A Strategy For Fiscal Conservatives

A Strategy For Fiscal Conservatives, by J. Hodgson. This a well-articulated and sensible strategy for any non-PC government operating in the current western PC media and welfare milieu. It is written for Canada, but applies here too.

Fiscal conservatism is not in vogue. …The most recent turning point seemed to be when Harper/Flaherty jumped on the Keynesian bandwagon back in 2008/09 and started firehosing deficits at the Canadian public. People simply don’t care.

It’s simpler than that. It’s bad enough that ever more people don’t work for a living, some get to create money out of nothing, and some get paid obscene amounts. But the inequities became extremely clear in the financial crisis of 2008 when the banks were bailed out, their shareholders and bondholders lost nothing, no banker went to jail and few even lost their bonus. We lavished public money on the banks; even though they were failed businesses and they caused the  crisis (they should have been nationalized to keep savers and their functions going, then sold off soon after). Very well then, says Joe Public, if banks and all those others are the object of unfair public largess, then I want some too. Whatever. You guys are just creating money out of thin air anyway, so just keep it flowing.

What needs to happen is for fiscal conservatism to be scaled back into a more palatable-sounding “fiscal responsibility”. Implementing the plan, however, requires these 6 principles. Here they are…

#1. Never cut anything — All the leftist hyperbole is destroyed when you can honestly make a statement like ”We haven’t cut anything!”.

#2. Freeze things you actually want to cut — Inflation is your friend. If you want to make cuts, just make freezes instead.

#3. When increasing spending, increase below the inflation rate — By making increases below inflation, you get the credit for increased spending without the criticism of government cuts.

#4. Don’t exempt transfers to provinces [states] from freezes — [You don’t get credit if the states spend more tax money.]

#5. Don’t pay down debt —All this does is build capacity for the next [Left] government to do stuff they want to do.

#6. When you run a surplus, cut taxes to get rid of it — It gets money into people’s pockets quickly and into the economy efficiently. Another populist idea is to further cut the GST.