a Picture of The Current Prime Minister of Canada Justin Trudeau in Blackface

a Picture of The Current Prime Minister of Canada Justin Trudeau in Blackface

Canada’s Federal Government Can’t Pay For Itself Without Borrowing Money From The Bank of Canada, Justin Trudeau Adds 79,000+ Federal Employees since 2015 with a $58 billion price tag in 2021 (Austerity?) – January 12, 2023,

 

 
Where you have to give the current Prime minister of Canada credit is that he’s done a relatively good job of understanding how POLITICS work. The modern Left Wingers in the U.S. and Canada have become efficient at controlling the narrative amongst people who share their vision. Most humans don’t like to talk about finances or economics; in fact, if you try to talk about economics or finances to the average human, they’ll usually shun or ignore you(you should try it sometime).

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But even amongst people who care little for the economy of Canada, Trudeau struggles to get these people’s support; if there’s a snap election in 2023, and Justin Trudeau wins that snap election, everyone predicts that at this point that Justin Trudeau will LOSE the popular vote. The most embarrassing popular vote defeat happened in the 2021 election when Justin Trudeau lost the popular vote to “an easy-to-forget” Erin O’Toole.
 

Erin O’Toole didn’t even get the chance to introduce himself to Canadians before getting thrown into a snap election to compete against Justin TRUDEAU. In Canada, before Justin, the “Trudeau” name meant something. Unlikely, “Trudeau” will mean much after Justin’s tenure as PM is completed. It’s not to say that a future Trudeau can’t be Prime Minister; it’s just that it’s unlikely the “Trudeau” name will mean much to anyone when that occurs.

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Once you comprehend that Justin Trudeau has been winning Federal elections in a STRATEGIC manner, you’ll start to see the importance VOTE BUYING has to Trudeau winning elections. I do think strategically that vote buying can even help Trudeau to beat current Conservative Party front-runner Pierre Poilievre in a snap election.

Not only has Trudeau grown the Federal Government, but he’s also grown the overall WELFARE State. There are a lot more Canadians today who are NOT working, and if, let’s say, you stopped working and you’ve gotten used to collecting a government paycheck. You, as an eligible voter, have convinced yourself that you’re worthy of continuing to collect government checks as long as you vote for Justin; you have yourself a COMPETITIVE election.

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It’s not uncommon for humans to exchange liberty and freedom for PERCEIVED security by the government. In the minds of the financially and economically ILLITERATE, similar to Karl Marx, they imagine BIGGER is ALWAYS BETTER. Most financially illiterate people completely ignore the COSTS associated with a big government; these people tend to focus on the BENEFITS of a big government.

Justin Trudeau and even NDP leader Jagmeet Singh have tapped into the Canadian voter who wants a big government, and it’s for this reason that I can’t even vote for Pierre Poilievre. Blame Trudeau all you want, but if you ask me, Canada at this point has a SYSTEMATIC problem. Lots of countries have systematic problems in government, but Canada, which has a very large land mass, is becoming increasingly DEPENDENT on IMPORTS; unlike Japan, Canada has a cashflow problem that will require MONEY printing and SMART investments to solve.



Japan is a nation that depends heavily on imports, primarily because it’s not known for its NATURAL resources; for this reason, Japan’s WELFARE state revolves around the PROTECTIONISM of its successful private enterprises. Even though one could argue Japan’s government is hurting its population with its corporatist economic policies, Japan is still keeping its WELFARE State smaller than most western nations, meaning from a business standpoint, Japans, FEDERAL government is keeping the COST of their PUBLIC sector as low as possible.

What people tend to forget about government REGULATIONS is that they make the private sector LESS productive. I could care less if you like the green agenda or not; the bottom line is that Canada’s PRIVATE sector is less efficient because of it, thereby making a Canada a country rich in natural resources, a country that functions as if natural resources are SCARCE.

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These regulations imposed by Justin Trudeau’s federal government are generating FEWER dollars to pay for his bloated government. You have to remember that Justin Trudeau’s carbon tax revolves around the hope that maybe someday, we’ll have ALTERNATIVES to fossil fuels. Still, in the meantime, the Federal government will impose a PERMANENT tax on what they deem as bad pollution that is contributing to climate change.

Now, I have to remind the reader at this point that the Canadian economy was having CONSUMER PRICE inflation problems PRIOR to Justin Trudeau becoming Prime Minister in 2015. Most people do not include rising housing prices as consumer price INFLATION because, for whatever reason, people don’t consider the housing MARKET a business.

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The housing market is INDEED a business; as consumer prices go up, there are beneficiaries of these higher prices; the difference between the beneficiaries of commodity consumer price inflation vs. real estate consumer price inflation is that ANY idiot can buy a house and be the beneficiary of ASSET price inflation, whereas a commodity price inflation requires a better understanding of business.

What I mean is that if I sell oil, just because my profit margins go up doesn’t mean I should invest in property, plant, and equipment. Debt is getting more expensive, and Government overreach is all the rage; now, on the housing market side of things, the average homeowner, when the value of their house went up, took out a home equity loan or some other debt imagining that there could be NO negatives to a rising housing market.



You know, because, after all, the common belief is that real estate ALWAYS goes up in value, so why not use your home as an ATM? Rising values of home prices helped to FUEL consumer spending, but now, other ASSETS are rising in value to CATCH UP with the booming housing market and this could potentially lead to a MASSIVE slowdown in the economic and financial growth of the Canadian economy, something I’m certain Justin Trudeau, the Liberals and the NDP and their loyal supporters never anticipated.

From a business point of view, shrinking government or austerity is an easy answer; however, POLITICALLY, it’s a hard sell. Most government workers right now are earning RIDICULOUSLY high wages that they could NEVER make in the private sector. If you’re on some sort of government welfare, the last thing you want to hear about is returning to work and/or taking a pay cut.

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These are Justin Trudeau or Jagmeet Singh voters, and this is why it wouldn’t surprise me in the least if the Canadian economy gets worse. I also anticipate that even if Pierre Poilievre beats Justin Trudeau in an up-and-coming election, the NDP, Liberals, and potentially the Bloc Quebecois, with the help of Canada’s mainstream media, will likely form a coalition against Pierre Poilievre, blocking everything he attempts to do, which will force Pierre Poilievre
to compromise.

Compromise politics will slow the economy; even if Pierre Poilievre has the right ideas, he will have to compromise to get things done. Also, I should add I do not like the Pierre Poilievre’s stance on the Bank of Canada; Pierre Poilievre appears to imagine a dovish Central bank of Canada will help inflation. As I’ve already pointed out, I suspect GRIDLOCK in Ottawa if Pierre Poilievre pulls out a win.

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Unless Pierre Poilievre wins a majority, we might see more of the same under a Pierre Poilievre government. I also have to add that most G7 countries are united in their belief that Climate change is a threat to humanity. Does Pierre Poilievre have the courage to either lie or stand up to his allies? I don’t know. But these are variables most people ignore when they imagine a Trudeau replacement.

The market will price these things in almost immediately, and for myself, it looks like more pain for the Canadian consumer potentially for at LEAST the next decade.

Jack Mintz: Federal employment growth is now out of hand | financialpost.com

Interesting times ahead!