Larry Kazdan of Vancouver Wants The Fed to Create More Jobs LTE Sept 27, 2016

Re:  Feds monitoring weak economy, could take action as early as fall: Morneau, The Canadian Press, September 26, 2016
http://www.nationalnewswatch.com/2016/09/26/feds-monitoring-weak-economy-could-take-action-as-early-as-fall-morneau-3/#.V-mLF_nyuUk

Our Bank of Canada does not have vaults filled with electronic cash. As remarkable as it may seem, the Bank (owned 100% by the federal government) simply creates money whenever needed by computer entry. It follows that the federal government can never run out of Canadian dollars. This explains how immediately after the 2008 financial crisis the Harper government without raising taxes was able to bail out big institutional lenders by replenishing their coffers through a $200 billion “Extraordinary Financing Framework”.

The federal government can either spend too much causing inflation, or spend too little allowing mass unemployment. Since currently there are 1.3 million Canadians looking for work, it is clear that the federal government is nowhere near expending enough. Increased infrastructure renewal should be supplemented by creation of community-level jobs so that all skill levels can be put back to work as soon as possible.  As John Maynard Keynes once noted,

Look after the unemployment, and the Budget will look after itself.”

Larry Kazdan,
Vancouver, B.C.

3 Comments

  1. You want more government? How about less tax so a business can hire people? Or less expensive hydro to encourage a business to relocate?

    If you want to redirect tax, instead of charge more, some programs and staffing needs to be reconfigured.

  2. One lady from the US sent something to me that the average rate of electricity is $110./month. The lady that sent that to me was in charge of one of my forums that I used to be on. Here in Canada the hydro is unbelivably high and businesses are leaving and the unemployment rate is much higher than what the government is releasing to the sheeple.

  3. Larry needs to learn about money, the Bank of Canada and government accounting. Enough said. Government is not a business, it is a consumer and as such can provide only economic environments which support growth. i.e. lower taxes, less red tape, enabling legislation and of course deficit spending. Deficit spending is obviously not working. Hmmmmm.

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