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From: "John Feldsted" <jfeldsted@shaw.ca>http://www.sott.net/
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Subject: You know we are governed by idiots when #1
Canada warns it may cancel Super Hornet fighter jet buy over Bombardier probe
Rob Gillies The Associated Press
May 18 2017
TORONTO � Canada's government is warning it could cancel a planned purchase of 18 Super Hornet fighter jets from Boeing Co. because of U.S. Department of Commerce anti-dumping investigations against Canadian plane maker Bombardier.
Foreign Minister Chrystia Freeland issued the threat in a statement Thursday. She says the government is "reviewing current military procurement that relates to Boeing."
Boeing argued at a hearing in Washington on Thursday that duties should be imposed on Bombardier's new larger CSeries passenger aircraft, insisting it receives Canadian government subsidies that give it an advantage internationally.
Freeland says Boeing's petition is "clearly aimed at blocking Bombardier's new aircraft, the CSeries aircraft, from entering the U.S. market." She says the government strongly disagrees with the Commerce Department's decision to initiate anti-dumping and countervailing duty investigations.
- - - - - end - - - - -
Is Ms Freeland so naive she didn�t think that Bombardier competitors would take note of the $372.5 million loan her government gave to the company? In trade circles that is a subsidy which gives the recipient an advantage over international competitors.Threatening to retaliate by cancelling an order for aircraft is childish, petulant and will make upcoming NAFTA negotiations even more difficult. The principles of cause and effect seem lost on PM Trudeau and his cabinet. They consistently contradict themselves in action and try to paper over their mistakes with volumes of verbiage.
What they say has become meaningless. What they do is chaotic and we are watching.
John Feldsted
Political Consultant & Strategist
Winnipeg, Manitoba
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From: Larry Kazdan
To: letters@macleans.ca
Subject: Re: Infrastructure bank could insulate Canada from risky proposals, says Sohi, Jordan Press, May 18, 2017
http://www.macleans.ca/politics/infrastructure-bank-could-insulate-canada-from-risky-proposals-says-sohi/
Minister Amarjeet Sohi claims that government will be insulated from risk by having private partners. But if these partners go bankrupt and exit their participation, the bridges, roads, water systems and electrical utilities will still need to be operational. The federal government will be forced to step in and clean up the mess, whatever the cost. The risk transfer claim is just another spurious argument by the Liberals to justify their profiteering Infrastructure Bank at the expense of the public.
Larry Kazdan,
Footnote:
The glorious gouging of the public purse
William Mitchell is Professor in Economics and Director of the Centre of Full Employment and Equity (CofFEE), University of Newcastle, NSW, Australia http://bilbo.economicoutlook.net/blog/?p=23811
"The real problem with the PPPs in this regard is that is a falsehood that the risk shifts from the public to the private sector. Who ultimately bears the risk? The risk premium in private financing is based on the fact that a private entity can become bankrupt with its product and service exiting the market. With an essential public service it is a fantasy to say that the PPP contract transfers risk to the private sector.
If the private partner defaults, the public always has to pick up the pieces. There is no real risk transferred."
__________________________________________
Modern Monetary Theory in Canada
http://mmtincanada.jimdo.com/
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