Financial crisis more likely than recession amid market mayhem: Redefining Recession, Ignoring the size and Influence of Politicians on the economy and Austerity Measures – May 16, 2022,
Is it the fault of the Canadian Radio‑television and Telecommunications(CRTC) that Mainstream media often puts out misinformation or disinformation? or is it merely incompetence? Even though I’m no supporter of Justin Trudeau, he can’t be blamed for everything, the CRTC was here before he became Prime Minister, Trudeau merely took advantage of it.
Prior to the Internet, even when the Canadian government and mainstream media got it wrong, most Canadians had to basically adhere to the calming words of the CRTC derived media, which for the most part was designed not to add any “shock” value to the Canadian news cycle that was approved by the Canadian media regulatory authorities.
Overtime what this does is it forces Canadian media to push BLAND messaging, bland news, and a bland existence, which let’s be honest worked primarily because Canada’s largest trading partner is the United States, which for the most part does the complete opposite which tends to fuel its economy to innovate. One of the main reasons America has so many entrepreneurs is because of the wars it has in its media.
One people aren’t being force-fed bland messaging their minds are allowed to expand in ways uncommon in Canada. In fact, Canada often has a brain-drain problem that the U.S takes advantage of. Elon Musk actually arrived in Canada prior to him moving to the United States. Elon Musk similar to most of Canada’s most talented immigrants used Canada to get to the United States.
It’s not to say Canada can’t attract talent, but the best and brightest see Canada has a HINDRANCE to their success, why? Primarily because of the thought leaders that push an agenda that convince Canadians to think of themselves as mediocre and the Americans as these wild bunch of humans that need to be tamed by Big Government.
In the video below, Greg Taylor, Chief Investment Officer and Portfolio Manager at Purpose Investments do what a lot of people are doing, which is attempting to redefine recession. I personally thought Justin Trudeau would have backed down from carbon taxes, I also assumed Erin O’Toole would have beaten Trudeau in the 2021 election, I was wrong. What this means and this should be pretty obvious at this point is that consumer price inflation is likely to continue, excessive regulations are likely to continue on businesses, a lot of people are predicting PRICE controls in the future and obviously this is going to lead in CHANGES of behavior in Canada’s PRIVATE sector.
I’ll give you a brief example of what I’m talking about. The Private Sector for rental purposed housing in Canada stopped building rental-purposed housing on a large scale, once it became obvious that their profit margins would be limited by PRICE/RENT CONTROLS. This change in behavior forced the rental sector in Canada to change, as investors said to themselves, why should I take all of this risk building rental purposed housing when some politician will make an example out of me and slice into my profits.
I want you to imagine the coming Canadian economy in the same way. a lot of businesses, in Canada, will likely outsource, or cease to exist, based on the new normal in Canada, and this adjustment, for the record will COMPOUND prior big government initiatives like Rental Controls that existed long before Justin Trudeau became Prime Minister.
What I’m getting at here, is that Justin Trudeau compounded problems that existed before he became Prime Minister and if the economy he is creating is the new normal going forward, the entire Canadian economy is going to have to shift to accommodate these carbon tax and carbon credit regulations on the economy and to fix this problem will require a LOT MORE BANK LIQUIDITY, which means, the Bank of Canada is merely raising interest rates in anticipation of a financial crisis, which equates to us already being in a recession.
Is it ignorance on the part of Greg Taylor to not see this? or is he intentionally being malicious? I don’t know, but if the Bank of Canada wanted to tackle inflation, inflation on VERY BIASED CONSERVATIVE numbers would be 4.5%. Yes I know it’s more like 8%, but let’s say 4%, this is the number the Bank of Canada would have to set rates to tackle inflation, why aren’t any central banks doing this? If you answered, because the economy will implode, you would be correct.
The problem is so bad, that the mainstream media is trying to redefine “Normalized interest rates”. Quite frankly this redefining of normal interest rates should be misinformation and disinformation, but again do I blame the CRTC for this or the mainstream media? If I’m the mainstream media and I publish something the CRTC doesn’t like my media business I assume could be nationalized? politicized? and forced into bankruptcy, correct?
So bland messaging and bringing on bland guests, has to be normalized? Right! If you want to know my opinion, expect economic downturns until Austerity measures. I’d also like to remind the reader not to expect Austerity Measures under the Conservative Party of Canada. The last time Canada had austerity measures it was the Liberal Party of Canada that did it.
Similar to his father Justin Trudeau has all the fun destroying the economy, while a future government has the task of cleaning it up. History repeats itself, and I suspect this is what will happen. Even when I listen to Conservative Party frontrunner Pierre Poilievre he doesn’t appear to want to shrink government that much, he’s merely talking about unleashing the free market.
Sure I’d prefer Pierre Poilievre over Justin Trudeau, but similar to Stephen Harper, what if Pierre Poilievre is merely keeping the seat warm for a future tyrannical left-wing government? Similar to Donald Trump, Stephen Harper made it too easy for Justin Trudeau to reverse Canada’s fortunes. Because Harper merely made improvements on spending to the prior Liberal Party’s economy, all Trudeau had to do once he got into power was grow the government on existing Big Government structures that Stephen Harper didn’t get rid of.
If there’s a financial crisis brewing how are Canadian employers going to pay for employees? Most businesses are reliant on access to credit to MAINTAIN their existing workforces. If there’s a financial crisis, wouldn’t that trigger a recession? Again if these newly minted regulations on the Canadian economy are here to stay prices HAVE o go up and stay there because Permenent costs would have gone up and what tends to happen when consumer prices go up is the people complain to the government.
Regarding prices at the pumps, not every Canadian owns a car, so for Canadians who don’t own a car or who don’t pay for gas, why should they pretend to care for gas prices? people without a car might be 100% on board for gas prices going up because maybe they imagine oil and gas as evil relics of the past that should be exterminated. These people will cheerlead Trudeau to destroy Canada’s oil and gas industries, which will reinforce him to do it.
Most people because of the mainstream media care very little on topics that they assume won’t affect them and this obviously creates a divide and is why many assume that PRICE CONTROLS are coming. Because the average Canadian doesn’t understand the problem with the economy and doesn’t understand what’s fueling consumer price inflation, they’re likely to blame rising prices on the “greedy” PRIVATE SECTOR.
Mainstream media in the back pockets of Justin Trudeau have no interest in correcting this, and how could they? The material below in my opinion is the perfect example of how the media will REDEFINE terms and confuse the public. No, no we’re not headed for a recession, I see a financial crisis? I see no interest in austerity measures at the moment and it’s for this reason that I see negative interest rates in Canada’s future.
Interesting times ahead!