Stage 2 of Trudeau's Great Reset - the budget! - Financial Post

Just a note from Ask Abe, Stage 1 of Trudeau's Great reset was the Covid lockdowns. Stage 2 is his new Parliamentary Budget. Get the details with this Financial Post article:

Liberal budget marks a major shift toward centralized state planning

We should call it what it is: Reverse Perestroika

Welcome to the new Canada, where on Monday the Liberal government launched a grand experiment in retrograde economic policy. It deserves a name. When the Soviet Union began to collapse back in the 1980s under the weight of too much central planning, Mikhail Gorbachev brought in Perestroika, economic reforms aimed at reducing the role of central planners, bureaucrats and politicians by increasing economic reliance on markets. Canada is now moving in the other direction.

The 724-page Liberal budget, a document worthy of the great Gosplans that dominated Soviet economic life, lays out a massive increase in government spending and debt in a document whose essential aspect is to weaken the role of markets and enhance the power of government and planners.

 We should call it what it is: Reverse Perestroika, a step backwards with policies and themes that imply that the driver of economic growth is government planning and policy. ...

The overall premise behind the Liberal government’s economic policy and budget is that the Canadian economy needs restructuring — perestroika in Russian — reorganizing and renewal around new social infrastructures — child care and minimum wage laws and a new carbon-free physical infrastructure.

When Soviet President Gorbachev attempted to reform the Soviet economy in the 1980s, his motivation mirrors the claims of the new Liberal reform plans. The Soviet problem was to overcome deteriorating economic and social conditions. Growth rates had slowed, inequality increased and the social needs of the people were not being met.

The objective of Perestroika was to get rid of at least some of the planning, put more emphasis on markets, and install economic incentives to replace bureaucratic power.

Canada is said to have the same issues, although on a different scale, but instead of enhancing existing economic and market structures, the new Canadian model involves increasing the planning power of government.

Canada, it is claimed, has been underperforming and falling behind, with anemic growth rates that are apparently due to its over-dependence on human initiative and market behaviour and a lack of government planning and programs — and spending. ...

There are two mains streams to the Canadian Perestroika. One is social, with the government taking on a great role in directing programs to foster “social infrastructure,” such as childcare, a $15-minimum wage and other populist and “feminist” initiatives that smack of pre-election goodies to dangle before voters recovering from the pandemic.

The Freeland budget (also) aims to use government planning as a vehicle to boost Canada’s long-term economic growth prospects. The area where the greatest government planning is set to take place ... is carbon control and climate change. The government sees the 2050 net-zero carbon objective as the new foundation for a Canadian Reverse Perestroika. ...

Read full Terence Concoran article HERE (and see the graphics).