Interview with CBC Radio on Min. Flaherty

Hon. Jim Flaherty, Minister of Finance, spoke at the University of Western Ontario law school today.  Paul Mayne of Western News covered the event.

Omar Ha-Redeye was interviewed by CBC Radio over the students’ reactions to Min. Flaherty’s speech.

Omar responded to Min. Flaherty’s comments on his dialogue with Premier McGuinty over taxes in the manufacturing sector.  Flaherty was quoted and highly criticized for his remarks about the economy in Ontario in March 2008,

It discourages investment in the province of Ontario.  If you’re going to make a new business investment in Canada, and you’re concerned about taxes, the last place you will go is the province of Ontario.

When Omar asked him personally about how this could potentially be interpreted internationally and affect investment in Ontario, Min. Flaherty said the statements were taken out of context.  Omar did not think a public statement to this effect would address or resolve the issues that Min. Flaherty raised.

Min. Flaherty also spoke at great length about the sub-prime mortgage crisis, and the state of the Canadian economy.  He claimed Canada was highly respected among G7 countries for its economic stability.

Omar told the CBC that the 2007 The Conference Board of Canada report, Mission Possible: Sustainable Prosperity for Canada, predicted the current volatility in American markets.  They recommended Canada strengthen its economy by diversifying its trade partners.  Omar felt that Canada was not doing enough to strengthen trade ties with the EU, China and India.

Finally, Omar raised the issue of the Afghan mission.  The Harper government initially refused to release information about the cost of Canada’s role in Afghanistan, only recently succumbing to pressure and agreeing to provide the figures.

Some analysts have previously estimated that by March 2008 the mission has cost Canadians $7.2 billion, or $100 million every month.  This has reflected a 26% increase in our military budget, bringing us from 16th to the 13th in the world in military spending, and 6th in NATO.  The Canadian Centre for Policy Alternatives suggests that Canada spends more on the military today than it did during the Cold War.

Most Canadians believe that the Afghan mission, which has proven that military solutions are ineffective, is a failure and is costing our nation too much.

Omar said that the financial and political cost of an expensive commitment that fails to have clear goals, objectives, or definitive end date, should be evaluated in context of our fragile economic times.  This would be an especially important consideration in light of the Federal election, and he hoped that the information would be made public so that Canadians could be better informed regarding the manner in which their government spends their taxes.