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View Alupa Clarke Profile
CPC (QC)
View Alupa Clarke Profile
2018-11-19 16:03 [p.23589]
Mr. Speaker, as usual, I am very pleased to rise today.
Without further delay, I would like to inform the House that I will be sharing my time with the hon. member for Barrie—Innisfil.
As always, I extend my warmest greetings to the many people in Beauport—Limoilou who are watching us today.
Today's debate is very interesting. An opposition motion was moved in the House by the Conservative Party, of which I am of course a member. It reads as follows, and I quote:
That the House call on the government to tell Canadians in what year the budget will be balanced, and to do so in this week’s Fall Economic Statement.
Canadians may be wondering what is happening and how it is possible that we still do not know when the government will balance the budget. That has always been a basic concept for me, even before I got into politics.
It seems to me that any reasonable, responsible government, whether it be Liberal or Conservative—and I was going to add NDP, but that has not happened yet at the federal level—with nothing to hide should indicate in its policy statement, budget, and everyday political messaging a date on which it will balance the budget, or at least a concrete timeframe for doing so.
There are two rather surprising things about the Liberals' refusal to give us a timeframe for returning to a balanced budget. There are two historic elements with regard to the practice that they are currently using.
As the hon. member for Louis-Saint-Laurent keeps saying, we have never seen a government run a deficit outside wartime or outside an economic crisis.
According to Keynesian economics, it is normal to run deficits. Keynes made some mistakes in several of his analyses, but there is one analysis he did that several governments have been adhering to for 60 years now. According to his analysis, when an international economic crisis is having an impact on every industrialized country in the world, it is not a bad idea for the government to invest heavily in its community, in its largest industries, in every industrial region of the country, to ensure that jobs are maintained and that there is some economic vitality despite the crisis.
For example, we Conservatives ran a few deficits in 2008, 2009, 2010 and 2011 because the country was going through the worst economic crisis ever, the greatest recession since the 1930s.
Our reaction was responsible. Why? First, because there was a major global recession. Second, because even though we were a Conservative government, we embraced Keynesianism because we felt it made good economic sense. Through our strategic reinvestment plan, we managed to maintain 200,000 jobs. Not only did we maintain jobs across Canada, but we also repaired infrastructure, bridges and overpasses.
Two years ago, when I was a member of the Standing Committee on Government Operations and Estimates, I read a report that noted this was the first time an economic recovery and stimulus plan had been implemented so quickly. In three or four years, we invested $80 billion in infrastructure to help Canada weather some rough economic times.
The first surprise from the Liberals was that they ran up massive deficits of $20 billion this year, $20 billion last year, and $30 billion in 2015-16, even though there is no major crisis or war going on.
There is a second surprising thing. Let us go back to the time when lords were waging wars against the king of England, which is in the 13th century. In 1215, the Magna Carta resulted from several confrontations between the lords, the capitalist bourgeoisie and the aristocracy, all pleading for their interests with the king. The idea was to create an assembly where they could present their admonitions and complaints to the king and could limit the outrageous sums the king wanted to spend on the holy crusades. That is when our parliamentary system was born.
When I was first elected to the House of Commons, I learned Parliament's primary function. My university professors knew I liked philosophy, but they said I would soon come to realize that, in the House of Commons, discussions are about money, the economy, the country's economic situation and public finances. I learned that, in the House of Commons, debates are almost entirely about public finances.
That is as it should be, since the philosophical and political foundations of the British parliamentary system are accountability and the principle of responsible government allowing citizens to know what their money is used for. In those days, it was the capitalist bourgeoisie who wanted to know, whereas nowadays all citizens expect it. Nevertheless, the process and the principle remain the same. We want to know what happens with our money. Why are there deficits, if any, and most importantly when is the government going to balance the budget? Deficits involve our money, and it is commendable and reasonable to know when the budget will be balanced.
My colleague from Longueuil—Saint-Hubert was just saying how absurd this is. What would a government MP do if an ordinary Canadian asked him to simply tell him when his party would balance the budget? For three years, members of Parliament have not really been allowed to answer such a question, yet it is quite a normal question. They have to come up with foolish answers, think about something else or say that everything is fine because they have been cutting taxes, when in fact each citizen in Beauport—Limoilou pays $800 more every year in income tax.
That amounts to almost $2,000 per family, not to mention the tax credits they axed, the oil that is not being shipped out of the country, all the cuts in exports to the U.S., all the U.S. investment in Canada that has been lost while Canadian investment in the U.S. has increased, not to mention the fact that household debt is at an all-time high. The OECD remarked on this recently. In short, I could go on for a long time without even talking about the USMCA.
Nonetheless, there are some surprising things. What is incredible, and I repeat this every time I give a speech about Canada's economy, is that, in 2015, the Liberals were smart enough and had enough honour to explain why they were running a deficit even though we were not at war or in an economic crisis. At the time, the member for Papineau, under a gigantic crane in Toronto—I remember watching on television from my campaign office in Beauport—Limoilou and that it was partly cloudy and it rained a little—announced to Canadians that the Liberals would run a deficit of $10 billion in the first two years and then a deficit of $6 billion in the third year. He promised a deficit. Everyone was surprised that he was promising a deficit. It was a first.
He added that the Liberals would run a deficit in order to invest in infrastructure, which, he said, had been abandoned, and to invest more in infrastructure in general across the country. At least he was consistent in his comments once he was elected. He announced that they were creating a historic infrastructure plan—everything is always historic with them—worth $187 billion, which is not bad either. That was a continuation of what we had done. We had invested $80 billion over the course of the six previous years. It is only natural to continue to invest in infrastructure in Canada. Some even claim that Canada exists thanks to the railroad. Infrastructure has always been foundational here in Canada.
However, the Parliamentary Budget Officer—which, I repeat every time, as we must not forget, is an institution created by Mr. Harper, a great democrat who wanted there to be an independent body in Parliament to constantly hold the government to account—informed us in a report that, of the $187 billion invested in infrastructure, only $9 billion has actually been spent over the past three years. If I am not mistaken, $9 billion divided by three is $3 billion. The Liberals have invested $3 billion a year in infrastructure, and yet, they ran a $30-billion deficit in the first year.
Let us not forget that the $10-billion deficit was supposed to be for infrastructure. However, in their first year in office, the Liberals ran a $30-billion deficit and only $3 billion of that went to infrastructure. The second year, they ran a $20-billion deficit with only $3 billion for infrastructure, and they did the same again this year. Obviously, we have never seen a government put so much energy into spending so much money in such a reckless and dishonourable way while achieving so little for the economic well-being of the country and Canadians at home.
In closing, setting a deadline for paying off debt is something that Canadian families do at home all the time, for example when paying off their mortgages or their car loans. When people borrow money for a car, the dealer does not just say, “Have a good day, sir. See you around.” He tells them that they need to take out a bank loan and that they have four years to pay it back. There is a deadline for all sorts of things like that.
When will a balanced budget be achieved?
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