Thursday, June 11, 2009

Canada: The Real Global Economic Leader

Canada: The Real Global Economic Leader
Harper’s Economic Action Plan bests Obama’s stimulus

By Brian P. Lewin ‘11
Layout Editor, Fenwick Review

After months upon months of financial difficulty compounded by the sensationalism of the media, Americans are finally seeing the light at the end of the recession tunnel. Nonetheless, there is still quite a way to go and Barack Obama’s recovery plan may only lengthen the recession. After any downturn in the business cycle, people must trust the market enough to invest. Bloomberg writer and former Wall Street Journal analyst Amity Shlaes notes massive amounts of spending to artificially create jobs and higher taxes will only hurt the market by making it more difficult for businesses to survive and individuals to invest. If the government is taking money out of someone’s pocket, how can that person invest?

While America’s economic future may remain bleak for the time being, Canada is experiencing some positives despite the economic downturn. As early as 2007, Tory Prime Minister, Stephen Harper began outlining an economic action plan to strengthen the economy and bolster the financial system. Harper may be leading a minority government and may not always be portrayed to kindly on CBC’s “The National” and “The Fifth Estate,” but his recovery plans are working. Last year, as more than 2 million Americans were faced with pink slips, Canada saw a net increase of 100,000 jobs. Most economies face gross domestic product (GDP) contraction during recessions and Canada was no exception, but Canada’s GDP contracted by barely half of that of America and Europe and only a quarter as much as Japan.

Canada is widely regarded as having one of the strongest financial systems in the world and has yet to bail out or nationalize a single bank. While lenders in the States were pressured to offer subprime mortgages, Canadian bankers remained loyal to prudent practices, avoiding the foreclosure crisis ravishing the Untied States. Despite this, Canada still has roughly the same level of home ownership as the States prompting questions about the necessity of the subprime mortgages issued in the late 1990s. This is complimented by the lowest debt to GDP ratio of any G7 country.

So how did Harper manage to keep the Canadian economy afloat amidst the turbulence of recession? Tory finance ministers met with leading economists and market experts to derive a plan that would hasten recovery while not taxing one particular part of the system (literally and figuratively!). Ottawa lowered the tax burden on average Canadian families by providing over $20 billion in personal income tax relief starting in FY09 and continuing for the next five years. This puts more money in the pockets of those who need it most from Kingston to Kelowna, Calgary to Chicoutimi and allows them to put it back in the economy both in the short term through spending on consumer goods and in the long term through investment.

This summer’s debate over raising the sales tax in Massachusetts by Governor Deval Patrick gained criticism from both sides of the aisle. Republicans point to Patrick’s campaign promise of no new taxes and the burden already bared by the state. Democrats argue the sales tax will hurt the impoverished with a higher average propensity to consume who are affected more by the sales tax than the property or income levies. The tax will restrict spending and stop the flow of cash into the state’s economy. In Canada the Tories used a more responsible plan—the Goods and Services Tax (GST) was reduced from 7 to 5 percent to sustain consumer spending and pump money back into the economy. While Canucks and the British are reducing sales taxes, American legislators want to increase them.

Franklin Roosevelt’s increased regulations on the corporate community following the Great Depression only decreased confidence and caused businesses to fold if they could not afford to hire more workers or increase worker pay. Obama’s current plans are ominously reminiscent of such practices. To increase business confidence, Harper slashed the corporate tax rate to 19 percent on January 1st. Companies can now invest without worry and avoid devastating layoffs and pay reductions.

In the Untied States, a significant portion of stimulus money is lost as earmarks and pork are added while the respective legislation works its way through the giant bureaucracy of interests that is Congress. While this technically is government spending and this technically will cause an increase in GDP, this is not smart spending. The Tory government has spent wisely, in conjunction with the other measures. While the United States is spending over $8 billion on transportation and rapid transit projects alone, the Canadian government is spending $12 billion dollars in public works projects total. This will increase cash flow into the economy while avoiding sending the government further into debt and restricting how companies can use the money.

Instead of giving blank checks to those who might never reinvest in the economy, Harper is providing a renovation tax credit to those Canadians who renovate their homes. The Tory administration expects the government will loose on the tax credit will be heavily overshadowed by the revenue generated from the increased renovation projects. Furthermore, to assist with unemployment, the government is investing $8.3 billion in a skills and transition strategy aimed at training unemployed workers the skills necessary to find new jobs in the economy. This is in stark contrast to the billions of dollars in benefits being sprinkled on unemployed workers who are unable to find jobs with their skill set south of the border.

Real Estate numbers are often a good indicator of economic health and while American cities saw a number of businesses and offices close their doors at an increase rate, Canadian cities lost businesses at less than 1 percent of previous years. More businesses south of the border are choosing to flee downtown areas for cheaper space or choosing to close down all together.

Just several years ago, many Americans were surprised to see the national debt soar to over a billion dollars. Now the debt is well over a trillion dollars and will only increase as the Obama Administration’s trillion dollar recovery plan unfolds. In Canada, the government paid off large portions of the national debt while the economy was still strong. Since FY06, the Harper Administration has reduced the debt by $37 billion while watching GDP steadily increase prior to the recession. This gave the government the fiscal flexibility to initiate recovery and stimulus programs. Unlike the fiscally irresponsible bureaucratic mess in Washington, Ottawa could actually afford to buy a share in General Motors via aid granted this past year. While European automaker Fiat decides what to do with Chrysler in the States, they announced plans in June that Canadian Chrysler plants would reopen in short order.

Harper unveiled an economic progress report on June 11th, detailing the recovery efforts. Neither Canada nor the United States are out of the murky water of recession just yet, but the forecast for the future in Ottawa shows signs of bright sunshine on the horizon. Since the late nineteenth century, many commentators and historians have dubbed the US the most powerful country in the world. After many years of leading the financial pack, America may have finally met her economic match. There is little doubt China is the economic leader of the future, but Canada is the global economic leader of the present.

We're Back

I know it's been a while since our last post and radio broadcast on WCHC 88.1 FM, but the Right Source will be back on the air starting the first week in September. The schedule will be posted on hcrightsource.blogspot.com

Expect some new posts and blog reports this summer. Thanks!

Thursday, January 8, 2009

Second Independence Day

Today, January 8th, 2009 is the 194th anniversary of the Battle of New Orleans during the War of 1812 against Great Britain. Just some fifty years after the Declaration of Independence, Great Britain was threatening to take back the North American continent, or at least encircle the United States with British territories. After British seizures of American sailors and vessels, the Americans considered war. After the British assisted Native Americans in the northwest (then Ohio, Michigan, Indiana) Americans, led by the War Hawks in Congress decided to declare war on Britain. The war brought economic devastation and hardship on the American states and when Andrew Jackson and his militia men were sent to defend New Orleans and the Mississippi River, Great Britain controlled the Great Lakes, much of the West, and had burned The District of Columbia to the ground. Jackson's stand not only saved New Orleans, but forced the British to retreat and consider a peace negotiation. Andrew Jackson and his band of volunteers defended America's independence. Today is a day of great thanksgiving and celebration. Think of it as our second Independence Day.

Wednesday, January 7, 2009

Israel takes on Hamas

Well, the conflict in the Middle East has escalated between Israel and the Islamic terrorist group Hamas. The terrorist organization began firing missiles into Israeli territory from the Gaza strip in late December and the Israeli's responded by launching attacks on Hamas targets. This past week, Israel launched a ground offensive to rout out Hamas in Gaza.

There has been much opposition to the Israeli offensive against Hamas, but it should be noted that Israel is targeting ONLY Hamas and not civilians, as Hamas has done in the past. Furthermore, Israel allows daily shipments of aid into the Gaza strip. Hamas is a terrorist organization and must be removed from the Palestinian settlements in Gaza. This is not a conflict between two countries. This is a conflict between a sovereign country and a non-state actor. Support Israel and the Global War or Terror.

Monday, November 24, 2008

"Holey" Campus Security?

By Jennifer L. Forkel ’11 and Brian P. Lewin ‘11

Whether it is windy and snowing, or sunny and warm, there is little doubt about the beauty of the Holy Cross campus high atop Mount Saint James. The school is so small; one can easily meet several friends or acquaintances in the short walk down to class everyday. With restricted vehicle access and the numerous gates separating Holy Cross from the greater College Hill neighborhood, it is easy to believe we are in our own exclusive community. With the plethora of street lamps on seemingly every corner and students busily from place to place, even late at night on weekdays, most students do not think of campus security on a regular basis. Every weekend, hundreds of Holy Cross students, many of them freshman, make the short trek off campus to parties in the surrounding neighborhood with very little thought of safety. Recent events this semester demonstrate that Holy Cross is not an exclusive community and that crime can occur right outside our gates.

Over the past decade, Holy Cross has embraced the community in which we are privileged to reside. The Hogan Campus Center serves as a conference hall and convention center for the local area and generates needed revenue for the campus. Hence, it is understandable why the campus needs to be fairly accessible, especially via Gate Seven at the top of the hill. As part of the Worcester Consortium, Holy Cross has hosted events and taken part in events at other area colleges in order to further the interests of the individual colleges and “advance higher education regionally.” This does provide certain benefits, including the ability to bring in guest lecturers and hold concerts at an affordable rate. While there are no official statistics on ridership, I can say from witnessing the Consortium shuttle arrive outside the Hogan Campus Center, that very few Holy Cross students use the service on a regular basis. Granted, the shuttle may have an augmentation of ridership during big events such as the Holy Cross Spring Concert, but still it appears that students from other colleges use the service more than Holy Cross students.

The fact of the matter is Holy Cross has a number of activities for students on both weekdays and weekends, largely due to the efforts of the Campus Activities Board (CAB) and our strong Division I athletics program. There is no need for Holy Cross students to venture out to other campuses when there is so much to do here on the Hill. Every Saturday night, campus organizations take turns hosting The Edge, dance club at Crossroads. There is no need for any of these dances to be open to any students from other colleges. The policy requiring students to display student id’s at the door was implemented after local high school students frequently gained entrance to the dance over the past several years. The fact that anybody can just walk on campus late at night on a Saturday is extremely concerning. The perpetrators of the sexual assault this semester were on campus, in part, because The Edge was open to consortium students that evening.

Although I have not frequented the Edge since freshman orientation, I stopped by this year the weekend before the assault. Upon entering The Edge, I started to pull out my Holy Cross student ID to enter but was greeted by a tall man who came over with a stamp and said, “I don’t care, I don’t care, I don’t care” repeatedly as he went to each of my friends to stamp their hands. I was shocked that he did not care whether I was a Holy Cross student or not. Rape does not discriminate nor is the student in any way to blame for being put in that terrible situation. Everyone says “it will never happen to me” or “I’m not going to be that stupid to let that happen to me”. The simple truth, however, is that it does happen and you never know to whom it will occur. Girls, we also have to remember that even though this terrible situation was caused by non-Holy Cross students, rape can happen to anyone by anyone. Be safe and always stay with a friend. Rape happens with or without alcohol, so just be careful while still having a good time. Remember, no matter how safe you think our campus might be, you never know who might have access to our campus.
There is no doubt that due to the frequent traffic in and out of the Hogan Center and the Hart Athletic Center during the day requires open access to upper campus, there should be security measures in place at night and, in particular, on weekends. Our Department of Public Safety adds to the security on campus with vehicle and foot patrols, but there is only so much they can do by themselves. I can honestly say that I feel safer at night with Public Safety in the vicinity, but it is physically and fiscally impossible to guard every corner of campus at all times. In my two years here at Holy Cross, I have never had a problem with the security on campus. I have come to respect public safety immensely and have absolutely no problems with them. However, something must be done about security in areas that the public safety is not present in, such as The Edge. There needs to be some form of a check at gate seven on weekends, particularly at night. Many colleges require students to present identification to an officer prior to driving on campus at night. To many students, the College Hill area appears less threatening than other local areas surrounding college campus, including our Jesuit sister school in the Bronx, Fordham University. At Providence College, students are required to travel through the main gate at night on weekends and make contact with officers at the gate to gain entry.

Our residence halls are seemingly well secured with card access required at all entrance points and card access required again on most floors. Still, however, there are a number of male floors that are not protected by swipe access on the Hill residence halls. Another frequent problem involves the propping of side doors or secondary entrance ways because there is no swipe to gain entrance at those points. The side doors of Clark, Lehy, and Healy do not have swipes, but the side doors at Mulledy and Hanselman have swipe access. The idea of the card swipe is to ensure almost fool proof security. Technology can only go so far. Students need to take responsibility for their dorm security, also. Students frequently swipe in students without ideas or hold doors open for anybody who happens by. While I love the friendliness of students here at the Cross, I would not mind someone asking me if I actually live in a particular residence hall before arbitrarily swiping me in. If you do not know somebody and they look suspicious, do not let them into the residence hall.

Last year, Holy Cross implemented a first-rate emergency alert system to notify the community of impending emergencies including a loud siren and public address system located on the roof of several buildings, voicemails and text messages, and email alerts. This system was widely credited for helping to stop a shooting at Western Kentucky University in October. Still, however, if suspicious activity or a crime is not reported promptly, fellow members of the Holy Cross community could be put at risk. Following the events on campus this semester, numerous students complained about the administration’s response to the situation without taking into account their own responsibility for maintaining safety on campus.

A very positive aspect of security on campus is the emergency telephone system. Emergency telephones with blue lights above them are located on residence halls and certain buildings and allow persons to contact Public Safety by simply pressing a button. The telephones can also be used to dial on campus numbers for non-emergency purposes. The concept is ideal for emergency situations, especially with a unique, bright blue light shinning above them, but the problem is that many of the boxes are covered in ivy or obscured by foliage. Furthermore, many locations on lower campus do not have a telephone box or are located on only one side of the building. With the nature of our campus, many of the boxes are bunched together because residence halls are located in one particular area, while stretches of road are left unprotected. It would be comforting to see more emergency telephones on campus, especially near the entrances to campus such as the road by the Fieldhouse. Public Safety does offer a twenty-four hour escort service for students who do not feel safe or comfortable walking across campus.

The Fieldhouse presents another security conundrum. Every weeknight at ten, there is open gym in the Fieldhouse for Holy Cross students. Frequently, however, students do not have access to courts as a result of unauthorized people from the area using the gym facilities. According to Public Safety records, officers have been dispatched to the Fieldhouse several times to either remove these unauthorized persons from the campus or take reports of theft from lockers or other areas. Even secured lockers have been broken into. As a member of the Student Programs and Involvement (SPI) recreation staff responsible for setting up intramurals in the Fieldhouse, I have had to ask people to leave courts on several occasions. The proximity of the Fieldhouse to College Street and the open gate allows for easy access for non-Holy Cross students.

Off-campus residents have practiced proactive safety measures for quite some time, as they must travel back and forth on city streets in order to get to class and events on campus. Most students will either walk in groups or take their cars, even for just running up to Hogan to check mail. I know several females who life off campus and will never walk alone, even in the daytime. Still, however, the College Hill area appears safer than other areas of Worcester, at least in terms of reported thefts and assaults. The incident off-campus earlier this year demonstrates the dangerousness and proliferation of weapons in the area. Public Safety conducts reliable patrols on campus, but it seems to the student body that the only time Worcester Police are patrol the off-campus areas are when parties are abundant on weekends. According to a plan presented to off-campus residents and incoming first years at the beginning of this year, the Worcester Police are increasing patrols of the area and are working even more closely with Holy Cross Public Safety to ensure the safety of students. Still, however, off-campus residents would appreciate a more visible presence by Worcester Police.

Recent events have brought to light the vulnerabilities in Holy Cross’ security plan. No campus can be completely secure without being isolationist in nature. Nonetheless, there is much room for improvement, particularly in limiting access to non-students at night and on weekends. This needs to be a joint effort between members of the Holy Cross administration and students. There are plans for joint committees on public safety and sexual assault, but as of November 16th, nothing had been released to the student body about the endeavors. Holy Cross, through the Department of Public Safety, offers a Rape Aggression defense course, and will be offering classes on sexual assault next semester. Holy Cross is a fairly safe community, but improvements must be made and made promptly to ensure the safety of all in the Holy Cross community. FR

Wednesday, November 5, 2008

Barack Obama Elected President

Last night, the American people spoke, choosing Obama and Biden to be the next President and Vice-Presidents of this great country. To many, this was the sign of great change. To others, a cause for concern and anxiety. Despite our (obvious) differences, we must support our President. For eight years, we have endured the complaints of the left with shouts of "He's not my President." Let us not stoop to that level. Whether we like it or not, Barack Obama is our President. As difficult as it might be, we must work together. Instead of complaint after complaint, it is paramount that we take the high road and offer solutions.

I was asked today by a caller if I was worried about Obama's ability to handle a terrorist attack. I responded as truthfully as I could. President Bush has established a sound system of uncovering and preventing future terror attacks, but no system is fool proof. I do doubt, strongly doubt the new President's ability to make a judgment in a crisis situation. On many key votes, Obama voted "present" or simply abstained. I do not think a tea party with Osama bin Laden will solve the problem of terrorism. We need to be even more steadfast in preventing attacks and securing victory over insurgence and the Taliban in Iraq and Afghanistan. Although the venerable Elizabeth Dole lost her seat in North Carolina and the Maverick John Sununu lost his seat to tax-aholic Jeanne Shaheen in New Hampshire, the GOP is still in decent position in Congress. The Democrats did not obtain a so-called "veto-proof" majority but working together will be a challenge. This generation, however, must cross the aisles more than ever. In the wake of the financial crisis and the increased intervention on the part of the federal government, it is crucial that Ben Bernanke hold his ground and that our Congress resist the temptation to further interfere in our economy. We do not want to raise the hammer and sickle over our country. Bernanke is a smart economist with an eye to the future. He must overcome the whims of the liberal administration.

Working together for the American people---The Right Source.

Tuesday, October 21, 2008