FLEECING CANADIANS WITH MONETARY EXPANSION

   The current prime minister of Canada famously said “I don’t think about monetary policy,” as though inflation is not something of concern. Earlier in September, the BoC justified its 0.25 per cent target overnight interest rate by saying the economy requires “extraordinary monetary policy support.” The inference is that expanding the money supply is the medicine Canada needs, as opposed to a swiftly opened economy. The BoC also pretended everything was under control, describing the elevated rate as transitory.
   Consider how different the COVID-19 response would have been had the federal government been limited to private credit only—in other words, without the BoC buying up the bonds. Not only would many companies have had to live without bailouts, such as the $5.9 billion that went to Air Canada in 2020, the federal government would have had to tighten its belt and open the economy sooner. 

     Rarely do I quote the Socialist Equality Party of Canada, but even they see the problem. The working class is paying “for the more than $650 billion the current Liberal government and Bank of Canada funneled into the financial markets and coffers of corporate Canada at the beginning of the pandemic.”