For Some Insight Into The Corporate Mentality

...you might want to watch this:

An Insane Country, Or An Insane Government?

Albert Einstein famously defined insanity as doing the same thing over and over again and expecting different results. By that standard, we can perhaps infer that Canada is insane.

As we are reminded in a very interesting column by Thomas Walkom in this morning's Star, Canada has a long history of staking its economic well-being on the export of its resources. Citing political economist Harold Innis,

... Canada’s history was dominated by natural resource exports, which he called staples. That Canada has exported raw materials is hardly novel. What Innis grasped, however, was that these staple exports created a pattern of development, both political and economic, that over time was hard to escape. To use the language of one of his students, the Canada that Innis described kept enmeshing itself in a “staple trap.”

Whether the resource was wood or beaver pelts, the government would spend substantial sums building up the infrastructure to cultivate its exports, only, of course, to have any given staple ultimately fall out of favour. The same thing is happening today with our almost total dependency on the tarsands as the country's economic driver, to the exclusion of any real diversification or environmental oversight.

Walkom calls attention to a new study called The Bitumen Cliff which observes that our dirty oil requires vast quantities of money... not just to extract...but to transport it by rail, pipeline or ship.

There are other causalities of this insanity as well:

Again, other economic activities are given short shrift. In this case, the high dollar created by Canada’s soaring oil exports has eaten into the ability of manufacturers to compete abroad.

And again, the political system wraps itself around the staple, with Ottawa’s Conservative government gutting environmental laws for fear that they might interfere with pipelines and resource extraction. (For an example of the latter, take a look at this story about how the pipeline industry essentially dictated the changes to Navigable Waters Protection Act included in last year's omnibus bill which will result in far less protection than existed beforehand, all in the name of pipeline expediency.)

The folly of this approach is that, like our staples of the past, our oil will fall out of favour:

Suddenly, the politics of climate change have made Alberta’s carbon-emitting bitumen less welcome in the United States. More to the point, technological changes that favour the production of cheaper shale oil and gas, are transforming the U.S. from an energy pauper into one of the world’s big petroleum players.

To put it another way, Canada’s biggest export market no longer needs the tarsands quite as much as it did.

So the damage will have been done, and all we will be left with is a fractured economy and environmental despoliation, only to await the cycle to begin all over again.

Come to think of it, perhaps it is not our country that is insane, only our political 'visionaries'. Yet one more aspect of what will be Stephen Harper's sad and dishonourable legacy.

Fathoming The Reactionary Mind

I readily admit that I find it difficult, if not impossible, to fathom the extreme right-wing mind. To me, it is a mind mired in a world of fantasy, willful ignorance, and intractable denial. Magical thinking seems to be a substitute for cogitation. Name-calling in lieu of discussion. Denunciation instead of deliberation. And I would be quite content to leave such minds alone, content as they are in delusions of grandeur and superiority, except for the fact that they bother and disrupt the business of the adults in society.

The above, I'm afraid, is an all too apt description of the leader of the Ontario Progressive Conservative Party, young Tim Hudak.

Yesterday, Kathleen Wynne brought down her throne speech in the Ontario legislature. As reported in the Globe, with nods to both the NDP and the Conservatives, the speech trod a fine line between fiscal responsibility and social spending in its effort to garner support from both parties.

Despite the reasonable and conciliatory tone of the speech, young Hudak, as is his wont, immediately rejected any possibility of support. The Star's Martin Regg Cohn notes the following:

Tory Leader Tim Hudak followed Wynne at the microphone to say his party would vote against the speech, instantly marginalizing himself just as he did last year for the Liberal budget (allowing the New Democrats to dictate the agenda).

He went on to reject any possibility of countenancing road tolls or congestion fees to address the problem of gridlock in the GTA until government waste [is] first eliminated. As Cohn tartly observes: Hmmm. Now there’s a Tory inaction plan: foster more political gridlock so that traffic gridlock festers for another generation.

I have no idea whether Kathleen Wynne has either the capacity or the political capital to reverse the significant damage done by her predecessor. I do know, however, that for Hudak to reject out of hand even the possibility of working collaboratively for a time, insisting instead on an imminent election, is the mark of an untutored and immature mind, wholly consistent with the extreme right-wing mentality described at the start of this post.

Perhaps He Should Try Thinking Before Speaking?

Last week I wrote a post on two inane ideas uttered by young Tim Hudak, the hapless leader of Ontario's Progressive Conservative Party. He proposed tying post-secondary funding to rates of employment upon graduation, along with the idea that only those who achieve a certain mark shuld be elegible for student financial assistance.

Two letters in today's Star help to put his 'ideas' into the perspective they deserve:

Re: Hudak cracks whip on students, Feb. 13

Once again, Tim Hudak is turning into the greatest boon for the Ontario Liberals. His policy paper on post-secondary education will benefit absolutely no one and will negatively affect students who are in most need of financial aid.

I was once an undergraduate student and needed OSAP to fund my education. I was also working two jobs to provide for other expenses during the school year. In the process, my academic performance wasn’t the greatest, but the learning experience was unparalleled. I eventually earned two degrees from my alma mater, worked for a few years and went back to school to get a graduate degree on scholarship.

If Hudak had his way, people like me would never get a degree. His proposal is also redundant as there are already scholarships, grants, bursaries and loan-forgiveness tied to various prerequisites including academic performance.

During the 2011 provincial elections, the Hudak PCs managed to fumble a double digit lead over the Liberals. It doesn’t look like they have learnt their lesson.

Aditya Iyer, Ottawa

Let’s grade Tim Hudak’s efforts with this plan: as a retired college professor and dean, I’m aware, as are thousands of students, of the continuing efforts to link college and university programs.

A three-year degree? Reminds me of an old joke where a conservative emperor standing on his balcony proclaims to this constituents, “Everyone in my kingdom shall be educated. To that end I give each of you a degree.”

What is missing here is a little item called relevant curriculum.

I’m certainly interested in Mr. Hudak’s thinking about how his plan addresses the TBSB survey about student stress and anxiety about the future. But let’s find the kernel of wisdom in this proposal: what about grading the quality of political ideas to the money we pay our politicians? A six-month trial on that one could well erase the provincial debt.

Don Graves, Burlington

My mother always taught me to think before I spoke. Apparently Tim Hudak did not have the benefit of such maternal counsel.

On Corporate Propaganda and Tax Avoidance

It is the fashion among our corporate overlords and their rabid right-wing courtesans to utter a trite phrase that, because it is repeated so frequently, is taken as truth by many: We don't have a revenue problem, we have a spending problem. Like the magician who relies upon misdirection to perform the seemingly miraculous, the corporate cabal purports to prove, through both its rhetoric and 'studies' done by its think tanks (think The Fraser Institute in Canada, The Cato Institute in the U.S. as examples), that taxes are 'job killers' and that the key to robust economies and solid employment numbers is low taxation.

Of course, the falsity of such assertions has been amply demonstrated, most recently by Bank of Canada Governor Mark Carney, who has weighed in on more than one occasion about the abysmal rate of business investment in new machinery and equipment — considered vital to boosting growth, creating jobs and making the economy perform more efficiently. This sad state despite the fact that Canada has one of the lowest corporate tax regimes in the world.

While there will always be the true believers who subscribe to the myth of the efficacy of marketplace discipline and an ultra-low tax regime, I suspect more and more are starting to realize that the corporate agenda has nothing to do with the betterment of society or the support of democracy, and everything to do with its own self-aggrandizement. As reported last week in The Toronto Star, The OECD (Organization for Economic Cooperation and Development), consisting of 34 countries, issued a report condemning the practice of corporation, including giants such as Google, who are shifting profits to places where they pay little or no tax, places such as the Cayman Islands, Bermuda, and Barbados.

As the report points out, not only is this costing the countries in which these corporations do business billions of dollars in lost revenue, it is also encouraging a perception that the domestic and international rules on the taxation of cross-border profits are now broken and that taxes are only paid by the naive, and if nothing is done about the situation ordinary taxpayers might refuse to pay their share of taxes on the grounds that the system is unfair.

So there you have it: corporations with a patent disdain for the countries who make their businesses both possible and viable, without conscience or concern for the massive damage their schemes do to the social and economic fabric of those countries, beholden only to their own bottom lines and their shareholders.

If such misbehaviour is not an indictment of unfettered capitalism, then I don't know what is.

The Synchronous Decline of Peter Mansbridge and The CBC

I admit that I stopped being a regular viewer of the CBC years ago; I think the catalyst for my disaffection was its transparent policy of appeasement (under the pretext of balanced reporting) of the Harper regime which, of course, holds its funding strings. Especially evident in its flagship news program, The National, hosted by that one-time icon of journalistic integrity, Peter Mansbridge, the Corporation has become a parody of itself. And as I have written in past posts, Mansbridge himself has to take the bulk of the blame for its sad decline.

On February 8, The Star's Rick Salutin wrote a piece entitled CBC’s Peter Mansbridge coulda bin a contender. Somewhat dirgelike in tone, Salutin asserts that Mansbridge just seems to have given up on doing any substantive journalism, contrasting him with the redoubtable Walter Cronkite, who he describes as ... ready to stand up against the state and the flow and was solid as the bronze statue of the American revolutionary minuteman who stood “by the rude bridge that spanned the flood/ His flag to April’s breeze unfurled.”

Mansbridge, on the other hand, has happily gone with the flow — and the pressure. CBC has become numero uno for crime stories, weather coverage (today’s snow), product launches, celebrities and awards gossip. None of this is new, or news, and CBC itself doesn’t contest the point.

In this morning's Star, the majority of readers appear to agree with Salutin's assessment. I am taking the liberty of reproducing some of them below:

Leave Mansbridge alone. After his last interview with Stephen Harper, it seems obvious he’s angling for a Senate appointment a la Mike Duffy. Calling attention to his soft-shoe journalism will only make his task that much harder.

Mike Sampat, Toronto

I watch CBC’s The National mostly for entertainment. For real news I watch Aljazeera English and BBC World.

Entertainment, news.

Raja Khouri, Toronto

.... How can one explain that in every half-hour broadcast the “weather person” comes on three times. I suppose it is easier to kill time having the weather person on than to go out an find some news. If we want to dwell on weather there is always the Weather Channel. We can surely do better.

Bob Joakim, Oakville

.... Yes, he is rather apolitical and borderline fawning at times, such as his interview with Stephen Harper before the last federal election, but I can forgive him for that. At least he hasn’t pulled a Mike Duffy and obtained a sinecure in the seniors club we call the Senate. He could have gone to New York a few years ago, but decided to stay, to his and our benefit.

Sigmund Roseth, Mississauga

Expect nothing to change in the near future.

Because

... I just couldn't resist reposting this morning's Star editorial cartoon.