Roundup: Hoping it won’t be that bad (but it will be)

Because we’re in the middle of re-litigating the carbon levy yet again ahead of the Conservatives’ planned confidence vote, some familiar patterns are emerging, some of which are from the Elder Pundits who are, yet again, playing the “It won’t be that bad!” card, when in fact, yes it will be. Case in point was John Ivison reaching out to Ken Boessenkool, former Conservative advisor, to talk about the industrial carbon price, and Boessenkool (whose post-political career involves a lot of validating the Elder Pundits’ belief that it won’t be that bad) told him that the majority of those prices are provincially regulated, so they should remain intact. Which is not an assumption I would make because we have several provinces who believe that they can reach their reduction targets without any price (which is stupid), and they want to keep attracting investment, particularly in oil and gas, so they are likely to either greatly reduce their industrial price, or kill it altogether. This will in turn trigger a race to the bottom among other provinces, so the prices become useless. This is the whole reason why a federal benchmark and backstop were created—so that provinces couldn’t do that, and why the Supreme Court validated this as a legitimate exercise of federal powers. (Incidentally, Jenni Byrne disavowed Boessenkool after that piece went to print, which pretty much validates my point).

Meanwhile, other Elder Pundits are trying to write about the alternatives the Conservatives will use instead of the carbon levy, but even there, as they assert that while the levy is the best mechanism but there are others (because remember, they want to keep insisting it won’t be that bad), but that is a misread of what the Conservatives are actually promising, which is to tear up everything the Liberals have done, and rely on magic (in part because they don’t want to do anything, excuse themselves from doing anything by insisting that we’re only two percent of emission so what we do doesn’t matter, and any action they do take will only be “aspirational.”) For what it’s worth, the NDP also believe in the magic that they can only price carbon for corporations and it won’t be passed along to consumers, or that consumers won’t have to change any behaviour because corporations are evil. And it’s really, really depressing because the actions are having a difference, we have bent our emissions curve downward, and this is going to just upend everything for the sake of authoritarian populism, while the gods damned Elder Pundits tut-tut that the carbon levy must be bad because it’s unpopular, never mind that their refusal to understand of communicate it, or to refute the lies about it, have contributed to this situation. Good job, everyone. Enjoy your summers of wildfire smoke, and your melting icecaps.

Ukraine Dispatch

Russians struck an apartment building in Kharkiv, wounding 21 civilians, as Ukraine destroyed 71 out of 80 attack drones overnight. There were also air strikes on Zaporizhzhia that injured 13 civilians. President Zelenskyy is hoping for faster action from the Americans, ahead of his visit to the White House, given that Ukrainian drone strikes have hit Russian arms depots, destroying thousands of tonnes of weaponry.

Continue reading

Roundup: An economic “nuclear winter”

The stupid season is about to begin as MPs return to Parliament today, and lo, Pierre Poilievre primed his caucus in a meeting yesterday with a speech that decried the carbon levy as creating a “nuclear winter” for the economy. It’s absolute horseshit, because the carbon levy is not the cause of inflation or the cost-of-living challenges we’ve faced (and in fact, climate change is a major contributor to it), but this is Poilievre, and truth doesn’t matter.

I will also add that it was incredibly disappointing that in writing up the story, The Canadian Press simply both-sidesed Poilievre’s nonsense with the talking points of the two other parties, instead of phoning up an economist who could say “That’s horseshit, you should stop listening to that man.” (Yes, it was a Sunday, but a service like CP should have enough contacts that someone would answer their phones who is NOT Ian Lee). But leaving Poilievre’s comments to stand like that, completely unchallenged, is irresponsible.

Meanwhile, as the Liberals try yet another round of trying to convince the public of the merits of the carbon levy and that the rebates exist, there have been a few suggestions of what they should have done from the start, but Jennifer Robson’s are among the most salient/best to implement.

https://twitter.com/JenniferRobson8/status/1835333573366210734

Ukraine Dispatch

A married couple were killed in a Russian strike on the suburbs of Odesa, while at least 42 were injured in an air strike on an apartment building in Kharkiv. There was another prisoner exchange over the weekend, swapping 103 POWs from each side.

Continue reading

Roundup: Looking for a magical, cost-free climate solution

In the wake of the NDP’s insistence that they will have a different environmental plan than the current carbon levy, they and their defenders are getting trolled pretty hard by economists, chief among them Andrew Leach, because he knows exactly what these systems entail. And the NDP’s solution involves mostly magical thinking, that somehow, they can come up with a “corporations will have to pay” scheme that won’t pass along costs to consumers, which won’t exist, whereas the current system ensures everyone pays a price (something like 41 percent of emissions are from households), and that those who are most exposed get compensation for the burden (the rebates), which encourage further reductions to maximise the compensation. And that shouldn’t be that hard, but the government has consistently been shite about communicating these facts, because they can’t communicate their way out of a we paper bag.

Ukraine Dispatch

A municipal building in Kyiv was hit by fragments of a Russian drone overnight, while two were killed in Russian shelling in the Sumy region. There was an exchange for 49 POWs. President Zelenskyy says that the incursion into Kursk has blunted an ongoing Russian advance in the country’s east. In case it isn’t obvious, here’s an explainer on why Ukraine needs permission to fire Western weapons deep into Russian territory. Intelligence suggests that Russia is now producing long-range kamikaze drones with Chinese engines and parts. Thus far, 8,060 Iranian-developed drones have been launched over the course of the war.

Continue reading

Roundup: A genteel time that never was

I saw a post yesterday that took a page from Hansard on that day in 1978, and well, it was full of the first prime minister Trudeau and several honourable members accusing one another of being animals, or parts thereof. And while hilarious, I think it’s a bit of a corrective when people keep insisting that Parliament used to be a much more genteel place (and we got a lot of that during the Ed Broadbent and Brian Mulroney memorials).

It really wasn’t that genteel. It never has been—there are infamous reports in Hansard about early debates in the 1860s where MPs were setting off firecrackers in the Chamber and playing musical instruments to disrupt people speaking. And I can also say that Question Period was a hell of a lot more raucous when I started covering it fifteen years ago compared to what it is today, which has a lot to do with the Liberals clamping down on applause (for the most part) for their members, which has led to there being less heckling from the Liberal benches (not saying it doesn’t happen—it absolutely does—just not as much, and certainly not in the quantities it used to be).

Question Period is worse in other ways, however—nowadays it’s all reciting slogans and everyone on the same script so that they can each get a clip for their socials, while the government gives increasingly disconnected talking points in lieu of responses, and there’s almost no actual debate (though every now and again, Justin Trudeau and Pierre Poilievre will get into an actual exchange with one another). And the repetition of slogans or the reading of canned lines each give rise to heckling because of its ridiculousness, and yes, there is louder heckling when women ministers are answering questions (but this is not a recent phenomenon either). But there was never a golden age of gentility in our Parliament, and we need to stop pretending there was as we lament the state of things. Instead, we should be lamenting the quality of the debate, which has been dead and buried since about the time that Bob Rae retired from politics.

Ukraine Dispatch:

A Russian missile struck an educational facility in Odesa, killing four. Russian forces are advancing in the eastern Donetsk region after the withdrawal from Avdiivka, while Ukraine waits for new arms from the west. UN experts say that a missile that landed in Kharkiv on January 2nd was indeed of North Korean manufacture. Sophie, Duchess of Edinburgh, visited Kyiv—the first member of the royal family to do so since the war began—and continued her work championing those affected by conflict-related sexual violence.

https://twitter.com/RoyalFamily/status/1785060798890459222

Continue reading

Roundup: The uncertain final direction of pharmacare

The political reality of the pharmacare legislation is sinking in with one party, but not another, and you can probably guess which. Both Justin Trudeau and Mark Holland have been fairly circumspect in talking about where the system is going, and how coverage of the two classes of drugs will wind up looking like and costing because that’s entirely up to negotiations with the provinces, and nobody wants to wake up to that fact. This programme has been oversold from the beginning, and the NDP keep doing this victory lap while sticking their fingers in their ears and shouting “LALALALALA!” whenever anyone mentions the provinces, because they don’t want to hear it, and don’t even get me started on legacy media ignoring the provinces in this either.

One of the key details as to the future of pharmacare is that the Canadian Drug Agency will be doing work on a list of essential medicines within a year of royal assent, which could be the basis of a national formulary, but this again needs to be negotiated with the provinces—yet another one of those things that the NDP keep loudly ignoring whenever it gets raise. If this is to be a cost-shared programme—and it needs to be because there is no way the federal government can pick up the whole tab on this—then provinces need a say in that formulary. The Agency can also help coordinate the bulk purchasing that is what makes national pharmacare economically viable, and is going to necessarily be the cudgel that gets the provinces on board—there is more purchasing power if the whole country does it in one fell swoop rather than each provinces or a group of them banding together, and we need to remember that this is not just over-the-counter pharmaceuticals, but those used by hospitals and in clinical settings, which is why the provinces should have a vested interest in making this happen, because they pay for those out of their healthcare budgets.

I would also point out that the federal government has been doing the actual work of making this happen for years, because they got the Agency up and running quietly over the course of several years, while the NDP were alternately screaming and preening about this framework legislation that remains a case of putting the cart before the horse. So while the NDP take turns patting themselves on the back for this bill, the Liberals have been pretty quiet about doing the actual hard work, which again, baffles me entirely because they have a good story to tell if they actually bothered to try.

Ukraine Dispatch:

Russians appear to be massing a large force near the city of Chasiv Yar in the eastern part of the country, hoping to make a breakthrough in the Donetsk region, as they now have the advantage in ammunition and personnel. The Netherlands has signed a security agreement with Ukraine, and is promising more artillery funding.

Continue reading

Roundup: Falsely framing carbon prices and inflation

Because this is sometimes a media criticism blog, I want to point your direction to a CTV piece from the weekend, taken from an interview with Government House Leader Steven MacKinnon on CTV’s Question Period. The headline and substance of the piece, taken from the interview, is “Feds won’t pause carbon price despite inflation.” Now, if you were a casual reader who didn’t know what was going on, you might think that the carbon price is driving inflation and the government is being obstinate in refusing to deal with that driver of inflation.

That would, however, be completely wrong. We know that the carbon price contributes only negligibly to inflation because inflation is measured on a year-over-year basis, and with the carbon price increasing at the same rate every year, the impact on year-over-year prices remains negligible. The Bank of Canada figures that it works out to 0.15 percent of inflation. Is this mentioned anywhere in the story? Nope. Instead, it’s both-sides as pointing to Poilievre’s promise to “axe the tax” (which is not a tax, but a levy, and yes, there is a difference), contrasted with MacKinnon pointing out that at committee last week, food economists pointed to the fact that there’s no evidence the carbon price has had a meaningful impact on the price of food, because, again, if you pay attention, you would know that the bigger drivers of food price inflation are droughts or floods in food-producing regions, including Canada’s, which is related to climate change. (That poing is also absent from the story).

Why does this matter? Because of how the story has been framed. It frames itself that carbon prices are driving inflation, which is false and misleading. It sets up a false scenario about what is driving inflation (which has fallen over the last year and is now in a sticker place just above target), and sets about positing a false solution, while trying to look like it’s concerned about cost-of-living concerns while looking at absolutely none of the driving factors of what has caused an increase in the cost of living. This, my friends, is shoddy journalism. I get that they were trying to get a headline out of that interviews, but great Cyllenian Hermes, that was not the way to do it, and it’s a little embarrassing that this was the result.

Ukraine Dispatch:

At least three Ukrainians have been killed in Russian attacks on cities in the country’s east, near the front lines. Ukrainian forces repelled an attempted Russian advance on the southern front, as Russians move their forces forward following the withdrawal from Avdiivka. The withdrawal from Avdiivka was preceded by a change in Russian tactics designed to take advantage of the shortage of ammunition. Ukrainian forces say that Russians executed six unarmed Ukrainian soldiers taken prisoner in Avdiivka as they were fleeing, and two more in the nearby village of Vesele. Here is a look at the significance of Ukrainian drone attacks on Russian oil refineries and other infrastructure within Russian borders.

https://twitter.com/defenceu/status/1759195559272108467

Continue reading

Roundup: More reactions to the economic update

Reactions to the Fall Economic Statement continue to roll in, so I figured I would highlight a couple of them. On the subject of housing, pretty much everyone is unhappy with what was on offer, in spite of the fact that the federal government didn’t have a lot of room to manoeuvre as they try to avoid juicing economic growth too much, which would put upward pressure on inflation (and the provinces are already doing just that).

To that effect, here’s a thread from Mike Moffatt on things the federal government could have done that won’t impact the inflation situation.

https://twitter.com/MikePMoffatt/status/1727301177833132254

Kevin Milligan delves into the debt and deficit figures in this thread, and provides a dose of perspective sauce for all of the hyperventilating that is coming from certain quarters and voices, particularly as debt servicing charges have risen. As well, I’m highlighting this one tweet about just how big the increase is in relative and historical terms, because again, perspective.

As well, Lindsay Tedds explains in this thread why she thinks the government’s plans to limit short-term rentals is going to be far easier said than actually done (and that they may not have thought it through).

https://twitter.com/LindsayTedds/status/1727491807834177690

Ukraine Dispatch:

The death toll from the Russian strike on the hospital in Selydove has risen to three. The Russians are reported to be sending fewer troops and less equipment to Avdiivka after failing to capture it in a major assault. President Volodymyr Zelenskyy warned of a “difficult defence” on the eastern front as the winter cold sets in. Ukraine’s coal industry has had to start hiring women and overturning policies that barred them from working underground because of the war.

https://twitter.com/ukraine_world/status/1727376980851486836

Continue reading

Roundup: The campaign leaders testify

Yesterday was the big day when top campaign officials from the Liberals and Conservatives appeared at the Procedure and House Affairs committee to talk about foreign interference allegations in the previous two elections, and we learned a couple of things. One of which is that Fred DeLorey, the Conservative campaign director, is eminently reasonable and acknowledges they don’t know if there was any actual interference in those ridings they lost, or if it was the result of other factors, like their hard-line rhetoric on China, or gun-control measures (as the Liberal campaign insists). Another thing we learned is that the reporting on the CSIS “warnings” about MP Han Dong were not described accurately, and that they didn’t insist the party drop him as a candidate—which never did make sense if you listened to the actual intelligence experts who said at the time that that didn’t sound right.

There was also talk about how it takes an incredibly high threshold for a party to be able to drop a candidate, so if intelligence agencies had concerns, they would need to come up with something pretty tangible for the parties to exercise that kind of power (and don’t forget that their spending caps are determined by how many candidates they’re running, so if they need to drop one after the cut-off point to replace a name on the ballot, that creates even more headaches). There was also talk about how there needs to be more ongoing dialogue between national security agencies and parties, particularly between election cycles, because these agencies didn’t seem to understand how parties operated, which makes it hard for them to be making determinations about how any interference might be happening (and again, considering that the reported leaks had a bunch of details that didn’t make any sense, this could be the reason why).

Suffice to say, these were the people who should have been testifying the whole time rather than the dog and pony show we had with Katie Telford, which was just a waste of time and resources.

Ukraine Dispatch:

A Russian missile struck a museum in Kupiansk, in the Kharkiv region, killing one civilian and wounding ten others. As well, a woman died from shelling in nearby Dvorichna, and two others in the eastern Donetsk region. Elsewhere, Ukrainian forces staged raids on the east side of the Dnipro river in order to degrade Russian capacity, particularly in their shelling of Kherson, in a sign that the counter-offensive is near. Ukraine is planning on a “complete transformation” of six war-torn cities that were badly damaged in the invasion, to be rebuilt under an experimental programme according to “new principles.”

https://twitter.com/zelenskyyua/status/1650769182286331905

Continue reading

Roundup: Ford blames Trudeau for his failures (again)

You’re seeing a lot of blame being placed at the federal government for the rising crime rates, and a tonne of disinformation about the so-called “catch and release” bail system, which is not catch-and-release, and in some cases is pure distraction. Case in point was around the murder of a teenager at a Toronto subway station. Doug Ford is making noises blaming the federal government for this incident, demanding immediate changes to the bail system—changes that would no doubt be unconstitutional, since the changes they have agreed to with provincial counterparts are very narrowly targeted.

But the real problem is in the provinces. It’s provinces under-resourcing courts, and mostly underfunding social programmes that would keep these kinds of people out of the criminal justice system. In this particular case, the accused has a long history of interactions with the justice system because he has been failed at every turn, and was in dire need of rehabilitation and mental health supports. And you know whose responsibility that is? The province. Ford has been under-funding the system for years, most especially healthcare, which he deliberately underfunds and then cries poor in demanding more federal money, with no strings attached (which he then puts on the province’s bottom line to reduce his deficit, like he did with pandemic spending). Locking these people up in jail doesn’t solve the problem, and only makes it worse in the long-run, and yes, Ford’s predecessors are also guilty of underfunding the system (though I don’t seem to recall them underspending their healthcare budget—merely cutting it to the bone in the name of “efficiencies.”)

The problems we’re seeing are broader, more systemic societal problems, and removing the presumption of innocence and the right to bail doesn’t change that. In fact, it just creates more problems, and political leaders need to start recognising this fact rather than just blaming the federal government for codifying a number of Supreme Court of Canada decisions.

Ukraine Dispatch:

Ukrainian forces destroyed 14 out of 17 Iranian-made drones launched over Ukraine, mostly around Odessa. Over in Bakhmut, Ukrainian forces are mocking the Russian claims they captured the city, saying that the Russians raised their flag over “some kind of toilet.” President Volodymyr Zelenskyy will be visiting Warsaw this week to meet with leaders, as well as Ukrainians taking shelter in that country.

Continue reading

Roundup: It wasn’t just social housing

A speech by NDP MP Daniel Blaikie is making the rounds in which he blames the rising housing unaffordability on the federal government vacating the social housing space in 1993, and that this is all the consequence of that. As economist Mike Moffatt explains, this isn’t actually true. But that’s one of the issues with the NDP—they have singular narratives that they must fit things into, whether it’s true or not, and singular policy prescriptions to go along with them. (Yes, other parties do this to, to greater or lesser extents).

Anyway, here’s Moffatt on the more complicated picture. (Full thread here, select portions below).

https://twitter.com/MikePMoffatt/status/1642488918435155970

https://twitter.com/MikePMoffatt/status/1642489599900495872

https://twitter.com/MikePMoffatt/status/1642490391969636355

https://twitter.com/MikePMoffatt/status/1642491809065574401

Ukraine Dispatch:

Wagner Group mercenaries are again claiming victory in Bakhmut, not for the first time, while Ukrainian forces again insist they remain in control of the territory. Russians shelled the eastern city of Kostiantynivka, killing six civilians and wounding eight others. Meanwhile, Ukrainian officials are outlining plans for what to do with Crimea once they have recaptured it, and those plans include dismantling the bridge to Russia. Here is a look at the Canadian training programme for Ukrainian soldiers in teaching them how to check for booby-traps and mines in captured territory.

https://twitter.com/kyivindependent/status/1642087035715420160

Continue reading