Tag Archives: Cyber-security

Roundup: A big economic week ahead

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It’s going to be a very big week in Canadian economics: Today is the day the Bank of Canada has their mandate to target inflation between one and three percent at an average of two percent gets renewed, with some additional language around employment in there (but not a dual mandate). Then Tuesday will be the government’s fiscal update, which isn’t expected to announce too many new things because there simply isn’t time for a budget implementation bill to accompany it. And then Wednesday, Statistics Canada will release the inflation figures for November, and it there remains a possibility it could go higher still before being expected to cool down by mid-next year. Because it’s largely about supply chains, and as the former governor of the Bank of Canada keeps reminding us, it’s not about the political situation or fiscal policy. The counterfactual is that if the government didn’t spend on pandemic supports and the Bank didn’t engage in quantitative easing, we would be in a deflationary depression cycle, and that would have left us all worse off.

With this in mind, here is economist Kevin Milligan with some added context:

https://twitter.com/kevinmilligan/status/1470099272632733696

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https://twitter.com/kevinmilligan/status/1470104572261638146

https://twitter.com/kevinmilligan/status/1470105479288262657

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Roundup: A newer, worse compromise

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The Speaker engaged in a bit of procedural housekeeping after Question Period yesterday, and ruled that the Board of Internal Economy’s vote on a vaccine mandate for MPs in the House of Commons was in fact a violation of MPs’ privileges—which most of us expected, because that’s pretty much what it was. It’s a moot point, however, because the motion passed that re-authorized hybrid sittings included the vaccine mandate for the Chamber, so there remains a vaccine mandate regardless of this outcome. It sounds like the Conservatives are satisfied with this ruling in that it doesn’t create a precedent for expanding the BoIE’s powers, so that’s not necessarily a bad thing in all.

At the same time, the government house leader proposed a compromise for the Winnipeg Lab documents, which had been floated before dissolution but is back on the table now—which is procedurally dumb because the committee that requested those documents is non-existent, as is the order to produce those documents. If said committee were reinstated and they vote on a new motion to produce documents, then the government should have floated this compromise then, but no, they’re going ahead with it unbidden, which is silly. This compromise would see the creation of a new committee that would be advised by a panel of three former senior judges who would vet materials—but again, this is stupid.

The compromise was the National Security and Intelligence Committee of Parliamentarians. That was the point. It was the right venue for these documents to go to, and that’s where those documents were sent, before the Conservatives decided that theatre was more important (and the other two parties decided that embarrassing the government was also the point). All this is doing is muddying the waters even further, duplicating efforts, and making MPs even less trustworthy to Canadian security and intelligence services. Because our MPs are not interested in actual oversight or accountability—they are only interested in theatre, and that diminishes our Parliament for everyone.

https://twitter.com/StephanieCarvin/status/1466554090452762626

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Roundup: Curious demands for suspended campaigns

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The situation in Kabul seems to have had a secondary effect during the campaign, which have been repeated calls for the prime minister and/or affected ministers to suspend their campaigns in order to deal with the crisis. While it sounds like a good idea, I can’t help but feeling that this is strictly performative, especially given the situation on the ground.

For starters, having them in Ottawa at this point wouldn’t make that much of a difference, as the vast majority of civil servants are still working from home, and these ministers have just been through a year of remote or hybrid Parliament, and managed to do their duties from home for much of that, so why they couldn’t just keep doing it during this situation – and by all accounts that’s what they are doing – just strikes me as odd, but again, this instinct of performativity – being seen to be looking like they’re doing the job, as opposed to just doing it. And it’s not like they would be micro-managing the civil servants processing these approvals either, so again, I’m not sure why the need to suspend their campaigns is really there. The prime minister attended a G7 teleconference while on the road, other ministers have been providing daily briefings to the press from their homes over the past week or so, so again, there doesn’t seem to be a genuine need to suspend.

Meanwhile, Jagmeet Singh is declaring the airlift mission to be a “failure” without necessarily understanding the situation on the ground, while Erin O’Toole, with his military experience, is simply proclaiming that he would have had “a plan,” as though any plan survives the first engagement. It was a fast-moving situation where we didn’t have assets of our own on the ground and were reliant on our allies, who weren’t necessarily dependable in their own right – made all the opaquer by the need for operational security. Of course, their real goal is to make the current government look like they’ve been incompetent on the file, and while I will agree that some of what happened can be attributed to our culture of risk-aversion, I think we need to try and keep some of the context of the situation in mind, rather than jumping to knee-jerk conclusions.

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Roundup: Carney out, no need to panic

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To the dismay of the bulk of the pundit class, Mark Carney says he has other climate-related commitments and won’t be running for a seat in the next election. In response, Pierre Poilievre tweeted that Carney is afraid of running because Trudeau will cause a financial meltdown, and Carney will try to blame it on Freeland. It’s just so stupid, and yet this is the state of public discourse in this country.

To be clear, there is no financial meltdown going to happen. Yes, there are challenges that need to be addressed, but let’s be real here.

https://twitter.com/kevinmilligan/status/1417623876880588800

https://twitter.com/kevinmilligan/status/1417625158450225153

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Roundup: The Languages Commissioner goes rogue

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We appear to have another Independent Officer of Parliament who has decided to go rogue, as the Commissioner of Official Languages, Raymond Théberge, has announced that he plans to investigate the nomination process that selected Mary Simon as Governor General, given her lack of French. There are, of course, a whole host of problems with this, starting with the fact that the GG is not a federal bureaucrat and is not included in the Official Languages Act. Her office in Rideau Hall is certainly subject to the Act, and there is no question it will operate bilingually, but Simon herself is not. Furthermore, she is appointed by the Queen on the advice of the prime minister, and the advice that he gets from his appointments committee (as problematic as the current structure may be) is non-binding.

Théberge, in that case, has decided that he’ll investigate the Privy Council Office for their role in supporting said committee and providing advice, which…is a stretch. A very, very big stretch. The whole sham investigation is already outside of his mandate, and more to the point, it is hugely colonial at that, and certainly not exactly befitting the stated goals of decolonization and reconciliation. (There is, of course, the matter of this government’s apparent hypocrisy in how it treated the appointment of Simon and how it treats the appointment of Supreme Court of Canada justices, but that is also not exactly something that Théberge could investigate).

Meanwhile, Philippe Lagassé enumerates these points, explains the role of convention versus legislation in these kinds of appointments, and most especially points to the fact that Théberge might want to better familiarize himself with the Constitution, given that the appointment didn’t violate any Act of Parliament. What a gong show.

https://twitter.com/EmmMacfarlane/status/1417267990790279174

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Roundup: Kenney announces his next big distraction

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By now you’ve heard that Jason Kenney has announced the referendum questions that Alberta will be voting on in October as part of Kenney’s mass distraction plans. It’s unheard of to have multiple referendum questions – in this case, daylight savings and removing equalisation from the Constitution – on top of an unconstitutional sideshow of Senate “nominee elections,” and yet Kenney is putting these all together with the upcoming municipal elections. This has the bonus for Kenney of muddying the waters of those elections, where more progressive candidates tend to do better, particularly in the cities, and he gets to claim that he saves money by holding them at the same time, but this is a lie. Municipal elections are run by the municipalities themselves, while these referenda and bogus “nominee elections” are held by Elections Alberta, and just because they happen at the same time and can co-locate spaces doesn’t change the fact that it going to cost more.

The thing is, the referendum on equalization won’t actually do anything because even if they sent a message to the rest of Canada and brought everyone to the table to negotiate, the only thing that’s in the Constitution is the principle of equalization – the formula itself is federal legislation, because the programme is paid out of federal general revenues. But Kenney is content to keep lying to the public and pretending that Alberta signs a cheque every year that Quebec cashes and pays for its child care system with (which it doesn’t – they pay for that out of their own taxes, and they reap the direct economic benefits from it as well). As well, the myth that Quebec killed Energy East is being invoked (Quebec had nothing to do with it – the proponent couldn’t fill both Energy East and Keystone XL with their contracts, so Energy East was abandoned as Keystone XL looked like the more likely to reach completion – not to mention that it wouldn’t have actually served the Eastern Canadian market), which is again about stoking a faux sense of grievance. The fact that Kenney is stoking this anti-Quebec sentiment because he thinks it’ll win him points (and hopefully distract the angry mob that is gathering outside his own door) is not lost on Quebeckers when it comes to Kenney’s good friend, Erin O’Toole, looking for votes in the federal election.

But as economist Trevor Tombe keeps saying, Alberta doesn’t need equalization in the same way that Bill Gates doesn’t need social assistance – Alberta is still making way more money than any other province, even with their harder times economically. The province’s deficit is not a result of equalization or money supposedly being siphoned east (again, equalization comes out of federal taxes) – it’s a result of a province that refuses to implement sales taxes or other stable revenue generation, and expecting everyone else to subsidize that choice (while also cutting corporate taxes under the illusion that it would create jobs, but didn’t). This is just Kenney handwaving and shouting “look over there!” because he knows he’s in trouble, and he needs to keep everyone focused on a different enemy. He shouldn’t be rewarded by people falling for it.

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Roundup: Another 751 unmarked graves

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There was yet more sobering news yesterday, that as many as 751 unmarked graves were located near the former Marieval residential school in Saskatchewan. Aside from the sheer number, some ways in which this site differs from Kamloops is that not all of the graves will be of children, and that many had headstones, which the Catholic Church removed in the 1960s during a dispute – which is a criminal offence, and the local First Nations chief said that they are treating this like a crime scene. And non-Indigenous Canadians should brace themselves, because we’re going to hear about hundreds, perhaps thousands, more of these graves over the next few years as the work of locating them ramps up, making it impossible to ignore the true face of our country’s history.

In response to the announcement, prime minister Justin Trudeau stated that this is Canada’s responsibility to bear, which was met by the usual calls that this was not enough action. The government has already committed to funding these searches in accordance with the wishes of local First Nations communities, as not all of them want the same approach, and Marc Miller said that they are open to boosting the funding if the need is there. There are also calls for an independent inquiry into these sites, but that could be a complicated structure if it requires provinces to get involved (and it likely will), and we could find ourselves with a repeat of some of the problems faced by the MMIW inquiry if that is the case.

Of course, the government’s response was made all the more problematic because Carolyn Bennett sent a spiteful one-word text to Jody Wilson-Raybould, who then tweeted it out and declared it to be “racist and misogynistic,” listing the tropes that she felt it invoked. Bennett publicly apologised and stated that it was their “interpersonal dynamics” that got the better of her, by which she means that the pair pretty much cannot stand one another, which lines up with the stories of their fights in Cabinet. It doesn’t excuse it, and Bennett absolutely should know better (especially because Wilson-Raybould has demonstrated that she keeps receipts), but that hasn’t stopped this from eclipsing some of the coverage of the day, which should have focused on Marieval, and what the next steps need to be.

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Roundup: Lies about inflation and the central bank

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For weeks, the Conservatives (and Pierre Poilievre in particular) have been making a bunch of bogus and nonsensical attacks against the government and what they term the “inflation tax,” which makes absolutely no sense, but is predicated on the wild notion that the Bank of Canada is allegedly printing money to finance the government’s “out of control” deficits, and that this is going to drive up inflation and turn us into Venezuela. It’s bullshit – the Bank of Canada is independent from government (and it should be shocking that the Conservatives are suggesting otherwise given the history of the independence of the central bank in this country), quantitative easing is not “printing money,” and given that a year ago, in the early days of the pandemic, we were facing deflation as a country, an expansionary monetary policy was the right move to make. We’re still in need of stimulus, because the recovery has been so uneven, but the Bank of Canada knows this, because it’s their job.

https://twitter.com/trevortombe/status/1405250437838610432

With this in mind, it was no surprise yesterday that when the inflation figures were reported, the fact that it clocked in at an annualized 3.6% had the Conservatives, and Erin O’Toole in particular, trying to make hay of this – and media outlets didn’t help with their headlines that this was the highest rate in a decade, without putting that in proper context. Now, part of that is the base effect of last year’s massive drop, which is going to take time to work itself out in the data; but it’s also in part based on factors from right now, the most important of which is housing prices, which have skyrocketed as demand has outstripped supply. None of this is a surprise, and none of this has anything to do with the size of the federal deficit or the Bank of Canada’s quantitative easing, and yet that is the narrative being painted. It didn’t help that O’Toole’s examples lacked any logical consistency, such as blaming increases in post-secondary education on the federal government, when that’s a provincial jurisdiction. Not that truth matters.

https://twitter.com/MikePMoffatt/status/1405152487821168642

Compounding this, however, is the completely irresponsible way in which this was being spun by shows like Power & Politics, where the framing was “the cost of everything is going up!” followed by asking panellists if the government should do something about it. And to their credit, most of those panellists said no, leave it for the Bank of Canada, but the fact that the host kept torqueing this notion about “prices are rising!” and trying to constantly get people to say something – anything – inflammatory about inflation, was not only irresponsible, but shows actual contempt for proper economics reporting by the gods damned CBC. They don’t care about actual information or reasonable discussion, they want the false balance of opposed partisans battling it out, and the “drama” that creates. It does such a disservice to everyone that it amazes me that they can get away with it.

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Roundup: New targets, same criticism

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It was Earth Day yesterday, and US President Joe Biden held a climate summit, which Justin Trudeau used as a platform to announce that Canada would be setting a more ambitious climate target of 40 to 45 percent reduction of emissions from 2005 levels, and naturally, that was panned from all sides. For the NDP, the Bloc and the Greens, it’s not enough, and for the Conservatives, it’s too much, and “empty words” that lack a plan (despite all evidence to the contrary). One of the spanners in the works here is the Americans announcing their own new targets, which sound more ambitious than ours – but are they really?

Enter economist Andrew Leach, who is offering a warning that we can’t commit to matching American emissions targets because our emissions mix is very different, so we’d be essentially making a different commitment than they are, which could hurt us. The Americans can get much further on reductions that we can with less stringent policies because of their emissions mix. Unfortunately, too many of our parties and party leaders seem to think that Canada is just a smaller version of America, and that we can simply copy their policies and divide by ten – but it doesn’t work like that, and we should call out this kind of thinking.

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Roundup: CBC’s baffling mandate talk

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There are some pretty questionable narratives that circulate in Canadian media for a lot of very dubious reasons, and we had another winner yesterday, when Justin Trudeau was on Peter Mansbridge’s podcast. Bafflingly, he was asked if he needed to go through an election to get a “mandate” to implement his upcoming budget, and I cannot even.

I. Cannot. Even.

Trudeau – semi-correctly – noted that he does not because he already one.

This notion that we somehow have “mandates” in our system is completely divorced from reality. We don’t have mandates – governments operate on the basis of confidence. They are appointed by the Governor General based on their ability to maintain the confidence of the Chamber – they are not popularly elected. They do not need to solely operate on what was in the election, because a) events, dear boy, events, and b) they operate on the basis of confidence. If the legislature has a problem with the government’s agenda, they will let them know. It’s also incredibly difficult to claim a “mandate” in our electoral system given that we operate by plurality, and even more especially when we have a hung parliament. (More on this from Philippe Lagassé here).

https://twitter.com/LagassePhilippe/status/1374805012120014862

Even more to the point, why the gods damned CBC would write up 800 words on this interaction for a dynamic that does not exist in a Westminster parliamentary system like ours is boggling.

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