Corporate bailouts or a long-term post-COVID strategy?
Canada needs to look beyond the immediate crisis to identify the key building blocks of a new economy on a sector by sector basis.
Andrew Jackson is senior policy adviser at the Broadbent Institute, and the author of The Fire and the Ashes: Rekindling Democratic Socialism, available from BTL Books.
Canada needs to look beyond the immediate crisis to identify the key building blocks of a new economy on a sector by sector basis.
There should be no fiscal restraints on the needed response to the pandemic crisis, and we need to also ensure that we avoid another round of austerity when the economy recovers.
We must come to terms with the crisis before the crisis— the steady rise in very insecure and low paid work which leaves far too many individuals and families one pay cheque away from disaster.
Falling effective rates of tax on corporate profits have greatly undercut government revenues, with no overall economic gain.
The real fiscal choice in the election is between tax cuts which deliver small benefits to many, or ambitious investments in public services which deliver a much bigger and fairer bang for the fiscal buck.
A Green New Deal in Canada will be a much more powerful tool for good job creation if twinned to an industrial strategy. But this will require a government prepared to push the limits and challenge the current rules of the game.
The problem with this narrative that elections are won by appealing to the mushy centre is that it fails to come to grips with the electoral appeal of Donald Trump and other right-wing populist.
The global economy has to be seen, not so much as a set of discrete national economies trading with each other, but as a vast “macro financial” web of corporate balance sheets and financial flows.
We should be very careful to recognize that poverty has many dimensions that can only be understood through multiple indicators, and that political commitments must extend to resources and not just targets.