Bloomberg quotes Canadian Finance Minister Jim Flaherty, who said, weak U.S. growth, not his country's strengthening currency, is the biggest threat to Canada's economic recovery. And the half truths continue.
The Finance Minister and the Prime Minister's prior claim that Canada is relatively shielded from the Global crises was a political fiction. The currently effective unemployment rate of around 15% and the record deficits prove their prior claims were utter nonsense. Weak US growth and a weak world economy is a threat to ours - always has been. At least there is now some half-truth in what they are saying. Perhaps the deficit and high unemployment has made its point.
Nevertheless, Mr. Flaherty's ongoing claim, that the value of our dollar is relatively meaningless, is also nonsense. Fact, our high dollar has devastated Canada's value-added industries. The 15% unemployed need a competitive chance to work. With Mr. Flaherty's laissez-faire economics there is little chance of any fiscal management of our dollar or the money supply to get them serious help and stabilize the dollar at a workable level.
Half truths and nonsense have not helped so far.
Eugene Parks
Victoria BC
