ECONOMISTS,
THE GOOD AND THE BAD
The bad
economists? They’re either packing their
expensive duds to vacate Davos, Switzerland
where The World Economic Forum is ending, along with our Bank of Canada Governor Mark Carney, or in
their own private spheres being advised of
how the world’s most lustrous gathering of millionaires and billionaires
went. Last year Stephen Harper was
invited. Our Prime Minister did attend last
year and he proceed to lecture the world on how
brilliant he was in the way he kept Canada afloat while other countries
were dealing with all kinds of economic “bubbles”.
Well, Mr.
Harper is not crowing in the barnyard this year. At least not so loudly. It seems that he’s been warned that his most
skillful and incredible handling of Canada’s economy was a fluke. A bubble, if you will. A bubble held gingerly aloft oh, so
momentarily, by the world price of Canada’s real and projected resources, primarily
oil. It seems it’s the projected price
of Canada’s resources that are giving the trouble. It’s beginning to appear they aren’t what Harper
had imagined while in his euphoria when thinking himself an economic genius out
loud in Devos last year, and embarrassing Canadians to death in the process.
Now both
Harper and Mark Carney are warning of serious economic detours ahead. And I must give him credit; Mark Carney has a
fine sense of timing. Skip off to
England now, before Canada’s banks get crippled in the world’s coming economic
crush, and as a newbie bank manager in England, he won’t be blamed for their future
bank dives to the bottom.
It seems
there are muddy economic roads all over the place. But the Financial Post headline that grabbed
my attention on Friday (Jan.25, 2013) was the announcement by Alberta Premier Allison
Redford who warned that there is a widening gap between the North American
price for oil and what Alberta gets for its oil sands bitumen as being the “new
reality”. More oil production in the
United States is the stated big reason for this “gap”, and even if the proposed
pipe lines to the west coast become a reality it would be years before shipping
to Asia starts. The province estimates
that the 13 billion they had forecast for Alberta’s bitumen will be cut in
half. Austerity time. Enter economist
Jeff Rubin.
Jeff Rubin
is my kind of an economist. On the book
flap of “WHY YOUR WORLD IS ABOUT TO GET A WHOLE LOT SMALLER” it states
that Rubin was the Chief Economist at
CIBC World Markets for almost twenty
years. That bit didn’t exactly draw me
to the book but the title did. And as
of today the inside pages of this book are creased, underlined, refolded and showing
signs of too many peanut butter and jelly sandwiches (after raising eight kids
I still like kids and peanut butter and jelly sandwiches). And after rereading the book just recently I
believe that Jeff Rubin has it right.
His theory?
Rubin says
that the world is running on oil and all the low hanging oil fruit has now been
picked. Because it will simply coast
more and more to extract oil and gas from depleting reserves the costs of
extraction starts getting in the face of producers big time.
Fewer jobs, fewer workers to pay taxes until the world realizes that
there is no getting around this and that the world has to change. The world’s bankers and billionaires clubs
will cry and try to start more wars in the last functioning oil fields before
they are overturned. The regular people
of the world will more readily understand what is happening and seriously turn
to investigating green energies. But in the meantime, won’t there be a global
depression?
Yes. Of course.
Many people will be without work or funds. But you know what? Canadians are good at sharing. And according to Rubin, there will be a lot more
civic concentration on food production, transportation, etc. closer to
home. Communities will become the
backbone of the future economies, hence Rubin’s title “Your World is About to
Become a whole Lot Smaller.”
And that
will be a good thing. Getting there reasonably
without undue civil unrest and mayhem is the challenge. But I think this is eminently doable as I see
that many people are already thinking in that direction. We will relearn how to grow vegetables in
small spaces, how to conserve energy, how to barter, how to simply do with less. I remember all of the Victory Gardens in
Baton Rouge, Louisiana during World War Two.
People dug up their lawns and planted turnip greens and cabbage. There
was rationing of meat and gas along with cigarettes and nylon stockings. While our soldiers were dying, our health at
home improved with less meat and cigarettes and gas (not to mention the first
troubles that nylon stockings brought). A lot of us now already forgo two or
three or maybe even all four of these items.
The men (and
a few women) leaving the Davos Billionaires club must be exhausted. After all they have spent several very hectic
days trying to figure out how to suck up
the last of the earth’s resources along with the rest of global worker’s salaries
and savings. These men (and a few women)
are patriots of no country. They are internationalists. They don’t think or act in the best interests
of their own country (or countries), they think and act in the best interests
of their exclusive global class and contacts.
They are of no use to the evolution of humanity. These people lack a
sense of social responsibility and they will be weeded out by the process of
evolution. We can’t really ignore them because
they are in the midst of plundering the environment and the banking system, but
we can refrain from becoming emotionally involved with them. Then with clear heads we can think seriously
about how we might organize our lives in the coming new oil-depleted world.
Women are
good at this kind of thing. Women know
that within the family, resources must be shared as equally as possible. We have striven to do this all of our
lives. We already know how to cut back,
to make do, and how to call up skills long submerged such as sewing, canning, baking,
what to look for in thrift stores, how to give homemade gifts the prestige they
deserve, how to impress children that the newest electronic gadget they desire will
not be forth coming, that they must made do with last year’s model, whatever
that was, and how to be proud of the perceived deprivation, instead of
ashamed. It will be a challenge, but in a good way, as
First Nations’ people say of issues that challenge us. Let’s make it in a good way. Prime Minister
Harper and Mark Carney and all the banks and Millionaires and Billionaires
clubs do not own the world. We do. If we
can, let’s stand with IDLE NO MORE on Monday in Comox, BC.
Uniting to Defend
Democracy
Idle No More World Day of Action Rally Gather across from I-Hos Gallery on Dyke Road 12:00 pm – Monday, January 28, 2013 |