Is inflation in the Liberal plan for the next election?

[Machjo]

From what I've gathered so far, Ignatieff intends to stimulate the economy, pay off the debt, and not increase taxes. He could stimulate the economy on borrowed money or a tax increae, but clearly those options are ruled out. He could pay off the debt by cutting stimulous spending and increasing taxes, but clearly that's out of the question. And he could keep taxes as they are by borrowing and cutting the stimulous spending, but that's out of the question too.

Iggy did suggest that he intends to spend the stimulous money more wisely to ensure it's an investment in Canada. Nice rhetoric, but we have yet to hear the details of how he'd spend that stimulous money in such a way.

If that rhetoric is nothing more than rhetoric, then the only option I could see left to pull off the triple-stunt of paying off the debt, stimulating the economy, and not raise taxes all at the same time would be to raise taxes, unless I'm missing something?

 

[jjaycee98]

Quite simple really! As soon as the economy turns around here and people go back to work there will be Tax money flowing into the coffers both from Personal Income Tax and from Tax on retail sales. No single Politician has to do anything heroic for the deficit to be paid off. Our Government just needs to stay the course.

 

[pegger]

I'm waiting for the writ to drop. I'm certain that Ignatieff will release a platform. Harper...not so much.

Just a question - Harper has also stated he will eliminate the deficit, without raising taxes. How do you think he will do it?

 

[Niflmir]

Our economy is designed to support a very specific level of inflation.

All modern economies are. Keeping inflation at 0% is considered bad policy.

 

[petros]

Inflation is what politicians term as "growth" and we all root for it.

 

[taxslave]

King iggy must have read Trudeaus book. Just wait for rampant inflation to make todays dollar worth 30 cents and two thirds of the debt disappears. No payments needed.Like magic.

 

[petros]

Listen carefully for words like "levelling of the economy or levelling of wages and levelling infaltion to global standards". If those phrases come up you are hearing the words of Lenin and Trotsky being proposed on a global scale.

Becareful of what you wish for.

 

[VanIsle]

I'm waiting for the writ to drop. I'm certain that Ignatieff will release a platform. Harper...not so much.

Just a question - Harper has also stated he will eliminate the deficit, without raising taxes. How do you think he will do it?

He'll release a platform alright. It's the one called "I'm leaving now".

 

[AnnaG]

Inflation is what politicians term as "growth" and we all root for it.

Funny how that works, isn't it? Kind of like selling bridges. Gotta love politicians.

 

[AnnaG]

King iggy must have read Trudeaus book. Just wait for rampant inflation to make todays dollar worth 30 cents and two thirds of the debt disappears. No payments needed.Like magic.

Exactly like magic.

 

[AnnaG]

I'm waiting for the writ to drop. I'm certain that Ignatieff will release a platform. Harper...not so much.

Just a question - Harper has also stated he will eliminate the deficit, without raising taxes. How do you think he will do it?

Yep, a pol is a pol is a pol and it doesn't matter what color you paint it, it's still a pol.

 

[Tonington]

The Liberal plan for this election was to look tough against the Conservatives. They missed that boat long ago. He should have waited for a time when it really is worth it, something electors can get behind. This is just lame, and Iggy will pay a heavy price for it.

 

[DaSleeper]

Listen carefully for words like "levelling of the economy or levelling of wages and levelling infaltion to global standards". If those phrases come up you are hearing the words of Lenin and Trotsky being proposed on a global scale.

Becareful of what you wish for.

Awhh schuck.....Already been done by "Waterhole" Troudeau in '75 with his wage and price control........"And it cost me money then":angryfire::angry3:

 

[SirJosephPorter]

Machjo, I don’t have the obsession with tax increases that many conservatives do. I do not reject a tax increase out of hand; I want to see what it is used for. If it is used for more spending, then I would be opposed to it.

However, if it is meant to reduce the deficit, get us out of the red, then it may be worthwhile, it all depends.

Clinton raised taxes in 1993. As a result, Democrats lost the control of Senate and House in 1994. Yet the tax increase was instrumental in increasing the revenues coming in. Combine that with the increased tax revenue because the economy improved, and the double whammy broke the back of the deficit.

So I do not instinctively oppose each and every tax increase.

 

[coldstream]

From what I've gathered so far, Ignatieff intends to stimulate the economy, pay off the debt, and not increase taxes. He could stimulate the economy on borrowed money or a tax increae, but clearly those options are ruled out. He could pay off the debt by cutting stimulous spending and increasing taxes, but clearly that's out of the question. And he could keep taxes as they are by borrowing and cutting the stimulous spending, but that's out of the question too.

Iggy did suggest that he intends to spend the stimulous money more wisely to ensure it's an investment in Canada. Nice rhetoric, but we have yet to hear the details of how he'd spend that stimulous money in such a way.

If that rhetoric is nothing more than rhetoric, then the only option I could see left to pull off the triple-stunt of paying off the debt, stimulating the economy, and not raise taxes all at the same time would be to raise taxes, unless I'm missing something?

None of these are necessarily inflationary. Inflation can come from an increase in demand or a decrease in supply on a wide range of basic goods, none of which are strictly related to monetary or fiscal policy, although circulating currency plays a role.

Our current economic policies of Free Trade and Monetarism (Free Trade in currency), which suppress domestic production, and open our markets to ungovernable international demand, as well as deregulation of private financial institutions money creating powers, is enough to cause hyper inflation, which is on the horizon.

Our current economic paradigm is unsustainable, what we've seen in the last 18 months is only the first shock of cacading collapse that will envelop us if the we do not return to fundamental national economic management of productive forces and our currency. And not one the major parties, particularly the Conservatives, even recognizes that we have a problem.

 

[petros]

Awhh schuck.....Already been done by "Waterhole" Troudeau in '75 with his wage and price control........"And it cost me money then":angryfire::angry3:

And heard today by all spectrums of parties like the Cons and their union bashing.

All parties have the same long term objective, go into a socialist NAU or get mowed over even harder by the EU.

 

[Niflmir]

None of these are necessarily inflationary. Inflation can come from an increase in demand or a decrease in supply on a wide range of basic goods, none of which are strictly related to monetary or fiscal policy, although circulating currency plays a role.

Our current economic policies of Free Trade and Monetarism (Free Trade in currency), which suppress domestic production, and open our markets to ungovernable international demand, as well as deregulation of private financial institutions money creating powers, is enough to cause hyper inflation, which is on the horizon.

Our current economic paradigm is unsustainable, what we've seen in the last 18 months is only the first shock of cacading collapse that will envelop us if the we do not return to fundamental national economic management of productive forces and our currency. And not one the major parties, particularly the Conservatives, even recognizes that we have a problem.

The easiest way to cause inflation is to monetize the debt. Or to take bank money too seriously. Buying something with a credit card is not at all the same as buying something with cash--two different types of currency.

 

[Kreskin]

Iggy would "spend the stimulus more wisely". Famous last words.

 

[Machjo]

Sorry, I made a mistake in the OP. The last appearence of the word taxes should have been inflation. I hope it didn't confue anyone. If so, my apologies.

 

[Machjo]

Machjo, I don’t have the obsession with tax increases that many conservatives do. I do not reject a tax increase out of hand; I want to see what it is used for. If it is used for more spending, then I would be opposed to it.

However, if it is meant to reduce the deficit, get us out of the red, then it may be worthwhile, it all depends.

Clinton raised taxes in 1993. As a result, Democrats lost the control of Senate and House in 1994. Yet the tax increase was instrumental in increasing the revenues coming in. Combine that with the increased tax revenue because the economy improved, and the double whammy broke the back of the deficit.

So I do not instinctively oppose each and every tax increase.

I'm not necessarily against tax increases either. In fact, if it's a choice between raising taxes, borrowing money, and inflation, I'd choose a tax increase myself. But the thing is, Iggy's already ruled out tax increases in his platform, yet continues to support stimulous spending and insists on paying off the debt. What options are left other than inflation, unless he's got some plan to spend that stimulous money in a wise manner so as to make an investment of some kind out of it, which is a possibility. Anyway, I hope that's it, otherwise inflation is the only option I see left.