refreshing reminders as to why fake fiscal emergencies and resulting ‘austerity measures’ are nothing but a sham.
Worse, just as they did in 2008-09, governments are rushing to rescue rickety banks with public funds. That’s why the European Central Bank, the IMF and Europe’s leading powers keep bailing out ailing states like Greece, Ireland and Portugal.
Again: follow the money. When debt-strapped governments receive hundreds of billions in new loans, that money is immediately sent into the coffers of private banks as payments on past loans. The whole situation, observes one writer in the Financial Times, “resembles a pyramid or Ponzi scheme” in which original lenders are paid back with new loans.
The difference is that the new loans are coming from public funds, which is another way of saying that private banks are being rescued once more by the people. Just as in the global bank crisis of 2008-09, bank profits are private, but their losses are public. Not exactly the free market. But it’s a nice deal for profligate bankers.
Any finance minister – including Jim Flaherty – that pretends there are different and more pressing issues behind this building crisis risks their credibility as people wake up to the reality that the big transfer – shifting our funds to the big banks – has to come to a quick end.
It’s important that we all resist austerity measures – fake fiscal emergencies designed to crush public services and public service – in the wake of this knowledge.
Jim Flaherty and the rest of the Cons refuse to heed the actual outcome of disastrous financial ‘trickle down’ experiments like Ireland and the US (more states in the US are teetering on the edge of bankruptcy because of reckless federal fiscal management and downloading), so it’s unlikely that we’ll get corporations paying their fair share any time soon, but Diamond Jim did give us cause for pause in this interview:
“Our plan actually is to continue to reduce taxes over time in Canada. We’ve reduced business taxes significantly, and our plan continues in that regard. We’ve reduced the federal consumption tax, the GST, as we promised we would … We’ve done some tax reductions on personal income taxes. Quite frankly, we’d like to do more over time, so that’s the direction we want to go. What we’re seeing in the economy is moderate growth. It’s not dramatic, but it is steady. And we expect that to continue over the medium term. You know, given what we’ve all been through around the world in the last few years, I would never presume to say ‘never’ in terms of a very substantial economic shock where we’d have to have one. And there are risks in the world, with respect to Europe, with respect to relative weakness in the U.S. economy, with respect to some global imbalances that I’m sure we’ll be talking about at the world economic forum (in Davos, Switzerland) the next few days. That’s not the expectation. The expectation is that we’ll have continued moderate economic growth and continued tax reductions over time.”
So there you have it folks … the exact quote that the Cons have ripped out of the Liberal lines about tax situations in order to slam them continuously about their ‘tax and spend habits’ and that the Liberals will be mega-government bureaucrats.
Which – correct me if I’m wrong – makes the Cons what? Oh yeah … BIG F-IN HYPOCRITES telling Canadians lies at every turn! Isn’t it Jim who’s created the biggest deficit in Canadian history?
In an interview with the CTV (does he ever talk with the CBC?), Stephen Harper has indicated that he will not rule out a carbon tax, simply because he’d be more than happy to drop his pants for the US (again). This is a complete 180 from his original position that destroyed the Dion Liberals in the 2008.
Brilliant. Sycophantic slippery Steve has lied to us again.
In fact, we’re all about to be ‘Harpooned’, much like Baby Boomers and other savers were Harpooned when the Conservatives killed the value of Income Trusts back in 2006.
We’re all going to eat the cost of carbon capture and carbon sequestration all so that the companies in Alberta can continue to belch out unprecedented volumes of crap.
Yay! I can’t wait until the next election. Please Santa. Please bring me an election for Christmas
It seems the Conservative government has blinked and has eliminated several of the more contentious components of the economic statement from last Thursday. John Baird said over the weekend that they won’t try to eliminate the right for public sector members to strike, nor would they eliminate public funding for campaign finance. Of course, it wasn’t Harper or Flaherty making these statements. It was Baird. Why the Minister of Finance or our Prime Minister aren’t standing behind these decisions, I don’t know.
These details, along with details about the Liberal/NDP coalition plans were discussed here .
These developments beg the question: what was the point? Since the Conservatives have rolled back some of the details of their ‘economic’ statement, was it just politics all along? Did they not think the opposition had a spine?
Unfortunately, we’re heading into the deepest recession, possibly depression, that the entire world will experience and the Conservatives are nit-picking and seeking out a power grab.
This is shameless. The world is demanding leadership and we’re getting opportunists.
What’s truly embarassing is that there are still some Canadians who can’t see past the politicking and are only worried about smoke-screen issues like abortion and gay marriages. They can’t see that the world is changing and that we need to change our government to reflect this.
I’ve pasted my comments from this article . I’m very annoyed with the Conservative response to the efforts to form a coalition. Back room deal? Since when was Harper ever transparent with Canadians?
Wow. Lots of comments. I’m not sure if I’ll be repeating what’s already been said, but here are some thoughts:
1. 62.4% of Canadians does not want the Conservatives to run this country, at least according to the popular vote.
2. The Conservatives do not have a plan. They did not have one during the election and they obviously do not have one now, since they are not doing what the rest of the world is doing: stimulating a failing economy. Tax cuts didn’t work, Jim.
3. A coalition is perfectly legal and within the rule of law in Canada. Saying it’s not is a bold-faced lie. Saying they’re working behind closed doors is the extreme in hypocrisy, given the complete media shut-out that we’ve had to tolerate over the last 2.5 years of Conservative ‘leadership’.
4. Stephen Harper and Jim Flaherty and the rest of the Cons hate democracy. Cutting $30 million from the public financing of campaigns will not prove anything. Try cutting a few billion from the Department of Defence instead.
5. It’s time the Conservatives accept their fate: their belief structure and ideology is outdated and destructive. Leaving them in charge to repair what faces us in Canada would be a disaster, as it has been in the US and the UK.
6. In light of these observations, allowing the Conservatives to continue to run our country would be a grave mistake, given that they are ideologically different than the newly-elected Obama government in the US.
The level of anger mystifies me from the Conservative camps. You act with a sense of defiance and entitlement. It was decided that, using our antiquated voting system, the Conservatives would lead, but you’re entitled to nothing if you can’t cooperate with the rest of Canada.
Shame on you.