Did Canada Avoid Quantitative Easing Under Stephen Harper? Well, technically, Yes, but in practice, NO, Let’s Talk CMHC, Canada’s housing market and SUBSIDIZED Private Debt – November 8, 2022,
Pierre Poilievre, who by the way, supports supply management, continues to play a very dangerous political game. First and foremost, I’d prefer Pierre Poilievre to be Prime Minister over Justin Trudeau, but not because of the financials, I prefer Pierre Poilievre because Justin Trudeau consistently attacks freedom of speech, liberties, and freedoms, and Trudeau is big censorship.
I actually think a country going BANKRUPT is healthy; I don’t think Justin Trudeau cheated to win any election, I do think he’s a reflection of a lot of people in this country, unfortunately, and for me, that tells me the fragility of my country to make such a corrupt man like Trudeau not only Prime Minister but to stay silent while he bankrupts the nation.
On the topic of Pierre Poilievre, he released a promotional video in which he talks about how Canada DID not follow in the steps of the United States with Quantitative Easing, which is true because we didn’t need to; not only did Canada have a better regulatory framework for qualifying people for mortgages, but we had already repurposed the Canada Mortgage and Housing Corporation(CMHC) to basically give private banks taxpayer protection from potential losses.
The CMHC has a mortgage insurance product, and if you ever considered buying one of their BONDS, it basically guaranteed that your principal would be protected from losses via the Canadian taxpayer. Oddly enough, this is something Former Minister of Finance of Canada Jim Flaherty was well versed in, it was one of the reasons Jim Flaherty spoke OUT about the central banks lowering interest rates.
Conveniently enough, it was when dovish central banker Stephen Poloz was hired in 2013 that the late Jim Flaherty because having health problems. There aren’t too many politicians I like, but Jim Flaherty was one of them. Jim Flaherty died in 2014, and soon after he died Stephen Poloz began cutting interest rates, which served as a stimulus for ASSET prices.
A lot of these ballooning asset prices are now on the CMHCs books, and if the Canadian housing market were to crash, most of us know that CMHC would require a taxpayer BAILOUT. Furthermore, higher asset prices were one of the main reasons Canadians voted for Justin Trudeau because the argument being made at the time is that Stephen Harper, with artificially low-interest rates was making THE RICH RICHER.
Justin Trudeau was presented as the politician that plays ROBIN HOOD and takes from the rich and gives to the poor. To really drive home his sales pitch, Trudeau then promised to SHRINK the federal government by legalizing weed. Oddly enough in the 2015 election, Stephen Harper was trying to BUY votes by promising homeowners to PROTECT their nest eggs by obviously keeping interest rates low and handing out subsidies.
Long story short, Trudeau destroyed Harper in 2015, and to be fair, had Trudeau simply NOT grown the government, he’d potentially be one of the better prime ministers. Unfortunately, Trudeau is as corrupt as he is careless and he’s made a lot of embarrassing unforgivable mistakes as Prime Minister. But one thing that Pierre Poilievre would be wise to do is avoid the moral arguments, he should stick with the finances because a lot of Canadians actually know what’s going on, and the more Pierre Poilievre says things people like me can read into, the more we’re going to see him as a slime ball.
Again for people like me, I don’t care if the country goes bankrupt; what I care about is FREEDOMS and Liberties, meaning the only reason I don’t like Trudeau is because he’s attempting to make Canada a socialists nation, in which free speech is entirely censored by the government. Pierre Poilievre doesn’t need to win over people like me with financial wizardry; in fact, the video below adds to the list of videos that are making Pierre Poilievre irritating.
If Trudeau calls an election, ofcourse, Canadians are going to get rid of the guy, but Pierre Poilievre better be aware of the economy he will inherit and the Left-wing voters who will be motivated to blame him for everything. I expect that once Trudeau is defeated, the fiscally responsible Liberals are going to take over the Liberal Party, which poses a whole new set of problems for the Conservatives, as the People’s Party of Canada will also start to look more attractive.
As I’m writing this, I’m not sure what the U.S Mid-Terms will look like, but if the Republicans win Big, it would be safe to say a shift is coming, and Pierre Poilievre would be wise not to engage in unnecessary battles because we’re all not asleep at the wheel here. Many of us do understand how the Canadian welfare state gets financed!
Interesting times ahead