How The Government Of Canada can increase productivity while taming inflation in easy-to-understand language – July 1, 2022,
We’re on a RULE BY FIAT monetary system, meaning that money and INFLATION are the DIRECT results of the government. The Canadian government has FULL control over its money supply and Canada has what many believe money is backed by(OIL). The Loonie, the Canadian dollar is imagined by many as a PETRO DOLLAR, Canada has enough oil to for ALL of its energy needs and it can export the excess amount if it was allowed to.
If we’re to be honest, Canada could do what Venezuela still does, which is to provide its own citizen’s petroleum at ROCK bottom prices. Because Canada has more of a market economy than Venezuela has if Canadian innovators were freed from the shackles of Big Government, Canada in this current monetary system should be the richest nation on earth.
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But the FEDERATION of Canada has financial disputes, we’re not united, The East is spoiled by equalization payments, and a larger population get’s to dictate ECONOMIC policy for the entire country, which to date equates to INEFFECIENCIES in the economy to government SUBSIDIZE REDISTRIBUTION SCHEMES. The Conservative Party of Canada, dare not challenge Eastern Canadians politically, in fear they’ll lose that vote.
The current front-runner for the Conservative Party of Canada whom the Canadian media have attempted to label the Donald Trump of Canada, REFUSES to negotiate a far deal for Western Canadians? The province most Canadians associate with Trump supporters.
When ask Pierre Poilievre said very clearly that he would NOT touch supply management, which by the way benefits Quebec way more than it benefits Alberta. I bring this up because a Pipelines for Supply Management deal could EASILY be reached between Alberta and Quebec, being that Quebec’s PUBLIC sector is beyond BANKRUPT without the financial assistance of Western Canada.
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But PRODUCTIVE ideas are stifled in favor of Big Government. Getting the Canadian economy running again is EASY, but it’s not going to happen because Justin Trudeau the current Prime Minister of Canada is STUBBORN. Being that Ukraine is at war, Trudeau could temporarily suspend his Green Agenda, which includes ending the carbon tax, allowing pipelines to be built, cut ALL of his regulations on Canada’s private sector that he enacted since Covid-19 first started, including his war on the unvaccinated and his war on travel.
Government regulations are what’s causing CONSUMER price inflation, asset price inflation could be blamed on the Central Bank for making borrowing costs so low, but Consumer price inflation is the direct result of FISCAL policies. Justin Trudeau made it more EXPENSIVE and costly to be PRODUCTIVE, so production costs have risen.
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You can’t as an example makeup something called a “Carbon Tax” and expect the economy to run as it did before. You can’t restrict the movement of Canadians you disagree with politically and expect the economy to function as it did before. You can’t fire key people in the government and in the private sector and expect the economy to function as it did before.
Consumer price inflation is the direct result of Justin Trudeau’s cabinet and once people understand this, they can decide for themselves if this is the future they want for Canada. This is not a complicated matter, I get that a lot of news outlets make their money by making easy-to-understand topics appear to be COMPLEX, but they’re really not, the only complication with economics is BIG GOVERNMENT. Government sets the rules, government prints the money, this isn’t rocket science.
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The market’s job is to DISCOVER prices, that’s all the market does, if prices are rising it’s because COSTS are rising, if there’s a possibility to lower costs in a free market, private businesses will compete for market share. If prices are rising it’s because the barrier of entry is high which is a creation of government. In a FREE market, there is NO barrier to entry, barriers are the direct result of GOVERNMENT.
If the government says minimum wages are $15 per hour, that’s a barrier to entry for a private business, if your business can’t afford to pay an employee or employees at least $15 per hour, your business will not be VIABLE! This is why so many things are now Imported to Canada from places like China instead of being made in Canada. a reminder that China became an economic powerhouse because of PRIOR barriers to entry, now imagine Canada’s future with all of these NEW barriers to entry and then you’ll start to see the ECONOMIC dilemma facing Canadians moving forward.
Interesting times ahead!