5 Jun 2013

It's high time the Liberals or NDP challenged our 'corporate elite'

With the next federal election a little more than two years away, it is time we started asking the Liberals and New Democrats what kind of government they will deliver if either one could bounce the Conservatives from power.

It would be unwise to underestimate the Conservatives’ devious political smarts, but it increasingly looks like we may have a dramatic change in Ottawa – perhaps a Liberal government.

A win for either the Liberals or NDP will be a tremendously important change, but the winner should also be able to deliver a new kind of politics.


So, it’s time to begin pressuring both Justin Trudeau and Tom Mulcair to articulate exactly what they would do, and the challenge is huge.

Illustration: Daniel Pudles
The last time Canada had a liberal-minded, reasonably democratic government was during the Pierre Trudeau era in the 1970s.

The domination of the government by a powerful elite dates back to Liberal Prime Minister John Turner more than 30 years ago. That’s when a wealthy, mainly corporate class of men began dominating the federal government and its’economic policies.

The rich and powerful believed that unrestricted capitalism could do a much better job of running the country. One of the first moves was to abandon the policy of full employment in favor of making conditions more advantageous for business.

While other governments helped embolden and empower corporate Canada, it has been Stephen Harper who has embraced neo-liberalism more than any other leader, destroying many of the country’s foundations during his seven years in power.

Subsequently, if there is a new government, it will come to power with the extreme right wing more entrenched than ever before. Quietly lobbying behind the scenes, aggressive organizations are determined to maintain policies that tend to reward the rich and penalize the rest of us.

The Canadian Council of Chief Executives is the largest and most powerful of this corporate elite. Membership is made up of the CEOs of the country’s largest 150 corporations, which have assets worth $4.5-trillion. It was this Council that was the main force behind the push for Canada to sign its two major free trade agreements. The Council continues to quietly push for a loosening or breakdown of the Canadian-U.S. border, something that most Canadians do not want.

Other powerful organizations more concerned about their own interests than the public interest are the Canadian Bankers Association, the Canadian Association of Petroleum Producers and the Canadian Chamber of Commerce.

The ruling class also has the support of the corporate-owned mainstream media, most of which favours a right-wing point of view.

So, what of Trudeau or Mulcair?

From what I can see, neither is proposing any changes that would upset those who so strongly dominate the country. So far, both say they will focus on improving the lot of the middle class, but Trudeau won’t increase taxes on the rich. Both favour some sort of tax on carbon. The NDP is talking about creating a long-overdue national transportation policy. Trudeau favors keeping the Senate, but appointing better qualified Senators.

These promises are more about getting votes than taking on the serious issues facing the country. Interestingly, as far as I know, the term “neo-liberalism” was not uttered once during either the Liberal or NDP leadership race.

If either party manages to replace the Conservatives, it will inherit a bleak financial situation. Harper has limited the revenue-generating ability of any new government by dramatically reducing both corporate and individual tax rates as well as creating tax loopholes and failing to crack down on funds held offshore.

An early test of a new government would be to see whether it would have the determination to defy the corporate elite and increase both corporate and personal income taxes. Without increased revenues, the government will be unable to cope with the destruction left after 35 years of right-wing policies.

Proportional representation, which is promoted by Fair Vote Canada and other groups, would be a huge improvement over our first-past-the-post electoral system but, unfortunately, would not alone reverse our enslavement to neo-liberalism.

The winning government would need to attack problems such as income stagnation, high unemployment, smaller and poorly funded government, the decline in social services and welfare systems, removal of safety inspections at companies, and the decline of the public education systems in most provinces, etc.

Meanwhile, the right-wingers won’t ease up. They want to end Canada’s supply-side economic system that stabilizes the price of dairy products, and they want to destroy as many unions as possible. They are so determined they may not be satisfied until children have the “right” to work in the mines.

Another big challenge for either Trudeau or Mulcair would be to work with the provinces to modernize and find increased funding for our deteriorating medical care system. Powerful groups, the insurance industry and right-wing politicians want to see the system further fall apart so that a two tier system will become acceptable to the majority of Canadians.

In addition, we will have to see if a new government will overcome the energy industry’s opposition to the implementation of effective global warming regulations.

The Liberals or NDP, as well as provincial governments, could send a strong message to Canada’s far-too-rich, and to powerful banks by starting to borrow money for the government from the Bank of Canada instead of the private banks. Each year, governments across Canada now pay some $60 billion in interest on their debts – interest payments that need not be incurred.

Unfortunately, in view of their middle-of-the-road political orientation, neither party will dare even discuss taking Canada out of its two so-called “free trade” agreements. The U.S. and North American deals gave corporations more power than governments in important areas, caused Canada to lose much of its manufacturing industry, drove down wages, and saw reductions in unemployment insurance payments.

Because it will be possible to end some of the destructive ways of 35 years of neo-liberal government, this next election is hugely important. But winning alone and coming to power with a mishmash of weak-kneed promises will not be enough.

We must not allow either the Liberals or NDP to avoid the real issues. The public needs to push the leaders hard so they will take strong positions on the main issues. We need to know which party will be prepared to do the most to oppose the business-controlled agenda.
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38 comments:

  1. I believe that it would be helpful to ask each candidate which major economist's theories they favour. If they say Milton Friedman or Friedrich von Hayek then they will most likely pursue business, corporate centered neo-liberal policies. If they say Keynes, Galbraith, Joseph Stiglitz then they might pursue policies that are more in the interests of the average citizen as well as business. If they don't know then they will be at the mercy of whoever has the most money to do the most effective lobbying and that will not be the average citizen.

    ReplyDelete
  2. As usual, a very worthy read, Nick. I've been having many of the same thoughts that you've expressed and written so eloquently. I absolutely conquer. We need a plan! We really don't have much time and time really is of the essence. The system is corrupt and broken. How surprising can that be when lobbyists with deep pockets buy our politicians? We don't have a moment to waste. Thanks for doing your part to raise awareness, Nick.

    ReplyDelete
  3. You are preaching a world revolution, not just Canada. For Canada to join the handful of countries that are actively fighting neo-liberalism will be extremely painful.

    I think the Canadian population is not yet radicalized enough to take that on in one big mouthful. What we have to ask is whether any party can be expected to move in the direction of that will ultimately facilitate doing so. Maybe the NDP, maybe not; no evidence that the liberals will. Justin Trudeau is not a strong leader; just a puppet, in my opinion.

    The Greens would, and perhaps they will be waiting in the wings for the days when things get so bad that Canadians as a whole start demanding real resistance to the International Corporate Elite.

    ReplyDelete
    Replies
    1. Trudeau is not simply weak, he is an actual conservative. Were he to get in, he would not be much better than Harper. I vote Green because it is the only moral choice, and am unhappy that such a vote is so forlorn. I think Joyce Murray as possible Liberal leader was our last good choice.

      Delete
  4. A great piece Nick. Somehow the electors have to become informed if they are ever going to be able to make good choices but I can not yet see how that can be accomplished. For a brief while last week I thought that Harper had finally pushed the CBC News team too far and caused them to come out and report the real news, regardless of the consequences, but this week I'm not so sure.

    If only the alternate news people could get together enough to claim one cable channel and report the real problems facing the world to the couches of North America in prime time, at least that would be a start. At the moment I'm afraid their voices are mostly singing to the choir.

    I don't have any idea how adequate funding could be obtained or even if the CRTC would have the freedom to allow a licence, I just know that if it can't be done, our descendants are looking at a very bleak future.

    ReplyDelete
  5. As long as Man's Greed dominates the Earth, I don't see much hope for Humanity.

    ReplyDelete
  6. I just don't think Justin Trudeau is ready.

    Thomas Mulcair seems to have his own character and intensity behind his stances. Its true that the NDP do not want appear to be pro-Union or socialist because that scares people. And thay have tread that line pretty well.

    I have not heard either one of them talk about a carbon tax but if they are, that's good.

    I also feel that Megan Leslie, Environment Critic, NDP has her head on a bit straighter than Kirsty Duncan for the Liberals.

    Overall, I think the NDP are in a much stronger position to lead right now. I think Justin will be in a much better position in 2019.

    ReplyDelete
  7. Posted on behalf of Rob Smith:

    I agree, but also disagree here. We do need to know from the two opposition parties what kind of govt they would provide—but we shouldn’t expect too many specifics, especially this soon, because

    1: Harper and co. will find ways to tear specifics apart, and B. no matter who the govt. is they will not be able to fulfil too many specific commitments, as they are not aware of exact state of the financial affairs of the country.

    Circumstances change and whoever the losers are will delight in pointing each broken promise and the people will listen to them,. This is one of the reasons all politicians are currently held in such disrepute.

    So we need to know the parties’ general directions—their philosophies and what processes they will use to implement their general direction. If Mr. Mulcair or Mr. Trudeau were to start saying exactly what they would do on the big spending type issues, H and co. would likely be able to tear them to pieces—that’s what they specialize in.

    I believe a good campaign can be run on general approaches to a large degree, with minimum number of commitments. This could be done in a way that could minimize attacks, or at least the effectiveness thereof. As B. C. election showed though, attacks must be responded to accurately ASAP. To make such an approach work, it would have started upon ASAP.

    It seems to me that the Prime Minister over the last few months has either lost, or perhaps just worn out, his communications skills < perhaps he relied on the late Senator Finley and the excommunicated Dr. Flanagan for a lot of strategic advice that they can no longer give.

    Rob Smith
    Halifax.

    ReplyDelete
  8. This article is right on the money (sic)in suggesting that the debate over Canada's economy needs to be reframed to focus on the Bank of Canada. Canada's economic prosperity following WWII received a massive boost from the fact that governments could borrow money interest free from the bank of Canada. This was the period when most of Canada's modern infrastucture was built. In 1974 Pierre Trudeau's government committed to stop using the BoC in this way and lo and behold we borrow money at interest and now have a debt crisis. More Canadians need to be aware of the fact that the government debts that are being used to rationalize cuts to public spending are completely unnecessary. If the government would just use the BoC for the reason it was created we could have the best infrastructure and social programs in the world without ballooning debt. All that is required is a government with the political will to take on the bankers and ensure that the process of money creation is always done in the public interest.

    ReplyDelete
  9. Its unfortunate cooperation is unachievable, as your prescriptions are valid warnings of where we have been and where we are going.

    Not to mention the raft on new trade and investment treaties probably slam dunked during the Harper majority, FIPPA in particular will ensure the Canada we have known will long gone, much if not most of which irreversible.

    For years we heard a lot about the race to the bottom, you don't now more because it seems we have won.

    A divided progressive political landscape will only ensure the continued success and corporate liquidation of the country's wealth, while the citizens are sidelined.

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    Our services include the following:

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    NOTE:Bear in mind that it will only take less than 48 Hours to process your file is 100% Guaranteed no matter your Credit Score.

    email (Adamfredloanfirm@outlook.com) you can email us with your information.
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    Yours Sincerely,

    We look forward to hear from you ASAP

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