Tuesday, January 13, 2009

CTF Rings the Alarm Bell

As the Conservative government madly rushes to jump into a sea of red ink, only one group is trying to hold it back.

I am talking about the Canadian Taxpayers Federation.

In an excellent column in today's National Post, CTF spokesman Kevin Gaudet explains why racking up massive deficits is a bad, bad, idea.

As Gaudet writes:
While Mr. Harper and Mr. Flaherty prepare the budget, it is clear the voices of today are gaining their attention; many of whom want the government to continue its high-spending ways. However, the government would be wise to listen to the voices of the past and future. Those of the past know the harm caused by systemic government deficits. Those of the future surely don't want to pay for yesterday's and today's financial imprudence. The Harper government should proceed down its current path with extreme caution.

By the way, while the CTF is busy standing up for fiscal sanity, another conservative group, which shall go nameless, has yet to utter a single word protesting the impending government spending splurge.

I wonder why?


Anonymous said...

The government is now committed to the deficit by our political system. The opposition has threatened to bring them down unless something is done. Ironically it will not help the economy as the government will be competing to borrow the same dollars that many businesses now so desperately need driving up their costs with predictable results for some. Politics has never been about reality it is always about perception. The public has bought the story of the need for stimulus and that is what they will get.

Anonymous said...

Yes, it's sad to see what has become of the NCC. They have withered away and become completely irrelevant.

I guess that's the price you pay for abandoning ideological principle for partisan pandering.


Anonymous said...

Agree with anon. 9:39 re: the public buying in to the need for stimulus.

Don't forget that whatever deficit we end up with in the end is the ransom paid to the Coalition for it's hijacking of Parliament.

This is their budget. They must wear it.

DanT said...

The Government will not be competing with the private sector for credit - the will simply print more money like the US is currently doing.

They are two types of money; printed and reserve. The reserve money is the scary stuff which is being created out if thin air at an exponetial rate on an unprecidented scale.

The US Federal Reserve and the Bank of Canada (2 organizations which have authority to create money with zero Governent oversight or control) are the problem. They are creating an inflation bubble that will make the 30's look like paradise.

At some point all that money will flood the market and inflation will skyrocket and make the dollar worthless.

Anonymous said...

I agree with DanT. Skyrocketing inflation awaits us. But Harper the great economist won't let that happen, will he?