I am hearing mixed messages from our Prime Minister. He says the land is strong and our fundamentals are fine at election time. He says he will never run a deficit so long as he leads the country and his government is in surplus so don’t worry – vote for his sound economic management abilities.
Now he says private economic analysts say we are going to be in a “technical recession” as if his own government people didn’t know this, or he does not want to tell us he was advised of this reality by his administration. All of this is more Harper misleading machinations and mumblings and more of his patented politically misleading way of saying we are in recession. Who cares if it is technical or not?
He is reported to say he is “ready to open the government’s wallet t respond but not until February when the budget is due. He is now sending mixed messages concurrently in real time rather than saying one thing in an election and changing his tune later when the political gamesmanship is passed. This is because his ideological zeal can no longer manipulate the media by misleading advertising that diverts attention off the real issues and ignores the facts. That is because everyone knows he does that and we are all genuinely worried about what is happening. There is no map for this new economic territory that the Bush government has pushed on the world.
Harper is going to have to be more honest, forthright and frank with Canadians, even though it is so contrary to his political instincts. He is going to be politically hobbled and has to face the challenge of telling the truth this Thursday with his economic update. This is because Kevin Page, the Parliamentary Budget Officer saw to it last week with an announcement about the facts of the pending deficits to be sure they are known. Kevin Page, bless his heart, has pegged the good news next year at a $4B deficit; something Harper has said would not happen on his watch. The bad news, at least bad news for Harper’s ideological certitude, is that Page says the deficit could reach $14B. Ouch! Only question I have about the November 27th political melodrama is will Flaherty’s economic update be inconsequential or will it be nominated for a Pulitzer Prize for fiction?
Now we have our decisive and determined Prime Minister being vague about if there will be an economic stimulus and if it is to happen the timing gets dodgy too. Flaherty says last Friday that he will not deal with the economic issues of an economic stimulus until the February Budget. What gives? Obama is not even President yet and yet he is already announcing economic stimulus activities… already. Is this new dithering and indecisiveness of the Harper government the reason why we had an unnecessary inconclusive, expensive and rushed election? Say it ain’t so Mr. Harper.
Mr. Harper, we all know that you knew this economic crisis was coming, hence the early election notwithstanding your law to the contrary. The crisis started during the campaign but that was not why you lost a majority government. In fact the economic uncertainty was the reason why you did as well as you did. It was not anything you said or did during the campaign that is for sure. You and your party were perceived to be the better choice to manage during the coming uncertain times. You are not only letting us down and disappointing us again, you continue to mislead and play politics with our economic, social and environmental security as individuals and as a nation.
Don’t dither Mr. Prime Minister. It didn’t serve Paul Martin particularly well. We in Canada are in better shape than most but we can quickly decline into despair with your demonstrative indecisiveness. By th eway, our consumer and corporate confidence is at the lowest it has been since 1982. Enough said?
Monday, November 24, 2008
Sunday, November 23, 2008
Alberta's Royalty Breaks Should Be Conditional on Reclamation Clean Ups
Here is a link to my recent interview on CBC Radio 1 Wildrose Country on Premier Stelmach's royalty relief for conventional oil and gas drilling effective January 1, 2009
UPDATE: NOV 24/08 The Stelmach government announces TODAY that the royalty break announced Nov 19 for new drilling for wells after Jan 1, 2009 has been revised. It now applies to oil and gas wells that have started prep work as of Nov 19.
The delay in the program implementation in the original announcement would have done more short term harm than long term good because all current work on drilling plans would have stopped until January 1. Duh!
They say this royalty break "is not anticipated to affect the estimated royalty impact of the five-year program announced November 19, 2008." OK. I still want to ensure Albertans as owners get the straight goods on just how much it will exactly impact these non-renewable resource revenues going forward. Will our government tell us that exactly - along with all other production based royalty revenue calculations as well? They have indicated with pending legislation changes that we will not be able to FOIP that information. Not accountable. Not transparent and not good stewardship.
Now lets make it clear that only companies that are currently active in meeting their obligations to reclaim abandoned oil and gas plays are eligible for the royalty assistance. We need those oil and gas companies to clean up behind themselves just as much as we need to keep drilling folks.
UPDATE: NOV 24/08 The Stelmach government announces TODAY that the royalty break announced Nov 19 for new drilling for wells after Jan 1, 2009 has been revised. It now applies to oil and gas wells that have started prep work as of Nov 19.
The delay in the program implementation in the original announcement would have done more short term harm than long term good because all current work on drilling plans would have stopped until January 1. Duh!
They say this royalty break "is not anticipated to affect the estimated royalty impact of the five-year program announced November 19, 2008." OK. I still want to ensure Albertans as owners get the straight goods on just how much it will exactly impact these non-renewable resource revenues going forward. Will our government tell us that exactly - along with all other production based royalty revenue calculations as well? They have indicated with pending legislation changes that we will not be able to FOIP that information. Not accountable. Not transparent and not good stewardship.
Now lets make it clear that only companies that are currently active in meeting their obligations to reclaim abandoned oil and gas plays are eligible for the royalty assistance. We need those oil and gas companies to clean up behind themselves just as much as we need to keep drilling folks.
Harper is Sounding Progressive Again - But Can We Trust Him?
It is reassuring to hear Stephen Harper aligning and reaffirming the APEC leaders’ decision NOT to resort to raising protectionist barriers to world trade. He is quoted as saying “Now is the time for opening doors, not erecting walls.”
Reports from CanWest reporter David Akin noted that Harper commented that “…the Great Depression was caused by countries letting banks fail, allowing deflation to run rampant and trying to balance their books at all costs, even if it meant raising taxes and slashing public spending.” Harper is reported to all of a sudden favour “unprecedented fiscal actions…to stimulate economic growth and ease tightening credit conditions.” As if he wasn’t already spending taxpayers money at an alarming rate leading up to the election.
So the economist in Harper is stimulus Keynesian after all, notwithstanding his rhetoric about no deficits and smaller government in the election just a few weeks ago. Gotta love it when politics turns to pragmatism and order and good government becomes a goal of the Reform/Alliance leadership.
It is an open question as to what Harper is really doing and if we can ever believe him at face value. He often says one thing for political purposes, including pandering to his base or to Quebec for personal power plays. And then he does another, often the exact opposite when it suits him…and it happens all the time. Canadians need a truthful and transparent Prime Minister who says what he means – the first time – and for the purposes of sound public policy – not just personal power and message positioning.
He said that he would control Alberta’s bitumen exports to foreign countries based on a countries environmental standards and record. It was a clear shot at pandering to the Bush White House and an attempt to marginalize China in the process. It was all tied to the Bush excuses to delay or not institute climate change policies in North America because of attitudes towards China on environment. Not good public policy in the context of Harper’s resent statements of not being protectionist or raising trade barriers in the face of the growing economic crisis that is enveloping the entire planet.
It is important to note that APEC is a group of 21 Pacific Rim countries whose economic leaders have been meeting since its inception in 1989 in response to growing interdependence among Asia-Pacific economies; APEC has become the premier regional forum for promoting open trade and practical economic and technical cooperation among Asia-Pacific economies.
Over the years, it has grown to a membership spanning four continents, and represents the most economically dynamic region in the world, accounting for approximately 40 percent of the world's population, 56 percent of world GDP and nearly half of world trade.
It is a very vital forum for Canada and Alberta and B.C. in particular given our orientation to the Pacific Rim. We need the Pacific Rim countries to succeed for them to produce more trade and investments in our provinces, as well as providing continental energy supply and security.
I hope I can trust Harper at his word for a change, especially when he makes such practical and positive statements about governments taking initiatives to encourage trade. It is not his personal default position and it means he has to revise his attitude about the best government is no government and the marketplace should prevail to solve the problems of the world. That acceptance of an activist role and responsibility for government is a tectonic shift for Harper. I hope he means it and it is not just another piece of his continuing political positioning and posturing that he will once again either ignore or reverse on a whim.
Reports from CanWest reporter David Akin noted that Harper commented that “…the Great Depression was caused by countries letting banks fail, allowing deflation to run rampant and trying to balance their books at all costs, even if it meant raising taxes and slashing public spending.” Harper is reported to all of a sudden favour “unprecedented fiscal actions…to stimulate economic growth and ease tightening credit conditions.” As if he wasn’t already spending taxpayers money at an alarming rate leading up to the election.
So the economist in Harper is stimulus Keynesian after all, notwithstanding his rhetoric about no deficits and smaller government in the election just a few weeks ago. Gotta love it when politics turns to pragmatism and order and good government becomes a goal of the Reform/Alliance leadership.
It is an open question as to what Harper is really doing and if we can ever believe him at face value. He often says one thing for political purposes, including pandering to his base or to Quebec for personal power plays. And then he does another, often the exact opposite when it suits him…and it happens all the time. Canadians need a truthful and transparent Prime Minister who says what he means – the first time – and for the purposes of sound public policy – not just personal power and message positioning.
He said that he would control Alberta’s bitumen exports to foreign countries based on a countries environmental standards and record. It was a clear shot at pandering to the Bush White House and an attempt to marginalize China in the process. It was all tied to the Bush excuses to delay or not institute climate change policies in North America because of attitudes towards China on environment. Not good public policy in the context of Harper’s resent statements of not being protectionist or raising trade barriers in the face of the growing economic crisis that is enveloping the entire planet.
It is important to note that APEC is a group of 21 Pacific Rim countries whose economic leaders have been meeting since its inception in 1989 in response to growing interdependence among Asia-Pacific economies; APEC has become the premier regional forum for promoting open trade and practical economic and technical cooperation among Asia-Pacific economies.
Over the years, it has grown to a membership spanning four continents, and represents the most economically dynamic region in the world, accounting for approximately 40 percent of the world's population, 56 percent of world GDP and nearly half of world trade.
It is a very vital forum for Canada and Alberta and B.C. in particular given our orientation to the Pacific Rim. We need the Pacific Rim countries to succeed for them to produce more trade and investments in our provinces, as well as providing continental energy supply and security.
I hope I can trust Harper at his word for a change, especially when he makes such practical and positive statements about governments taking initiatives to encourage trade. It is not his personal default position and it means he has to revise his attitude about the best government is no government and the marketplace should prevail to solve the problems of the world. That acceptance of an activist role and responsibility for government is a tectonic shift for Harper. I hope he means it and it is not just another piece of his continuing political positioning and posturing that he will once again either ignore or reverse on a whim.
Saturday, November 22, 2008
Masters of the Universe Icons of Commerce Prove to be Just Greedy Bastards at the End of the Day
There are so many things wrong with the world today. The comfortable lightness of being Canadian, and especially being Albertan, is not making us immune from the harsh realities that are about to befall from the world-wide market meltdown.
Canadians should never forget that Harper lied to us about the pending recession during the last election with his promises of never allowing a deficit and now he is accepting one. He also lied when he said we would escape the economic impact of the American induced financial crisis based on our best of breed amongst a bad lot in the global banking system.
Thank to Kevin Page's honest and professional assessment of the Canadian economic reality, it will be more difficult for the Harper government to continue to lie and mislead use about the fiscal facts facing Canada in the economic update expected later this week.
I am astonished that the corporatist Masters of the Universe types, Detroit's "big three" Chapter would be so self-absorbed and unaware. How they handled their recent bailout bumbling in Washington this past week shows just how indifferent and unaware they are of the real world of the rest of us. I can see no reason to justify a bailout of the automotive sector under the current circumstances. If the free market system is to be free, it has to be free to fail. Lets not see governments try to pick winners with public investments that interfere in the marketplace realities. Where will it stop? We in Alberta know first hand it will not work based on past experiences.
I have some stomach for the taxpayer buyouts of some of the banking business bozos. I can even accept the planning shift of TARP away from buying the bogus paper these bastards pushed out the doors for bloated fees and foolishness. Still, letting some financial institutions fail like Bears Stearns and Lehman Brothers is a good thing.
Trying to restore confidence in financial sectors by buying equity positions that essentially nationalized the American financial sector is a necessity to ensure some semblance of a working market place for everyone. That said, it has yet to be proven effective. For example, Citigroup got $25B of bailout money and promptly dropped 23% of stock market value - in one day. This once enormous bank is cutting 52,000 jobs and now has a market capitalization smaller than Home Depot.
So much also for asinine assurances and the mistaken mythological around sound conservative economic management capabilities that inappropriately inure to the Republican Party. They have methodically removed the role of good government and the capacity and flexibility of any government to be reasonably responsive to the worldwide financial crises the Bush White House has aided and abetted.
They have removed required regulatory oversight, instituted low taxes for the rich, were the biggest of tax spenders and have proven to be accomplished deficit builders and incredibly inept fiscal managers. Canadians must never forget that our own Artless Dodger, “Steve” Harper is a disciple of the new-Republican economic strategy - and there is no evidence he has changed.
We have all these indifference greedy and gouging corporate executives pocketing huge personal fortunes all under the guise of socially, environmentally sustainble wealth creation and myths of increased shareholder value in “free” enterprise model. They are now proven to be just plain greedy and reckless at best…profoundly irresponsible and perhaps criminal at worst.
As the recession sets in next year we will see more children remain or be reduced to poverty as their families fail to be able to provide the necessities of life for them to escape the rut of economic want and the social and personal tragedies that are inevitable to at risk kids. Child poverty ha s not improved in a generation where economic growth has been the highest and longest sustained period in history. Child mental health is also a national disgrace and bound to get worse. This is thanks in large part to the personal and institutional greed of these fat cats who are proven to be reckless, feckless and check less, thanks AGAIN to bad politicians with a penchant for irresponsible deregulation coupled with shortsighted and short term policy perspectives.
From now on I am only going to invest in ethical corporations with leadership that sees business as having a social, environmental and wealth creation value set…not just growth at any cost. I am going to call out anyone I see irresponsibly running a public or private enterprise contrary to the greater public good as well as producing shareholder value.
Canadians should never forget that Harper lied to us about the pending recession during the last election with his promises of never allowing a deficit and now he is accepting one. He also lied when he said we would escape the economic impact of the American induced financial crisis based on our best of breed amongst a bad lot in the global banking system.
Thank to Kevin Page's honest and professional assessment of the Canadian economic reality, it will be more difficult for the Harper government to continue to lie and mislead use about the fiscal facts facing Canada in the economic update expected later this week.
I am astonished that the corporatist Masters of the Universe types, Detroit's "big three" Chapter would be so self-absorbed and unaware. How they handled their recent bailout bumbling in Washington this past week shows just how indifferent and unaware they are of the real world of the rest of us. I can see no reason to justify a bailout of the automotive sector under the current circumstances. If the free market system is to be free, it has to be free to fail. Lets not see governments try to pick winners with public investments that interfere in the marketplace realities. Where will it stop? We in Alberta know first hand it will not work based on past experiences.
I have some stomach for the taxpayer buyouts of some of the banking business bozos. I can even accept the planning shift of TARP away from buying the bogus paper these bastards pushed out the doors for bloated fees and foolishness. Still, letting some financial institutions fail like Bears Stearns and Lehman Brothers is a good thing.
Trying to restore confidence in financial sectors by buying equity positions that essentially nationalized the American financial sector is a necessity to ensure some semblance of a working market place for everyone. That said, it has yet to be proven effective. For example, Citigroup got $25B of bailout money and promptly dropped 23% of stock market value - in one day. This once enormous bank is cutting 52,000 jobs and now has a market capitalization smaller than Home Depot.
So much also for asinine assurances and the mistaken mythological around sound conservative economic management capabilities that inappropriately inure to the Republican Party. They have methodically removed the role of good government and the capacity and flexibility of any government to be reasonably responsive to the worldwide financial crises the Bush White House has aided and abetted.
They have removed required regulatory oversight, instituted low taxes for the rich, were the biggest of tax spenders and have proven to be accomplished deficit builders and incredibly inept fiscal managers. Canadians must never forget that our own Artless Dodger, “Steve” Harper is a disciple of the new-Republican economic strategy - and there is no evidence he has changed.
We have all these indifference greedy and gouging corporate executives pocketing huge personal fortunes all under the guise of socially, environmentally sustainble wealth creation and myths of increased shareholder value in “free” enterprise model. They are now proven to be just plain greedy and reckless at best…profoundly irresponsible and perhaps criminal at worst.
As the recession sets in next year we will see more children remain or be reduced to poverty as their families fail to be able to provide the necessities of life for them to escape the rut of economic want and the social and personal tragedies that are inevitable to at risk kids. Child poverty ha s not improved in a generation where economic growth has been the highest and longest sustained period in history. Child mental health is also a national disgrace and bound to get worse. This is thanks in large part to the personal and institutional greed of these fat cats who are proven to be reckless, feckless and check less, thanks AGAIN to bad politicians with a penchant for irresponsible deregulation coupled with shortsighted and short term policy perspectives.
From now on I am only going to invest in ethical corporations with leadership that sees business as having a social, environmental and wealth creation value set…not just growth at any cost. I am going to call out anyone I see irresponsibly running a public or private enterprise contrary to the greater public good as well as producing shareholder value.
Sunday, November 16, 2008
Harper Dances with Deficits
What a difference a week makes. What a difference a month makes. A week ago Prime Minister Harper was convening a Seinfeld-like First Minister’s meeting on the economy and offering nothing and the discussions were about as equally energizing as to what to do. But he can say he consulted with the Provinces before he makes his anticipated unilateral decisions. Stelmach was right to stay in Europe and his offer to “phone it in” made sense when we see the results of what was a three hour exercise in political – not economic - process.
In the election Harper was skillfully man-handling the Liberals and manipulating the media with the old saw of Liberals being taxers and spenders. He was carpet bombing the messaging and describing the dire warnings that would result from a Liberal vote. To let the likes of Dion, as advised by Paul Martin, would be risking deficits...and that, we were told, was a risk that was not worth taking.
The Harper Cons campaign mantra was that the economic fundamental of the country is strong and Canada was going to be OK in the face of the market meltdown. He milked the symbolism of a small group of banking insiders ranking the Canadian banking system as the best of a bad bunch. A 60 second reflection on that “positive news” was hardly reassuring.
Since then Harper has made $75B of taxpayer’s cash available to those excellently run banks so they could have some bad loans bought up. This is to convince the banks to start lending again.
So far the banks have not taken up any of this Harper largess with our tax money. The prime lending rate has been cut and cut again and the Bank of Canada has also injected more liquidity in the Canadian banking system. Now he is poised to bail out the automotive industry in consort with the lane-duck Bush bunch. It all seems so Trudeauesque, who equally failed years ago to convince us with his election rhetoric and silly sloganeering that “The Land is Strong.”
Now Harper is backtracking on his infamous fiscal frugality and flirting with deficit spending coming out of the G20. Of course government should be spending for infrastructure and to create jobs and cash flow in such tough times. Especially when the banks and business will not, or cannot, step up to the plate to do so. But why did the Prime Minister mislead us during the election campaign over instituting such an obvious means to address such serious matters? Is it because Harper thinks that Kim Campbell was actually right? That election campaigns are not the place to discuss issues of significant concern to the country?
If you looked up mendacity in the dictionary you should not be surprised if you were to see Steven Harper’s picture. Harper has proven himself to be a shrewd and canny campaigner and a powerful political enforcer. He has a long way to go to prove himself as a good governor but the times are begging for such leadership. As for Harper becoming a statesman, one has to wonder if he is even slightly interested or capable of such status given his purpose and passion for personal political power.
In the election Harper was skillfully man-handling the Liberals and manipulating the media with the old saw of Liberals being taxers and spenders. He was carpet bombing the messaging and describing the dire warnings that would result from a Liberal vote. To let the likes of Dion, as advised by Paul Martin, would be risking deficits...and that, we were told, was a risk that was not worth taking.
The Harper Cons campaign mantra was that the economic fundamental of the country is strong and Canada was going to be OK in the face of the market meltdown. He milked the symbolism of a small group of banking insiders ranking the Canadian banking system as the best of a bad bunch. A 60 second reflection on that “positive news” was hardly reassuring.
Since then Harper has made $75B of taxpayer’s cash available to those excellently run banks so they could have some bad loans bought up. This is to convince the banks to start lending again.
So far the banks have not taken up any of this Harper largess with our tax money. The prime lending rate has been cut and cut again and the Bank of Canada has also injected more liquidity in the Canadian banking system. Now he is poised to bail out the automotive industry in consort with the lane-duck Bush bunch. It all seems so Trudeauesque, who equally failed years ago to convince us with his election rhetoric and silly sloganeering that “The Land is Strong.”
Now Harper is backtracking on his infamous fiscal frugality and flirting with deficit spending coming out of the G20. Of course government should be spending for infrastructure and to create jobs and cash flow in such tough times. Especially when the banks and business will not, or cannot, step up to the plate to do so. But why did the Prime Minister mislead us during the election campaign over instituting such an obvious means to address such serious matters? Is it because Harper thinks that Kim Campbell was actually right? That election campaigns are not the place to discuss issues of significant concern to the country?
If you looked up mendacity in the dictionary you should not be surprised if you were to see Steven Harper’s picture. Harper has proven himself to be a shrewd and canny campaigner and a powerful political enforcer. He has a long way to go to prove himself as a good governor but the times are begging for such leadership. As for Harper becoming a statesman, one has to wonder if he is even slightly interested or capable of such status given his purpose and passion for personal political power.
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