Justin Trudeau is creating an unnecessary tax collection problem: Conference Board of Canada claims Canada won’t return to pre-pandemic employment – September 30, 2020,
I do not give financial advice this post should be read for entertainment purposes only!
What’s worse than communism and socialism? Unnecessary government regulations on the economy, it’s something that’s been forgotten primarily because of Keynesian economics and fiat money has been a match made in heaven for PROGRESSIVES.
When Jean Chretien’s Liberals and Bill Clinton Democrats came to the realization that over-regulating the private sector in exchange for selling out domestic manufacturing was a good idea, Canada and America experienced a boom that has lasted to this very day.
The problem with Bill Clinton and Jean Chretien is that they’re progressives, so although they cut regulations in regards to trade wit hostile nations, they burdened their countries with domestic regulations which have led to the private sectors of both Canada and the United States shrinking in the size, not because both countries can’t compete but because it’s too expensive to manufacture things inexpensive day to day items in Canada and America.
Now, because of all f this economic destruction Americans decided what the hell and they, voted for Donald Trump in 2016, and with all of the Donalds faults, he understands the economy and he understands that Americans want a sense of security, so the Donald went on a barbaric regulation cut for the domestic portion of the U.S economy, now unfortunately Donald Trump’s tariffs haven’t been as successful as he would have liked so-far, but his regulation cuts were enough to at least give American energy a temporary boost.
In Canada, our Liberal government led by Prime minister Justin Trudeau did things differently. Even though the suns behavior is about change as we head into the solar minimum stage which means the planet needs to start looking at food production differently, Trudeau is still stuck in the Paris climate agreement which equates to Canada taking orders from a globalist organization.
The solar minimum, for most of us who actually care about the planet and are not beholden to a globalist agenda often equates to cooling temperatures, and although Leftists want to push their agenda forward, what’s known to those of us who actually care is that a changing sun is a changing earth which will require nimble, fluid actions by the government to combat the changes that will be occurring.
Now, it’s unfortunate that Leftists have captured the word climate change and made it a political thing, but this change in behavior from our sun shouldn’t be overlooked because man-made climate change is nothing compared to a volcanic eruption as an example.
Right now more than ever, Canada needs its private sector to flourish. In order to build up alternative forms of energy we need to strengthen our current forms of energy. This upcoming period is no laughing matter and Trudeau at the moment isn’t helping the Canadian economy.
Oddly enough Trudeau is putting Leftism at risk of losing everything, Canada might be pushed into a situation of forced austerity measures and Justin Trudeau will be to blame. Governments can’t pay and SERVICE all of their bills with printed money, that’s how Zimbabwe and Argentina lost the value of their currencies.
The world is bailing out the U.S Government because, there is still a huge demand for U.S dollars to the point that in some non-US countries, U.S dollars can be withdrawn at ATM machines. This global demand for U.S dollars revolves around the U.S influence all over the world, Canada does not have the same privilege, there is a different pricing mechanism for our fiat dollar and Canadians shouldn’t even expect to think that just because the values of all non-US currencies might dive at the same time that the end results for all developed nations will be the same.
As far as the forex markets are concerned I’m of the opinion that Canada has a serious day of reckoning because the Loonie has been artificially marked down and we’ve adjusted our economy to a deflated loonie by growing the size of our government instead of using the deflated loonie to grow our private sector.
This is really, really, bad for Canada if the world experiences debasement of their currency. Deflation plus debasement equals the bank of Canada suffering very real consequences for providing liquidity for the private sector. I’m already hearing stories of businesses in Ontario having problems with INSURANCE rates!
Government intervention can only go so far, John Maynard Keynes was all about market manipulation when it was ABSOLUTELY NECESSARY and John Maynard Keynes never imagined a world without a Gold Standard.
Canada was practicing Keynesian economics during the good times, I comprehend that most people assume that there’s nothing to worry about, all I will say to those people is that most of the pre-pandemic employment came from the PUBLIC SECTOR, and most of the entities who were forced to shut down during the pandemic were in the private sector.
One of the topics I like to write about is who really pays income taxes in Canada? Well, in my calculations the public sector doesn’t pay income taxes, the public sector makes its money via tax collection and the people who work in the public sector than lose a portion of their paychecks to tax dollars which are then basically recycled back into the public sector to be wasted on some other public sector initiative. But in the end, all the money the public sector gets come from the private sector.
So debasement is what I call real inflation, that can only be combated by cutting the size of government, however, in my opinion, what I think is going to happen first is that the Bank of Canada and our politicians are going to fight debasement by printing money, which leads to hyperinflation, now I don’t think the BoC nor the government initially are going to comprehend why their various price control mechanisms aren’t going like they used to, but they’ll figure it out eventually.
Canadians are really going to start to feel the effects of Justin Trudeau’s deficit spending! Eventually, the Canadian government is going to notice that they don’t have enough money to service their debts, this deflationary debt spiral in government in my opinion will equate to forced austerity measures.
The NDP could have benefited politically from the downfall of Justin Trudeau, however, Jagmeet Singh was short-sighted, Jagmeet and the NDP took a dip in Trudeau’s swamp, and the additional spending added to Trudeau’s deficit spending that will cause this debasement crisis will be shared equally by Jagmeet and Justin!
Canada better watch out for the rise of the Bloc Quebecois, because Quebec is not going to like Austerity measures, I actually see the Conservative Party winning a future election in a landslide, but I don’t see the Bloc-Quebecois shrinking I see both the Liberals and the NDP being forced to start from scratch at the same time. Late-Stage-Socialism is here!
We’re getting closer Canada! I highly recommend that you stay in close contact with your government-approved financial advisor, I do not give financial advice this post should be read for entertainment purposes only!
Interesting times ahead!