Authors Timothy Huyer
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This column by @jackmintz raises some concerns as a potential policy response to the expected cancellation of the KXL permit.
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First, Dr Mintz cites numbers for direct and indirect jobs created by KXL for both Canada and USA. It isn’t clear where these numbers came from or if they are permanent jobs. Methods for calculating induced jobs are notorious for their unreliable and non-robust methodology.
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Second, Dr Mintz proposes that Canada retaliate with duties and other trade restrictions, as what happened with aluminum. However, KXL is very different, and this changes the scope of available responses, especially under our trade agreements.
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Canada viewed the US duties on aluminum and steel as violating trade agreements. The retaliatory duties were permitted under those agreements as a response to those violations. They are not permitted in response to cancelling KXL.
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It is also somewhat odd to see an economist arguing for a trade war in any event, especially one tat would be initiated by a small, trade-exposed economy against a much larger economy. No one wins in a trade war.
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"Given the even greater importance of energy exports, Canada should not stand idly by now." - @jackmintz discusses Canada's reaction to Biden's potential decision to cancel Keystone with @financialpost -https://t.co/9Mr68imG3P
— Policy School (@policy_school) January 20, 2021
First, Dr Mintz cites numbers for direct and indirect jobs created by KXL for both Canada and USA. It isn’t clear where these numbers came from or if they are permanent jobs. Methods for calculating induced jobs are notorious for their unreliable and non-robust methodology.
2/
Second, Dr Mintz proposes that Canada retaliate with duties and other trade restrictions, as what happened with aluminum. However, KXL is very different, and this changes the scope of available responses, especially under our trade agreements.
3/
Canada viewed the US duties on aluminum and steel as violating trade agreements. The retaliatory duties were permitted under those agreements as a response to those violations. They are not permitted in response to cancelling KXL.
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It is also somewhat odd to see an economist arguing for a trade war in any event, especially one tat would be initiated by a small, trade-exposed economy against a much larger economy. No one wins in a trade war.
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IMO, it is sky palace bad. This will do lasting damage to the UCP, perhaps more than the party’s performance on real issues that matter. Because it affects the perception of the UCP.
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It used to be a gotcha question to ask politicians how much they spent on milk. The point of the question was to finger those politicians who didn’t do their own shopping or otherwise were rich enough to not have to worry about how much it cost to feed their families.
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Today, people rail against the ‘Laurentian Elites’ who are out of touch with people. The complaint is that these politicians aren’t affected by their policies the same way ‘severely normal’ people are, and hence come up with ideas that are bad for the non-elite.
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The sky palace wasn’t necessarily a bad idea — the premier does need accommodations in Edmonton — but it created the image of an entitled premier, freed from the ordinary day-to-day struggles by virtue of the tax dollars from hardworking Albertans. The rhetoric writes itself.
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Bill Morneau’s ultimate sin was to not notice that he hadn’t paid for tens of thousands of dollars in travel expenses. That he could just write a cheque to fix that problem didn’t help. It showed he lived in a world completely different than ours.
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On a scale of 1-10 sky palaces, how bad is the latest UCP scandal? #ableg #abpoli
— Stacey (@Blurg5) January 2, 2021
It used to be a gotcha question to ask politicians how much they spent on milk. The point of the question was to finger those politicians who didn’t do their own shopping or otherwise were rich enough to not have to worry about how much it cost to feed their families.
2/
Today, people rail against the ‘Laurentian Elites’ who are out of touch with people. The complaint is that these politicians aren’t affected by their policies the same way ‘severely normal’ people are, and hence come up with ideas that are bad for the non-elite.
3/
The sky palace wasn’t necessarily a bad idea — the premier does need accommodations in Edmonton — but it created the image of an entitled premier, freed from the ordinary day-to-day struggles by virtue of the tax dollars from hardworking Albertans. The rhetoric writes itself.
4/
Bill Morneau’s ultimate sin was to not notice that he hadn’t paid for tens of thousands of dollars in travel expenses. That he could just write a cheque to fix that problem didn’t help. It showed he lived in a world completely different than ours.
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