Saturday, June 19, 2021

Trevor Tombe: The Liberal Economists

 This is more of a regional post as Trevor is an economist that teaches at UofC in Calgary and comments on local politics. I normally don't have issues with liberal economists. They're generally pretty good on issues. They're liberal in their politics and they agree with all the ends of left-wing politics, but they don't have that hatred of the market that tends to permeate left-wing people in general.

I do run into issues when they're dishonest. This is a larger issue that requires it's own post, but it's sort of the philosophical idea (epistemology) that is working well into our culture. Truth is not a matter of fact, but a matter of political pressure and goals. It's very similar to Marx's view that all society is groups fighting for power and truth is merely a groups power play - nothing more. There is bourgeoisie 'truth' and that truth benefits that group and their power in society. And the same applies to proletariat.

Basically this all manifests as people who can't separate politics from anything because everything is a power play and objective reality (facts as they are) may benefit a competing group.

Exhibit A:


What I find most annoying about this tweet is the last sentence. It doesn't follow from the previous point, without the intention of obfuscating the facts on the ground. "Monetary policy is conducted by the Bank of Canada." Right. The sky is blue. Ducks go quack. 

Government deficits, in and of themselves, don't create inflation. In an ideal scenario, the government issues bonds, private buyers in the market purchases them and it's a regular transition of money from one party to another.

This deficit doesn't work this way. The Bank of Canada purchases the bonds the Federal government issues, and that is an injection of new non-existent cash into the market. That's an inflationary act of monetary policy.

I find this very annoying from someone that knows this and purposely muddies the waters. The distinction being made here is that it's just gas prices, and somehow deficits with Bank of Canada bond purchases are unrelated to inflation. He may be correct about gas prices being the main mover here, (he would never say carbon tax as he's a supporter of this in the power structure), but it just so misleading what he presented. 

Exhibit B:

Trevor Tombe: Rejecting equalization spurns a crucial principle of Confederation

This is another interesting piece because it's just a strawman from the start. It's very clear that the UCP has no intention of fundamentally changing the idea behind equalization.  He rants on this about a desire to abolish it.

I find myself saying to myself, with the characterization of conservatives by liberals in Alberta, "I wish they were what you think they are". Literally. The culture in welfare is so engrained in Canadians - the UCP has no desire to remove provincial governments receiving handouts & welfare. The sacrifice of the strong to the weak is the predominant cultural idea in Canada.

The equalization referendum is about exerting some pressure. Being strong doesn't mean bleeding us to death and definitely empathize with this.

I wish this was on ending equalization. The average Canadian hates Alberta. Atlantic Canada the most. They resent everyone that leaves and heads to Alberta to build a life for themselves. It's that culture of hating the successful. It's about hating the good for being good. And they hate Alberta so much they'll stagnate and bleed it.

If only this was about ending it. 

The ironic part about all this, with asserting autonomy, the so called Alberta Firewall - Quebec does it and everyone bows down. Alberta just brings up the idea of it and mocked, scoffed and hated. 

Anyway,

Trevor put down the power plays and focus on just presenting truth as it is.

The Energy Market with Unreliables

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