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Thursday, May 25, 2017

The conservatives are firing up the bullshit machine again


Two days before the Conservative Party leadership election, the Conservative insiders have set it up so that the new leader can hit the ground running:

Fraser Institute - Prime Ministers and government spending: a retrospective (pdf).

You don't have to click through. The point is that the Fraser Institute is calling Justin the spendiest PM in the history of PMs.

Specifically, they say he's spending more than any other PM outside of wartime or a recession.

The puppet press of the Reform party picked the story authors' press release up:

Financial Post - Justin's the spendiest PM ever! Quote:
Prime Minister Justin Trudeau began to increase per person spending immediately after his election in October 2015. The Harper Conservatives originally planned for per person spending to reach $7,342 in 2015 but the Trudeau Liberals cranked up spending to $7,557. Put differently, the Trudeau Liberals increased per person spending in 2015 by almost three-per-cent more than the previous Harper government had planned.

Spending was further increased in 2016 and the federal government plans to spend $8,337 in the current fiscal year (2017–18). This is only $38 shy of the all-time-high level of per person spending recorded in 2009–10 by the Harper Conservative government ($8,375). The peak spending under the Harper government, however, was done during a significant global recession.

Conversely, the near-peak spending planned by the Trudeau government is done without any recession or large-scale military conflict, which are the two main characteristics of almost every other previous spike in federal spending.
Which is a lie, since Canada's qoq GDP was negative in Q1 & Q2 2015 (that's 2 consecutive quarters of negative GDP growth right before Trudeau was elected, which is a recession), plus borderline in Q4 2015, and negative again in Q2 2016.

You might remember there were these little things called an oil price collapse and the Fort McMurray fire. You might also remember Trudeau explicitly arguing for stimulus spending to counteract these two negative shocks to the economy.

The Fraser Institute doesn't remember any of that.

No, actually, they do, but mentioning any of that doesn't provide the next Conservative leader with a talking point.

Anyway, the whole point of this post is to let you know ahead of time that the new Conservative Party leader will be hitting the ground running, accusing Trudeau of "wwharrr spending more money than any PM before him!"
Which should be okay, since he gets to finance his spending at 1.458%.

But Conservatives don't know anything about finance. Even the study authors, one of whom supposedly has an MBA (from Windsor even!).

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