Tuesday, March 13, 2018

Seeking Sanctuary



Sometimes, living in Canada's most populous province is embarrassing. Anyone know a remote mountain top I can retreat to?

These letter-writers define my problem:
In light of the recent PC leadership convention that saw the resurrection of the anti-abortion faction, the denial of climate change, the renewal of the “no tax is good tax” fallacy, an anti-gay bias and the assertion that only parents undertake sex education of their children, I would propose that the party change its name from Progressive Conservative to Regressive Conservative — taking a giant step backward for all Ontarians.

Peter Lower, Scarborough

A mere two days after we observed International Women’s Day, the Ontario PC party membership decided to bypass a strong, highly qualified, intelligent woman in favour of a dense, inexperienced, impudent man who rode the populist wave to victory much like another well-known politician did south of the border over a year ago. For a man who doesn’t have an original idea in his head, Doug Ford certainly has a lot of people betting on his ability to beat Premier Kathleen Wynne in the upcoming election. Let’s hope this time the electorate chooses the strong, highly qualified, intelligent candidate.

John Fraser, Toronto

Columnist Martin Regg Cohn tells us that we should not rule out the possibility of Doug Ford being elected Ontario premier, and he may well be right. It is possible that Ford’s populist appeal will be sufficient to propel the PC party into government. However, it is also possible that Ford’s election will revitalize Liberal party fortunes and give Premier Kathleen Wynne a fighting chance of clinging to power. In electing Ford, PC party members chose to roll the dice with the future of both their party and the province, and they apparently did this with their eyes wide open. On June 7, we will know whether those who voted for Ford allowed Wynne to once again beat the odds.

Jonathan Household, Niagara on the Lake

Monday, March 12, 2018

Curbing An Addiction



A recent post outlined the terrible toll plastic pollution is exacting on the world's oceans and wildlife. We pay a very high price for personal convenience, but our addiction to plastic runs very, very deep, as you will see in just a moment.

But first, Tim Gray makes a plea for Canada to take a lead in the battle against this scourge, and for a very good reason:
Canadians are among the most wasteful people in the world, with 25 million tonnes of waste, including plastic, ending up in landfills in 2014. Of course, millions of plastic bottles and other plastic waste never even make it to the landfill, but instead end up in our streets and environment.

In our oceans, our plastic joins the waste of other countries to kill a million seabirds and 100,000 marine mammals every year, according to the UN Environment Program.
And just how can we work towards taming this monumental problem?
Provinces set the legislative frame for how waste is tackled. For example, all but two provinces and one territory have plastic beverage bottle deposit return programs that achieve high recovery rates. Ottawa could mandate that all provinces achieve at least a 90-per-cent recovery and let each of them design its own system.

This would ensure that the laggards in Manitoba and Ontario (which throws away 1.5 billion plastic bottles every year) get their acts together. If provinces don’t achieve the target, the federal government could impose a tax on the bottles and give the funds to municipalities for waste abatement programs.

The federal government could also require that major multinational corporations — like Coca-Cola, Nestlé, Pepsi and McDonald’s — increase the amount of recycled material in their products and packaging to 100 per cent by 2023. High recycled content targets create market demand for recycled materials. They also make companies more likely to support collection systems that provide high volumes of high quality plastics, like deposit return programs.
Although Gray doesn't mention it, another avenue would be for us to wean ourselves off our heavy use of plastic. That, however, is easier said than done, as you will learn in the following video:



You can read about the above initiative here.

Just because something is difficult does not make it beyond our means to achieve. By educating ourselves about the problem and taking steps to reduce our reliance on plastic (through cloth shopping bags, reusable water bottles, etc.), we can all contribute to the reduction of one of humanity and nature's biggest blights.

Friday, March 9, 2018

The Neoliberal Creep - Part 2



While Part 1 dealt with the neoliberal agenda influencing Bill Morneau's retraction of his pharmacare promise, today's post deals with that same influence, this time on Canada's 'evolving' position on foreign aid.
International Development Minister Marie-Claude Bibeau says she wants to use the new $2 billion in extra aid dollars in the new budget to attract insurance and pension funds to invest in fight against global poverty.

Bibeau said her priority is going after wealthy private-sector investors, because governments can’t provide the level of spending needed to do development in a world where conflicts are lasting longer and displacing people for decades at a time.
Given the aversion too many people have to taxes and government expenditures, on the surface this proposal would seem to spread out the costs of doing good. A win-win situation, right?

Maybe. Maybe not.

The need for foreign aid is beyond question, both for the well-being of the recipient countries and the security of the larger world. Those who are suffering and disenfranchised today are the recruits for terrorist organization tomorrow. However, if improving the well being of those in the targeted countries is the overall goal, one has to ask a fundamental question: Is private investment the best vehicle by which to accomplish it?

Private investors, whether institutional or individual, are seeking a decent return on their money. If the goal of foreign aid is better the recipients' lives, how, exactly, is entering into partnerships with pension and insurance funds going to accomplish that? Unfortunately, Ms. Claude-Bibeau leaves that question unanswered. Perhaps she felt that given most Canadians' shallow engagement on public policy, simply making an announcement on cost-saving measures would satisfy them. But the key question to ask is whether or not the goals of private profit and foreign aid are compatible.

A report by the OECD-DAC sheds some much-needed light on this issue:


As you can see in the above, the first unspoken 'rule' is that 70% of the private investor's funds are guaranteed against loss. Guranteed by whom? The taxpayer, of course.

But surely that is not enough to attract such investment. There must also be the prospect of earning a healthy return on investment. And therein lies the tension and potential conflict between development and private sector goals. A 2013 study into the American experience with PPPs (Public-Private Partnerships) may shed some light:
Some development officials are concerned that opportunities to access private resources through partnerships can pull mission staff away from established country plan priorities. The availability of private funding, they argue, is hard to ignore, even when a proposed partnership does not fit well within an established mission priority. Given very limited staff resources at many USAID missions, the opportunity cost of following through on PPPs that are not necessarily aligned with stated mission priorities can be high.
In other words, the prospect of 'free money' can subvert a government's development goals.

There is a host of other problems associated with these partnerships, including overlooking needier countries in favour of more-developed ones so as to provide greater opportunities for the private sector to profit. This issue and many more you read about in the above report.

Will Canadian go blindly into this brave new world of foreign aid PPPs? Given the decidedly neoliberal bent of the Trudeau government, I think that is a distinct possibility.

Canada, and its foreign-aid recipients, deserve much, much better than this.

Wednesday, March 7, 2018

A Species Under Indictment

The species: the human race. The charge: depraved indifference.

Watch the following to see for yourself whether conviction is a forgone conclusion:


If you would like to learn more about this ubiquitous problem, click here for a good primer.

Tuesday, March 6, 2018

A Heedless Nation

One of our much-vaunted attributes as a species is our resilience. Our ability to recover from trauma, tragedy and setbacks is the stuff of legend. People devastated by wildfires rebuild; parents who lose a child to disease, accident or mayhem have another child; widows and widowers carry on with their lives; even crippling injury and maiming is not enough to stop us from looking forward to a better day.

Sometimes, however, that resilience and adaptability can work against us. I believe that is what is occurring under the presidency of Donald Trump. The Orange Ogre seems to have redefined what is acceptable or, at the very least, tolerable, in public life. Forget his serial philandering, his outright and ongoing mendacity, and his manifest unfitness for office, all of which, in an earlier time, would have provoked strong reaction and demands for remediation. Perhaps because Trump came from reality programming, and the United States, now more than ever in its history, subsists on a diet of illusion and false promise, it appears that widespread condemnation over what he does or does not do is largely absent, a 'perk of office' that his predecessor, Obama, did not enjoy.

Consider the following report, which begins at the 7:52 mark, and then ask yourself this question: If times were normal, what logical conclusion would most draw about Donald Trump vis-à-vis Russia?

Monday, March 5, 2018

The Grand Plan of Obfuscation: A Guest Post



In response to Saturday's post about the increasing momentum of the neoliberal creep evident in the Trudeau government, frequent commentator BM offered his detailed take on this sorry situation:

It's all part of the Grand Plan of Obfuscation.

Put in a haphazard system of Pharmacare, so that no citizen knows what is covered and by whom. Allow the private sector like Morneau Sheppell to set up systems to track every citizen to make sure they're covered by the eclectic mix of public and private schemes for pills, because it's so complicated, and thus skim off management fees for their "services".

Big Pharma rejoices. Not having a national scheme means nobody is going to bargain for cheap pill prices on a national scale. So drug prices stay high, and the financial corporatists skim off the cream for services rendered tracking all the mush with ZERO value-added for anyone but themselves. All the public has to do is pay over the odds for all the shenanigans, while the politicians issue glib statements as to how they've helped everyone. It'll all cost more overall than what we have now, you can be sure.

Then, at Bay Street banquets, the corporatists will toast each other as to how well they sold the citizenry that piece of goods. The talking will of course be in business code and jargon, the obfuscation of our age. Financial mags will feature glowing articles on how some "genius" spotted a service "missing" from the "market", and worked out a scheme to profit from it. All hail a new "business" Titan! And if you believe all that guff, you'll believe the BS from corporate media on war reporting too.

These business people strike me as the lowest of human life forms, sucking and siphoning money into their pockets from the masses, while maintaining what they have helped society out, but in reality being parasites on the body politic. There is no shame left for those people. They believe their own lies, and act all patrician like Morneau, a man so apparently ill-informed and dim-witted, he'd never heard of business divestiture for holding public office, or if he had, regarded himself as so honest, ethics policies simply didn't apply to him.

Does anyone trust Bell and their ripoff cell phone and cable/internet plans? How about the banks? - Nah, they don't try and flog useless services to little old ladies over the phone, do they? Upstanding corporate citizens, the lot of 'em. The execs claim the moral high ground - "That's not our company policy!" Meanwhile, they incentivize middle management with bonuses to get more and more business, and leave that rapacious class to work out the details on the QT, while issuing highly moral company "policy", and tut-tutting their lowest-ranked employees' behaviour. Then doing bugger all to change things. It's all utter and complete bollocks from beginning to end.

Is anyone honest these days? I find precious little evidence of it. Everyone is trying to rip off everyone else just to make a living. It didn't use to be so obviously bent. But big business with the federal government in their pockets seem intent on ruining the ethics of the average citizen by lying, innuendo and complex ripoff schemes like National Pharma, and allowing it to be just obvious enough that we all turn into scheming thieves ourselves because it's the norm. You can't trust anyone these days - we're all stealthily trained to be greedy. Everyone is out for their own advantage.

A population ruined like this has no empathy, couldn't care less about anyone else, and if you expect them to really care about the environment, well good luck. Thus the brain dead cheer lower "taxes" as if it were some sort of universal truism, and society gradually turns into sh*t, with no hope of altruism whatsoever.

Sunday, March 4, 2018

Star Readers Are Not Impressed



Star readers can spot a corrupt policy process when they see one, an acuity they make known as they opine on Bill Morneau's pharmacare plans:
Morneau’s unwise decision to backtrack pharmacare, Walkom, March 2

Every parent knows this: If you aren’t really going to take your kids to the zoo, don’t mention it at all.

When we heard details included in the Liberal’s budget this week, we were delighted. That evening’s conversation around our dining-room table with our adult children was animated and optimistic. One of the most exciting elements in the budget was the announcement of the government’s commitment to pharmacare.

Then, came Finance Minister Bill Morneau’s near-immediate dialing back: not a “plan” exactly, more of a “strategy,” and other weasely sounding words. What a colossal disappointment.

I reluctantly excused the Liberal’s backtrack from their promise to reform our electoral system. Please don’t let the pharmacare “promise” go the same way. We need to hear their clarification and recommitment — and soon. Just be straight with us. Are we going to the zoo or aren’t we?

Jeannie Mackintosh, St. Catherines, Ont.

I was even encouraged by the enlistment of former Ontario health minister Eric Hoskins, whose provincial government recently implemented a long-overdue pharmacare program, albeit one only covering residents under age 25. It was a start and I hoped that coverage would increase eventually to provide coverage for all.

My feelings of elation and hope were soon dashed when Finance Minister Bill Morneau announced it wouldn’t be universal but would amount to a patchwork of coverage, with some people included in the government plan and others not.

This is unacceptable. We don’t need some mish-mash of a program. Let’s do it right and make a universal plan and, as the research indicated, the overall cost to health care should see a reduction. Perhaps Australia’s government could advise how best to meet this goal.

Norah Downey, Midland, Ont.

Drug-policy experts were stunned. Canada is the only advanced country with a medicare system that lacks pharmacare. Canadians spend so much on drugs because we don’t have a pharmacare program: drug prices are too high and too many intermediaries like insurance companies and benefit consultants drain money from the system.

Morneau’s approach would leave all that waste in place. The obstacle is that every dollar wasted is somebody’s income and the affected industries — drug manufacturers, drug insurers and drug benefits managers — fight back.

The minister effectively pointed to a potential conflict of interest and then restricted the mandate of the advisory council. I hope the minister will step back and let the council do its work.

Kim Jarvi, Toronto

Saturday, March 3, 2018

The Neoliberal Creep - An Update



I'm not sure what I find more offensive. Is it the fact that Bill Morneau, despite all that he has said about his limited vision regarding pharmacare, is apparently lying when he now says he is open to all ideas regarding a national drug-coverage program? Or is it that he holds the Canadian people in such contempt that he thinks we are either too stupid or too inattentive to see through his dissembling?
Finance Minister Bill Morneau now says he’s “agnostic” on proposals for a pharmacare plan after criticism that he was trying to dial back ambitions for a new program to ensure Canadians get the prescription drugs they need.

Morneau said Friday that he’s not seeking to prejudge the outcome of a newly created advisory council that will be looking at the idea or dampen the scope of their recommendations.

“What’s really clear to us is we need to get expert advice on how to do this best,” Morneau said during a visit to Montreal to discuss the budget measures.
What might account for his faux 'come to Jesus' reversal? Could it be that he has outraged influential groups?
... the Canadian Federation of Nurses, Canadian Doctors for Medicare and the Canadian Labour Congress [have written] an open letter to Prime Minister Justin Trudeau demanding Morneau be removed from the file.

They said Morneau has already decided it will not be a universal “plan” that covers all workers — to the detriment of Canadians, and the benefit of insurance and pharmaceutical companies, and, they suggested, Morneau Shepell.

They said it contradicts “overwhelming evidence” on the need for a universal program and undermines the work of Hoskins’ council before it begins.

“It is our hope that insurance industry and pharmaceutical industry interests will not play a role in the implementation of universal public pharmacare,” the letter to Trudeau stated.
Some will say we should not prejudge the process, and that we must give Morneau and his team a chance to get things right. To take such a position, in my view, would be to harbor a political naivete that I am incapable of.

More realistic, to me, is to see the truth of this entire charade, the truth made known when Mr. Morneau, in a moment of carelessness, let his mask slip, revealing what lies beneath - a living, breathing, neoliberal creep.

Friday, March 2, 2018

The Neoliberal Creep

The above title epitomizes both the direction of the entire Trudeau government and the character of specific high-profile individuals within it, most notably Finance Minister Bill Morneau and International Development Minister Marie-Claude Bibeau. The latter two are using their offices, not to promote the public good, but to do the bidding of their corporate masters.



Let's start with Morneau and what has to be one of the most rapid turnarounds/reversals I have ever witnessed in politics. On Monday, I was delighted to learn that Ontario Health Minister Eric Hoskins had resigned his post to head an Ottawa study into pharmacare, a universal program covering drug costs for all, a feature of all countries with universal health care save Canada. Then, less than two days later, Morneau 'clarified' his intention (doubtless after hearing from the pharmaceutical and private insurance companies) that
a new national pharmacare program will be "fiscally responsible" and designed to fill in gaps, not provide prescription drugs for Canadians already covered by existing plans.


Why the walkback/misdirection? Well, part of the allure of real pharmacare is the fact that bulk-buying of drugs means massive savings. This, however, does not sit well with the powerful pharmaceutical industry.
Traditionally, they have threatened to stop manufacturing drugs in jurisdictions that engage aggressively in bulk buying.
Consequently, Morneau is now facing conflict of interest accusations on the pharmacare file.
The Canadian Federation of Nurses, Canadian Doctors for Medicare and the Canadian Labour Congress wrote an open letter to Prime Minister Justin Trudeau demanding Morneau be removed from the file.

They said he has already decided it will not be a universal “plan” that covers all workers, merely a “strategy” to fill in the gaps for those who currently don’t have coverage — to the detriment of Canadians, and the benefit of insurance and pharmaceutical companies, and, they suggested, Morneau Shepell.

They said it contradicts “overwhelming evidence” on the need for a universal program and undermines the work of Hoskins’ council before it begins.


“It is our hope that insurance industry and pharmaceutical industry interests will not play a role in the implementation of universal public pharmacare,” the letter to Trudeau states.
Moneau's cowardice has earned the scorn of The Toronto Star:
...the projected savings that have made comprehensive drug coverage such a popular proposal in policy circles depend in large part upon the program’s universality. Most of the savings created by a pharmacare program would be achieved through the bulk-buying of drugs and the elimination of bureaucracies – potential benefits at least partly forgone by the sort of means-tested approach that Morneau is hinting at.

Morneau doesn’t really mean “fiscally responsible.” He means politically palatable. With no plan to return to a balanced budget, the finance minister wants nothing to do with the inevitable initial costs of such a project, even if avoiding these means forgoing enormous long-term savings.
Increasingly, the Trudeau government is proving itself to be a massive disappointment to progressives in Canada who, unlike some, demand substance, not just the vapid photo-ops that are coming to define this government.

In Part 2, I will look at International Development Minister Marie-Claude Bibeau's plans to cut the private sector in for a piece of the foreign aid action.

Wednesday, February 28, 2018

Ezra Schemes And Dreams



I would say that Ezra Levant should be careful about the company he keeps, but I doubt that there is more that can bring down his reputation other than simply being Ezra.

The merchant of malice and division, repugnant to the morally sane, has launched a new scheme to keep his rapidly-sinking Rebel Media afloat, a suspect retirement savings fund.
After struggling through rocky times in 2017, Levant is apparently now looking to diversify Rebel Media’s revenue streams, teaming up with an Alberta-based wealth management firm to offer Levant’s aging viewers the opportunity to stash their nest eggs in an alt-right website.

“The fund is directed at investors seeking to save for retirement or in retirement that desire modest, regular, steady income,” reads an information sheet promoting the fund. The sheet also notes the Rebel Freedom Fund is a match made in heaven for those looking for “both a financial and ideologically based investment.”
For those of sufficiently-strong constitution, here is a promotional video for the fund, led by Dale Wells:


Interesting the company that Ezra keeps. Consider Mr. Wells himself.
On the firm’s website, Wells says “we don’t invest traditionally,” explaining the firm focuses on “one-on-one” investments like financing movies and mortgages instead of mutual funds because the markets are “manipulated” – “I don’t want to say corruption,” Wells cautions, even though “I might feel that.”

“There’s no standard of acceptable practices or accounting or anything that you could follow along anymore because it’s all manipulated,” he adds.
That Mr. Wells believes that there is "no standard of acceptable practices or accounting" is evidenced by his own checkered past.
According to Investment Industry Regulatory Organization of Canada records, Wells was disciplined by the regulators in 2011 for “business conduct unbecoming to the public interest” when he “acted in the role of an advisor without being registered as one.”

Specifically, the panel found that Mr. Wells committed a violation by entering into an arrangement to supply a financial services company with his own computer-generated research that recommended buy and sell opportunities related to mutual funds in return for a fee, and that this information was used regularly by that firm to make trades in an investment fund. In doing so, Mr. Wells acted as an advisor within the meaning of the Alberta Securities Act without being registered as such, contrary to IIROC Rule 29.1.

In its decision, the panel reviewed the requirements to be registered as an advisor under Alberta Securities law, and concluded "the evidence clearly established that the Respondent [Mr. Wells] held none of these qualifications."
As a consequence, Wells was levied a $25,000 fine and received
a three (3) year prohibition from conducting securities related business in any capacity while in the employ of, or associated with any Member of the MFDA, effective from August 1, 2014 to July 31, 2017.
Newly-freed from that ban, it appears that Wells may be up to his old habits, given his pairing up with that malevolent trickster Levant.

That the benighted might wish to risk some of their cash on this scheme is of no consequence or concern to me. What this episode does serve to illustrate, however, is the demographic that is being targeted, the same one, of course, that supports Levant's reactionary rants, mistruths, and distortions: the stupid, the gullible, and the sorely ill-educated.

It is almost enough to make this retired teacher despair at education's obvious failings.

Sunday, February 25, 2018

A Dying Cause

As a reasonably rational individual, I no longer look upon the ongoing cascade of gun massacres in the United States with either horror or sadness; the only real emotion I have left for that country is profound disgust. How else can it be viewed when it puts some mythically-infused Second Amendment rights above the safety and lives of its children?

Despite its hubristic clamour about being "the greatest country on earth," in my mind the U.S. is but an abjectly failed nation.

Even the latest tragedy, which saw 17 children and teachers murdered in Parkland, Florida, has left the NRA unbowed.
The head of the National Rifle Association, Wayne LaPierre, leveled a searing indictment on Thursday against liberal Democrats, the news media and political opportunists he said were joined together in a socialist plot to “eradicate all individual freedoms.”



Wayne LaPierre can rail all he wants about elites who don't care about American schools. What is important, however, is that finally, real pushback is being exercised. There is, of course, the valiant and passionate efforts of American students who are all too often the victims of NRA-induced gun madness. But add to that the fact that many national business are starting to take something of a stand, which I would call a good but modest start, against the NRA.

It began with a Twitter announcement by First National Bank of Omaha:
Customer feedback has caused us to review our relationship with the NRA. As a result, First National Bank of Omaha will not renew its contract with the National Rifle Association to issue the NRA Visa Card.
That was followed by
car rental company Enterprise (which also owns Alamo and National) announc[ing] they would no longer be offering discounts to NRA members.
The pressure and the momentum are building:


Subsequently, more companies have severed their ties with the merchants of death:
Both Allied Van Lines and North American Van Lines, moving companies operated by the same parent company, offered unspecified discounts for NRA members. On Friday, the parent company announced those benefits would be ending.
That has been followed by Insurer Chubb Ltd, Avis and Hertz car rentals and Symantec. As well, both Delta and United Airlines are ending their discounts to the annual gun-toters' convention. The Best Western hotel chain has done the same. I'm sure more will follow.

However, given the deeply-ingrained nature of American gun madness, it would be simplistic to think that success in bringing about even a modicum of sanity to gun laws is assured. Consider the NRA's reaction to this corporate hand-washing:
In a statement released Saturday afternoon, the group accused companies of “a shameful display of political and civic cowardice.”

“Let it be absolutely clear. The loss of a discount will neither scare nor distract one single NRA member from our mission to stand and defend the individual freedoms that have always made America the greatest nation in the world.”
Fanaticism has always been a force difficult to tame, let alone defeat. It will take more than passionate students and corporations that have recently grown a conscience. It will take the collective goodwill and rationality that I'm sure still resides in parts of the Unted States.

The question remains to be answered, however, is whether even all of these forces combined will be enough to defeat the powers of darkness epitomized by the National Rifle Association.

Saturday, February 24, 2018

Crowdsourcing, Anyone?



Like millions of people around the world, I have been deeply impressed and moved by the passionate conviction with which young people, spearheaded by the survivors of the horrific shootings in Parkland, Florida, are organizing and demonstrating to bring some sanity to the gun laws of the United States. Their biggest obstacle, of course, are the politicians bought and paid for by the NRA.

Today's Star has a flurry of letters about the national obsession that has resulted in far too many unnecessary deaths. To my mind, the best suggestion for remediation comes from Scott Heaslip, of Stouffville, who writes:
I have a suggestion for the young people concerned that their elected officials refuse to support effective gun control measures. They should crowd source a fund to hire a team of lawyers and private investigators to look into the backgrounds and business activities of those elected officials who are more interested in the continued support of the National Rifle Association than protecting the lives of their fellow citizens. These officials may then develop the backbone to do the right thing.
That is the kind of campaign many, many people, I'm certain, would be happy to get behind.

Thursday, February 22, 2018

Conspiracy, Anyone?



Probably because I am in possession of a reasonably well-functioning brain and had the benefit of a good education, conspiracy theories have never held any particular allure for me. You know the kind I mean, the ones about faked moon landings, undersea ufo bases, and the machinations of the Illuminati who are plotting to achieve a new world order, thereby subverting all that is good and holy.

Yet such enjoy great currency, thanks largely, I suspect, to the Internet.

Now, in the wake of the Parkland school shooting tragedy, the conspiracy machine has a new target: a survivor of the shooting who is turning out to be a passionate and eloquent spokesman for gun control, David Hogg. The Toronto Star reports the following:
The Marjory Stoneman Douglas High School students, David Hogg and Emma Gonzalez, are among those targeted by conspiracy theories about the Feb. 14 shooting that killed 17 people.

Similar hoaxes were spread online following other mass shootings, including the 2012 assault on Sandy Hook Elementary School in Connecticut.

In Florida, an aide to a state representative on Tuesday emailed a Tampa Bay Times reporter a screenshot of them being interviewed on CNN and said, “Both kids in the picture are not students here but actors that travel to various crisis [sic] when they happen.”
Broward County Schools Superintendent Robert Runcie called the remarks “outrageous and disrespectful.”
Runcie called such attacks “part of what’s wrong with the narrative in this country. If someone just has a different type of opinion, it seems that we want to somehow demonize them or colour them as being somehow illegitimate instead of listening. We’ll never get beyond that if, as soon as you show up, you’re demonized.”

You can learn more about this from this NBC report:



The other day, I posted about Russian infiltration of American social media, their goal being to sow division and discord. Seems to me that Americans need little outside help in that regard.

Tuesday, February 20, 2018

Time To Be Atwitter?

I couldn't help but think of this story concerning trolls spreading fake news about Black Panther-related violence when I saw this:



Do I detect a pattern developing?

Monday, February 19, 2018

Is Black Panther A Band Aid?



For the past several days, much media attention has been devoted to the film Black Panther, hailed by many as a break-through cinematic achievement featuring an all-Black cast and depicting a fictitious futuristic African nation, Wakanda, which never experienced the scourge of colonialism. That, plus a cast of powerful Black women who form the backbone of the nation. All of this has propelled the movie into stratospheric earnings and a 97% approval rating on Rotten Tomatoes.

All of the above is certainly noteworthy and impressive, and far be it for me to disparage such an accomplishment. I enjoy a solid diverting film as much as the next person, but I cannot help but wonder whether that very diversionary quality is something all should be concerned about. To follow my logic, I ask that you watch two brief news clips, one from an American and one from a Canadian source:






It is nice that high-profile people like Serena Williams and Octavia Spencer are providing the means for young Black people to see the film, and, as made clear in the second clip, little Julian now has a black superhero to look up to and inspire him. Indeed, in Canada a group in Calgary is fundraising to reserve an entire theatre of 350 seats, to take children, tweens and teens to the movie, which has been called historic, on Feb. 24.

The message, to me, is clear: Black people are hungry for role models, those who can inspire them in their own lives. As the one young fellow in the first clip says, "It's our time to shine."

All of which strikes me as both deeply sad and disturbing. Think about it for a moment: a fictional cinematic superhero is the basis upon which people are building their hopes for a more fulfilling life. While not wholly baseless (the employment and empowerment of black actors and a multitude of ancillary businesses), the truth is they are finding self-worth and meaning in something that doesn't exist, a cinematic chimera.

And, I would argue, that particular media hype and slant is making it easier to ignore the underlying issues that make Black lives so difficult, both in Canada and the United States.

Think, for example, of the systemic racism that makes it harder for Black people to find good, sustaining jobs than their white counterparts. Think, as well, of the culture of poverty and the ghettoization that have kept too many from mainstream society for far too long. Think of police checks, carding, etc. etc., all institutional barriers to equality and success.

And yet, the dark subtext of the media coverage of Black Panther seems to be that if young Black people can be inspired by a movie, by God, they will have the capability of picking themselves up by their bootstraps and making something of their lives. In other words, they are ultimately the authors of their own misfortunes.

Victim blaming, anyone?

The media response to movies like Black Panther, it seems to me, simply encourages old stereotypes about Black people and does nothing to address the need for systemic change, equality of opportunity and other measures that would make both the United States and Canada truly countries of opportunity for all.

Sunday, February 18, 2018

On Political Prostitution



As the spectacle of political prostitution plays out in the Ontario Progressive Conservative leadership race (Carbon tax? Absolutely not!) (New efficiencies - not new taxes!) Star letter writer Norah Downey of Midland appears to have taken the full measures of the candidates:
PC party sitting down to eat itself alive, Cohn, Feb. 16

After hearing the Progressive Conservative leadership candidates present their arguments indicating why he or she is best to lead their party into the next election — nicely summed up in Martin Regg Cohn’s column — I have a suggestion for the party.

Along with voting to choose a leader on March 10, party members should vote to change the official name of the party. “Progressive” needs to be dropped. It really is just the “Conservative” party, or perhaps the “Stuck in the Past Conservative” party — because things were so much better in the past when Mike Harris trimmed the fat by slashing welfare payments and freezing minimum wage.

It’s 2018, with challenges such as climate change, precarious employment, people unable to find affordable housing and daycare, a growing dependency on food banks and our youth often misinformed about sex learned from the internet and social media.

We need leaders who are prepared to tackle these problems for the betterment of our society. I fear none of these four dinosaurs are up to the challenge.

Friday, February 16, 2018

The Ugly American

I'll let the oleaginous Republican Senator Ted Cruz stand in for the rest of his ilk:


Thursday, February 15, 2018

Less Than Meets The Eye?



Given its recent rather dubious pursuits of lost tax revenue, I readily admit that I don't know what to make of the latest report that the CRA has actually begun to pursue monies lost to offshore tax havens.

Zach Dubinsky reports the following:
Canada Revenue Agency officers, backed up by police, raided locations in three provinces Wednesday as part of a criminal tax-evasion probe stemming from the Panama Papers, the agency said.

About 30 criminal investigators from the CRA executed three search warrants in the Toronto area, Calgary and West Vancouver, with assistance from the RCMP and the West Vancouver police, the CRA said in a statement online.
My first reaction, upon reading this, was that it was bloody-well about time. However, then I started wondering whether or not this was a move intended more for public consumption than fiscal rectitude in advance of the upcoming federal budget, full of sound and fury and perhaps signifying little.

Consider the evidence.
Last year, CRA assistant commissioner Ted Gallivan told the Star his priority was going after lawyers and accountants who orchestrated offshore tax evasion schemes for “dozens” of clients.

Last month, the Star reported that tax authorities around the world had recovered more than half a billion dollars in tax through their investigations into the Panama Papers.
By contrast, Canada has recovered nothing.

Additionally, in recent months, the CRA has had domestic targets in its sights, targets that in some cases seem like easy, even dishonorable, pickings.

The Guardian from Prince Edward Island reports that citizens, some among our most vulnerable, are feeling the tax man's wrath:
A 25-year-old Stratford woman struggling to pay off her student debt has been hit with a $15,000 tax bill by the Canada Revenue Agency over her tips.

Anita Casey is one of dozens of servers with the Murphy Hospitality Group who received letters three weeks ago saying they were being audited over their tips, retroactive two years.

“It’s pretty crazy that they’re coming after the poor young population who are in school and just trying to support themselves,’’ Casey told The Guardian.
Then there is the CRA operation targeting people's postal codes:
The Canada Revenue Agency's Postal Code Project is targeting the wealthiest neighbourhoods in all regions of the country, those with gold-plated postal codes, where auditors will pore through the tax filings of every well-heeled resident, address by address.

They're looking for undeclared wealth, signs that a taxpayer is actually richer than their income tax filings suggest.

"Comparing someone's lifestyle — cars, boats, houses — to their reported income helps us identify people who are non-compliant," said CRA spokesperson Zoltan Csepregi.
A well-publicized initiative, it has the whiff of class-warfare about it, one that will inevitably prompt some to look upon the wealthy with suspicion and disdain. And perhaps yet another effort at misdirection, given their singular absence of progress on bringing the offshore havens to account?

Our country is renowned for its "snow washing," a testiment to the ease with which money can be hidden and laundered thanks to Canada's laws facilitating shell companies. It will therefore take more than a well-publicized raid to convince me that the Trudeau government and the Canada Revenue Agency are serious about making corporate evaders pay their fair share.

As Fox Mulder would say, "I want to believe." However, I shall wait to see the money before I am convinced that serious changes are underway.

Wednesday, February 14, 2018

Ain't Love Grand?

A little something for you incurable romantics on this most 'sacred' of days.


H/t Theo Moudakis

Happy Valentine's Day!

Tuesday, February 13, 2018

A Parochial Post?

While I realize that a post about Ontario politics is likely of little interest to those living elsewhere, I believe what has happened in my province serves as a solid object lesson about the creeping privatization of public assets.

I have written in the past about Premier Kathleen Wynne's betrayal of the province. Upon winning a majority in the last election (after the holder of the balance of power, the NDP's Andrea Horwath, decided to go for the gold and triggered an unnecessary election), Wynne announced the sell-off of 60% of one of the province's crown jewels, Hydro One, despite the fact that it generated just under $1 billion in annual revenue. Her avowed purpose was to "broaden ownership" (how much broader can public ownership be?) and use revenues from the sale to finance transportation and other infrastructure projects.

Now, a report by the Financial Accountability Office (FAO) confirms the folly of that sale:



To sum up, as Rob Ferguson reports,
It would have been $1.8 billion cheaper for Premier Kathleen Wynne’s government to borrow money for transit and infrastructure projects than sell a 53-per-cent stake in Hydro One.
Even more distressing,
...the provincial treasury will lose $1.1 billion in dividends from Hydro One this year and an average of $264 million annually until the 2024-25 fiscal year.
So one has to ask, why didn't Wynne simply borrow the money for these infrastructure projects? My belief is that, despite some progressive policies, hers is essentially a neoliberal regime, committed to the notion that government should play only a supporting role so that the depredations of the corporate agenda can prevail. That, and, as New Democrat MPP Peter Tabuns observed,
“It was all about making the books look good [i.e., a balanced budget] for the election".
What can the rest of Canada learn from this debacle? If nothing else, it teaches all of us to remain vigilant about our public assets, and to keep a steady eye, for example, on the Trudeau government, which is currently studying privatization of our major airports.

In the latter case, my prediction is we will hear nothing more about it until after the next federal election. Should the Liberals secure another majority, be ready for the next round of corporate nest-feathering at the expense of our federal treasures.

Monday, February 12, 2018

For Canadian Banks, It Is Never Enough

It is not enough that banks are making record, some would say obscene, profits. Nor is the fact that the banks' regulatory body, the Financial Consumer Agency of Canada, has not conducted an unannounced audit since 2005. No, it would seem that these institutions want as much as they can extract, even from those customers who fall victim to banking errors and incompetence.

The thinking person must ask, "Why are they being given virtual carte blanche by our government?"



Saturday, February 10, 2018

Tiger Williams' Disgrace

Let me be clear. I have not been a fan of hockey since I was a boy, when only six teams constituted the NHL. However, I am struck by the disparity in details between a newspaper and a television news report surrounding the conduct and arrest of former Leaf enforcer Tiger Williams for incidents that occurred on a military flight to Latvia, a flight intended to boost the morale of Canadian troops overseas.

Here is how the Toronto Star reports it:
Former NHL player Dave “Tiger” Williams has been charged with sexual assault and assault following incidents on-board a Canadian military flight as he headed overseas for a morale-boosting visit with deployed troops.

“The charges related to reported incidents during a Canadian Armed Forces flight to Latvia,” said navy Lt. Blake Patterson, spokesperson for Canadian Forces Provost Marshal and military police.

“The accused was a passenger . . . the victim reported the assault during the flight,” he said Friday in an interview.

Williams could not be reached for comment. However, his lawyer, Michael Lacy, issued a statement urging people to hold off judgment.

“I understand from the police it is alleged that Tiger inappropriately touched the complainant over clothing on the buttocks,” Lacy said. “Tiger denies any wrongdoing and is confident he will be vindicated.”

...one official told the Star he believed the hockey player remained on the tour and was not sent home [emphasis mine].
Now here is the unsanitized version of the event, as reported by Global News. You need only watch about the first 52 seconds to learn of two crucial details omitted from the Star report, details of Williams' behaviour that can only be described as shameful and disgraceful:



For me, the stories are significant for two reasons:

First, the disparity between the two underscores the importance of getting our news from a variety of sources for a fuller picture of events.

Second, if Williams' conduct was as egregiously inappropriate as the Global News report suggests, why did the military not take immediate action against him, rather than letting him continue his participation in the tour?

Or is all of the military's recent talk about 'zero tolerance' for sexual harassment and assault merely PR and essentially meaningless?

Friday, February 9, 2018

Who Do You Trust?



When it comes to a choice between believing a government with a vested interest in protecting a $15 billion arms deal with Saudi Arabia and independent reports that those armaments are being used against domestic populations, I tend to side with the later.

Consider the evidence.

The Saudi Arabian National Guard, a buyer of Canadian-made light armoured vehicles, posted this photo on Twitter in November, 2015. It shows combat vehicles being moved to Najran, a Saudi town near the border with Yemen.

Two years ago, the following was reported in the Globe and Mail:
Canadian-made armoured vehicles appear to be embroiled in Saudi Arabia's war against Yemeni-based Houthi rebels – caught up in cross-border hostilities that critics say should force Ottawa to reconsider a $15-billion deal to sell Riyadh more of these weapons.

The Saudi-led coalition fighting the Houthis – who are aligned with Iran – has already been accused by a United Nations panel of major human-rights violations for what its report called "widespread and systematic" air-strike attacks on civilian targets. Along the Saudi-Yemen border, constant skirmishes pit Houthi fighters against Saudi ground forces such as the Saudi Arabian National Guard.

...a retired Canadian general consulted by The Globe and Mail, who spoke on condition of anonymity, identified the LAVs being transported to Najran as fighting vehicles made by General Dynamics Land Systems. Stephen Priestley, a researcher with the Canadian American Strategic Review, a think tank that tracks defence spending, also identified the LAVs as Canadian-made.

Critics say having Canadian-made arms enmeshed in a conflict that has claimed more than 2,800 civilian lives should prompt Ottawa to rethink the recent $15-billion deal to sell hundreds or thousands more to the Saudis.
And last summer, a video emerged appearing
to show for the first time Canadian-made light armoured vehicles being deployed by Saudi security forces in an operation against militants in the Shia-populated eastern part of the kingdom.

Add to the above the fact that Saudi Arabia is a notorious abuser of human rights, so much so that a group of British lawyers has launched a campaign to remove the country from the UN's Human Rights Council.

None of this, however, has forked any lightning with the Trudeau government. The Toronto Star reports that an investigation by the Canadian government has concluded that there is "no conclusive evidence" that the above is true, and so the arms deal will continue.
Foreign Affairs Minister Chrystia Freeland told a Commons committee Thursday the “independent objective opinion” of her departmental officials [can there truly be independence in a government department?] did not determine that was the case. When the NDP asked for the report to be publicly released, the minister deferred to her department.
As frequently happens with Mr. Trudeau's regime, while they continue to give Saudi Arabia carte blanche in its abuses, they are vowing to toughen up the export permit process.
Governments should be required to deny permits where there is a “substantial risk” that an export on Canada’s control list “could be used to commit human rights violations,” Freeland said.

Freeland said the Liberal government will accept amendments to enshrine such an obligation in law, via a bill now before Parliament to allow Canada to accede to the international Arms Trade Treaty. At the same time, she said, pre-existing contracts would be honoured, meaning the Saudi contract would not be subject to review under new criteria.
That kind of fancy footwork may provide a measure of political cover for a government aiding and abetting the Saudis. However, one can't help but wonder how reassuring it will be to those domestic populations who will continue to be abused by the Saudis and quite possibly fall victim to the Light Armoured Vehicles that Canada will continue to ship to the repressive nation.

Monday, February 5, 2018

Will It Be Vision Or Political Expedience?



In yesterday's post, I wondered whether Jagmeet Singh and the NDP will embrace a form of radical progressivism as it prepares for the 2019 federal election or instead hew to more mainstream policies that they think will make them more electable. In today's Star, two letter-writers offer some important perspective.

Rose DeShaw, of Kingston, Ont., reminds us of a time when the thirst for power was secondary to New Democrats' agenda:
American politics has changed Canadian politics. What we need is not a populist wave or to win big but to build a solid, basic set of public values that express a new and deep intention to reverse the trend of inequality in society by establishing policies of support for all women, men and children in their lives.

The important thing for the NDP is to once again become the conscience of the Canadian government. The old CCF/NDP was concerned with pressing government to improve the lives of Canadians, not by winning elections but by changing the policies of the larger parties to bring in the baby bonus, a national health act, pensions and social insurance, to name a few.
Ken Sisler, of Newmarket, Ont. reminds us of the the failure of our governments thus far, and the vital need for progressive politics:
Yes, it is time for a Bernie-Sanders-style, left-wing populist movement in Canada. The system has failed poor people and working-class people. We need universal pharmacare, dental care, child care, vision care and a $15 national minimum wage. These are not radical ideas. Many countries already have these programs.
We await with bated breath to see what road leader Jagmeet Singh chooses.

Sunday, February 4, 2018

A Leap Of Faith?

Thus far, I have been singularly underwhelmed by the performance of federal NDP leader Jagmeet Singh. First, although a well-established Ontario MPP and deputy leader of the provincial party, he showed an unseemly timidity in refusing to seek a federal byelection seat when he had the opportunity. That decision has obviously kept him out of the House, ensuring that he is a largely unknown commodity to both the country and, to an extent, his own caucus.

I also take exception to the way he cheapened his engagement to Gurkiran Kaur by inviting a photographer from The Canadian Press and a reporter from Toronto Life to document his proposal.

Finally, there was his rush to judgement in suspending NDP MP Erin Weir from the caucus without even knowing anything about the harassment allegations against him. I guess he wanted to show he is no slouch in the #MeToo movement.

But I am willing to cut Singh some slack if he proves not to be just an opportunistic politician angling to become Justin Trudeau 2.0 The definitive test will be how he reacts to a movement that has gathered impressive momentum in both the U.S. and Great Britain: radical progressivism.

Susan Delacourt writes :
For the past two years, the Leap Manifesto has been a disruptive force within New Democratic Party politics. Now, on the eve of the federal NDP convention this month, top organizers for U.S. Democratic Sen. Bernie Sanders and British Labour Leader Jeremy Corbyn are coming to town to lend the Leap movement support.

That leftist movement — led by prominent Canadian activists Naomi Klein and Avi Lewis — will stir things up whether the current NDP leader, Jagmeet Singh, likes it or not.
Supporters of Bernie Saunders in the U.S. and Jeremy Corby in the U.K, along with those from the Momentum U.K. movement believe they have common cause with The Leap Manifesto, in which Naomi Klein and Avi Lewis played pivotal roles.
The Leap Manifesto is a declaration, fewer than 1,500 words in total, calling for some sweeping policies to deal with global problems such as climate change, and income inequality. Among the recommendations are an end to all pipelines and international trade deals, as well as calls for national child care program and studies into a basic, guaranteed income.
Given the popularity of Saunders and Corbyn in their respective countries, the disastrous election of Donald Trump, and the disappointing refusal of Justin Trudeau to keep his promises, organizers are convinced the time is propitious to harness a populist left agenda. Says Sanders adviser Becky Bond:
“It really wasn’t about Bernie,” she says. “It really was about a movement of people that are really ready for big change and being able to tap into all of those people and work together to make the change, whether the politicians have it on the agenda or not.”

The ideas linking Leap, Momentum and the Sanders campaign are large ones: fighting climate change, the power of banks and corporations and income inequality.

“When I was handed the Leap Manifesto I saw that this was also happening in Canada . . . a movement of people organizing themselves, not behind a politician, but behind a set of ideas that we could fight for,” said Bond.
Such radical ideas have not found a happy home within the NDP power structure. The question we are therefore left to ponder is this: Will Jagmeet Singh rise to the occasion as the new leader and embrace this momentum, or will he, like Justin Trudeau 1.0, prove to be yet another politician bent only on securing and maintaining power?

Friday, February 2, 2018

Seeking Some Substance - Part 2



In Part 1, I tried to establish that there is a gross discrepancy between the rhetoric and the reality of Justin Trudeau's promise to makie sure corporations pay their fair share. Indeed, if truth be told, his government has done little or nothing to alter the CRA ethos, imposed during the Harper era, to give the corporate world an easy taxation ride. For example, as outlined in the previous post, where other countries are recovering significant sums previously lost to offshore tax evasion and avoidance, Canada has thus far recovered nothing.

The CRA, it appears, would rather indulge in some domestic spying than go after the real evaders:
The Canada Revenue Agency's Postal Code Project is targeting the wealthiest neighbourhoods in all regions of the country, those with gold-plated postal codes, where auditors will pore through the tax filings of every well-heeled resident, address by address.

They're looking for undeclared wealth, signs that a taxpayer is actually richer than their income tax filings suggest.

"Comparing someone's lifestyle — cars, boats, houses — to their reported income helps us identify people who are non-compliant," said CRA spokesperson Zoltan Csepregi.
Class warfare, anyone? Or how about a little misdirection to distract people from the real villains of the piece, the corporations?

In fact, the CRA is really not making any effort to conceal their true motives:
"The Postal Code Project also has the potential to demonstrate to the public that the CRA is actively working towards its fairness objective, which speaks to our integrity as an organization."
While not opposed to this measure, Diana Gibson of the Ottawa-based Canadians for Tax Fairness
said it deals with only a small part of the problem.

"It's a good step. It's a small step," arguing that Canada's big corporations are responsible for about two-thirds of the country's tax avoidance problems.

"We applaud it, even if it's small," she said. "It's nowhere near adequate."
While this government-approved misdirection is taking place,(and one would be exceedingly naive to believe the CRA acts independent of government direction) a new report by The Tax Justice Network shows that Canada is, effectively, one of the world’s more attractive “onshore tax havens.”

Every two years, the Network releases its Financial Secrecy Index, which shows how much
a country’s legal system facilitates global financial crimes such as money laundering and tax evasion.

Canada is No. 21 on the list, slightly higher than its 2016 ranking at No. 23. The higher the ranking, the more financially secret a country is.

“It’s a bad exam grade on the state of the country’s financial secrecy laws,” said Arthur Cockfield, a tax law scholar and policy consultant at Queen’s University. “It means that if you’re a crook or a super rich person who wants privacy, then you can use our corporate laws to hide the identity of the ultimate owner of the shares (of your company).”
You can read the details at the above link, but Cockfield draws a damning conclusion:
“The hypocrisy is that Canada is part of the OECD, forcing countries like the Bahamas, like Panama, to change,” Cockfield said. “We use our power to make them change their laws, but that just makes Canada (a) more attractive place for these crooks. We won’t change our laws.”
So, to repeat the question posed in Part 1 of this post, "What is to be done?"

There are some obvious answers, like closing the loopholes that allow this corporate cheating to take place. That is exactly what a strange alliance between the NDP and the Conservatives (politics does indeed make for strange bedfellows) is calling for:
“The system is designed for multinationals and big companies to avoid tax,” said NDP tax critic Pierre-Luc Dusseault in an interview. “The system is the problem.”
And that worm, Conservative finance critic Pierre Poilievre, chimed in:
“Those who have the financial means to set up complex arrangements are always better off under regimes that are highly complex.”

“The smaller, leaner entrepreneurial businesses can’t afford to have large legal and tax accounting departments that allow them to game the system. So they are automatically at an unfair and unjustified disadvantage,”
Do not forget that we are talking about some very, very significant lost tax revenue that the individual has to make up:
In 2016, Ottawa collected $3.50 in income tax from individuals for every $1 it collected from businesses.

The Star/Corporate Knights investigation revealed that Canada’s 102 largest corporations collectively avoided $62.9 billion in income taxes over the past six years. On average, that’s $10.5 billion less per year than if they paid the official corporate tax rate.

It’s also an average of $100 million missing from the public purse per company, per year.
The message about tax cheating is filtering down to the average citizen as well, with
more than 27,000 Canadians [having signed] a petition calling on the government to raise corporate taxes and close tax loopholes.

The petition also asks the government to consider imposing a special levy on banks, which are the country’s biggest tax avoiders.

While the Big Five banks are collecting record profits, their income tax rates have dropped to the point where companies in the banking sector paid 1/3 the rate of other large Canadian companies in 2015.

At 16 per cent, the tax rate paid by the biggest Canadian banks is the lowest in the G7.
Canada is hardly a passive victim of tax avoidance and evasion. It is clearly a facilitator. If Justin Trudeau's speech in Davos about the need for corporations to pay their fair share is to be seen as anything more than his usual pious pontifications, it is long past due that he finally prove that he is no longer interested in giving these entities the free ride they have thus far enjoyed.


Thursday, February 1, 2018

A Primer On Trump's Mendacity

You probably don't need this, but it is an incisive analysis of the multitude of lies that permeated Trump's State of the Union Address.

Wednesday, January 31, 2018

Seeking Some Substance - Part 1



In yesterday's Star, Christopher Hume had occasion to call Prime Minister Trudeau the princeling practitioner of the politics of appearance. In light of an alarming shortfall in revenues that is crippling our services thanks to the government's anemic corporate tax policies, that struck me as a particularly apt description.

Indeed, that element of his persona was very much on display for the world to see last week at Davos, where Mr. Trudeau had some stirring words :
"Too many corporations have put the pursuit of profit before the well-being of their workers … but that approach won't cut it any more," Mr. Trudeau told the elite gathering at the chic ski resort of Davos. "We are in a new age of doing business – you need to give back."
Apparently, however, that sternness of tone seemed more designed for public consumption than real-world application. If that is not the case, one has to wonder why Canada appears to be very soft in the corporate taxation department:
In a joint investigation with Corporate Knights magazine, the Star last month revealed the government has never collected a lower proportion of its taxes from corporations than it does now.

In 2016, Ottawa collected $3.50 in income tax from individuals for every $1 it collected from businesses.
The foregone tax revenue is significant:
The Star/Corporate Knights investigation revealed that Canada’s 102 largest corporations collectively avoided $62.9 billion in income taxes over the past six years. On average, that’s $10.5 billion less per year than if they paid the official corporate tax rate.

It’s also an average of $100 million missing from the public purse per company, per year.
So what is to be done about it?

Well, first off, they can start by emulating other countries that have thus far recovered $500 million in unpaid taxes thanks to revelations from the Panama Papers.
The Panama Papers have proved a treasure trove for some countries, with Spain recovering the most unpaid tax so far. Its national revenue agency announced in November a $156-million windfall from taxpayers with hidden funds. Most of that — $128.4 million — came from voluntary disclosures, where the taxpayers came forward themselves following the leak to declare previously unreported income.

The Australian Tax Office said last month it has collected $49 million thus far as a result of the Panama Papers revelations. Australian tax officials snapped to action following the leak, executing 18 search warrants in just a one-week span in September 2016, at one point seizing 170 kilograms of silver bullion and coins.

Even Ecuador, which historically has had problems collecting tax from its citizens, says it has recouped $82.6 million.
Perhaps, not surprisingly, Canada has recovered nothing:
The Canada Revenue Agency maintains it will be at least another 2½ years before it will have an idea of how much it might recoup.

The stark contrast is fuelling criticism of the CRA's effectiveness at catching offshore tax cheats, and comes in the wake of a CBC investigation last month that found few, if any, of the criminal convictions the agency cites in defence of its record actually have anything to do with offshore tax evasion.
In fact, that investigation revealed that small businesses are the most likely targets of CRA wrath:
... Canadians convicted of tax evasion over the past two years are far more likely to be tax protesters or small business people who failed to declare all of their income.
And to make their statistics look better than they are, the CRA
counted each article of the law as a separate conviction.

For example, in the case of New Brunswick-based George's Heating and Plumbing, the agency counted two charges against the business as separate convictions, in addition to the convictions of five employees for having treated personal expenses as business expenses. While they were all part of the same case with the same court file number, on the CRA's list they counted as seven of the 78 convictions.
There is every reason to believe that the hands-off approach to corporate malfeasance, perfected during the Harper years and instilled as an operating ethos in the CRA, is alive and well; the current government apparently has no intention of changing that.

More evidence of this mindset, as well as the ongoing offshore tax evasion being widely practised by Canadian corporations, and what can be done about it, will be addressed in Part 2 of this post.

Tuesday, January 30, 2018

UPDATED: Infrastructure Crisis

While I think it is widely known here that Canada has a massive infrastructure deficit to the tune of $123 billion, people are perhaps less aware of the dire situation in the United States, where over 54,000 bridges are literally crumbling.

Why is this newsworthy? Well, in addition to the very real daily risk of injury or death, the American problem also offers a massive opportunity for the notorious public-private partnerships that, while lining the pockets of investors, rarely accrues to the benefit of the tax-paying public.

First take a look at this news report:



A dire situation, no doubt, but one which the Trump administration apparently sees as rife with opportunity:
As President Donald Trump delivers his first State of the Union address Tuesday, pay close attention to his next big priority—an infrastructure plan—which, over time, could eclipse the trillion-dollar giveaway to the rich in the GOP’s just-passed tax plan.

“[The GOP-passed] tax cuts have slowly opened the door to Wall Street, construction giants, and global water companies, who see enormous potential for profits,” wrote Donald Cohen, president of In the Public Interest, an anti-privatization advocacy group. “Some states and local governments have turned to expensive private financing, a.k.a., ‘public-private partnerships,’ and learned the hard way. Private financing often means higher tolls, parking rates, or water fees, lower labor standards, and less public control over decision-making once a project is up and running.”
Informed sources suggest that the Trump will reduce infrastructure budgeting:
... the plan will all but force states and local governments to privatize or even sell off infrastructure. Tax cuts have slowly opened the door to Wall Street, construction giants, and global water companies, who see enormous potential for profits. Some states and local governments have turned to expensive private financing, a.k.a., “public-private partnerships,” and learned the hard way. Private financing often means higher tolls, parking rates, or water fees, lower labor standards, and less public control over decision-making once a project is up and running.
And of course there is no guarantee that any of the private money will be directed toward the crumbling bridges where, unless tolls are imposed, profits would be hard to come by. Schools, water infrastructure and roads offer much greater opportunity.

Lest Canadians feel smug, remember the study that has been commissioned by the Trudeau government into privatization of our major airports.

The virus of neoliberalism is resilient and continues to spread. Unfortunately, there appears no vaccine on the horizon to rid it from our political systems.

UPDATE: The Washington Post has a penetrating analysis of the scam about to be perpetrated by Trump. Here is a brief excerpt:
Let’s be clear on what this kind of public-private partnership isn’t. In normal circumstances, the government decides it needs a new bridge, so it hires Joe’s Construction to build it. But the bridge still belongs to the government; we just have to pay maintenance costs. In the kind of “partnership” the Trump administration wants more of, the government decides it needs a new bridge, so it gives PriveCo Equity Partners a gigantic tax incentive to build the bridge, which the company now owns — and which will charge tolls on in perpetuity. Taxpayers could shell out nearly as much in tax incentives to the private company as we would have spent to just build the bridge, and then on top of that you’ll have to pay tolls to cross it — forever.

Monday, January 29, 2018

Robert Reich On The Universal Basic Income

More and more jobs are fated to disappear, thanks to monoliths like Amazon squeezing out other retail, thanks to autonomous vehicles close to becoming part of the mainstream, and for a host of other reasons. Economist Robert Reich offers a partial answer to those losses, one that I doubt will ever be implemented in the United States: