Sorry re-post for JMHOI just re-read my post and it has way too many mistakes. Some lines were incoherent. My kids are visiting for two weeks, and they kept interupting me while I posted. So I'll just correct the post out of respect, for integrity. Because I didn't proofread the post.
Hi Flamingo.
That's not what I'm saying in my post. When I used the word "Trudope, I was saying "Trudope & his Cronies". The Cronies included, are the BoC head of "Tim Macklem", or Poloz, and their underlinks right now, at the BoC. And even the Premiers of Canada included. I agree that Mark Carney is very bright. I'm 10 years older than Carney, and I have seen him at work here in Canada, for his whole term, before he left for England.
As I've mentioned here on a few occasions in the past, that I've majored in Economics, in York University, here in Toronto in the mid 70's. One of my Proff's was a Harvard educated genius. He was the Dean of the Economics department at York, and I spent most of my time learning under him. York had the best business school in Canada in those days. I'm aware of the relationship between the Central Bank, and the Government. In fact I can safely say that, every "Govt which is in power", from my experience, has a huge influence on both Fiscal, & Monetary policy when they are in power. Fiscal policy in fact, is more of a Govt leaning function, than a BoC function. Where as, the Monetary Policy, is more of a BoC leaning function, than a Govt function. What I can also safely say is, is that the "Federal Reserve" in the US, is more of a seperate entity than the BoC is. I don't wanna to write another essay here, because it's draining, so I'll just give a simple example of what transpired recently in Canada, to explain how interwind they are.
The best example I can give you is what transpired during covid.
Canada, on the orders of Trudope, and the Premiers input, along with the BoC, decided to drop the Interest rates to lower than 1% during covid. For the simple reason of the Provincial, & Federal Govt's, who wanted to be able to keep the Canadian Economy going, just so that they could keep housing, their biggest ticket item going. Just so that they can collect the RE Land tranfer tax, (45% of Govt tax receipts), the capital gains from it, the GST tax, etc coming in. That BLUNDER from these incompetents, from Trudope, and the rest of the Premiers, is what railroaded the BoC. The BoC shouldn't have allowed themselves to be fooled by these incompetents, because, this is what's caused this MESS we're in right now. We're in an "Inflationary Bubble" in Canada. All because of the Greed from these people, to be able to collect their tax, while we were locked down. The BoC should have known better. They're Economists FGS. If they can't lead this country in the right path? Who can? Trudope? Now we the public, have to pay for their Blunder.
That near-zero (0%) Interest rate, was implemented in Japan by the BoJ in 1999, and Japan lost it's Trade Surplus supremacy to China because of it. And they have never recovered in heaving a healthy Real Estate market, because of INFLATION. Read about it, you'll see what I mean. Cheers