Reform Benefits

Who Benefits What from Regime Change in Canada

Barrister & Solicitor

One of the main platforms of the RCC political coalition is to introduce a system of governance that reverses what the widening prosperity gap proves; namely that during the last quarter century the economy doubled and virtually all that wealth – many trillions – was hoarded and misappropriated by the richest Canadians and the Chinese. The middle class stagnated and at the bottom of the economic ladder the perpetual poor and the homeless suffered the most. The question then becomes who benefits from the alternate governance solution and how so after the old guard is removed from political and corporate office.

If Canada was a democracy with a free market system, the inequitable distribution of wealth and opportunity would have been decreasing over the last couple decades, not increasing as the statistics demonstrate. The monopolization of the economy since the 1970s is indisputable. So is the concentration of wealth and its export out of the country during that time period. All of this is revelatory of a series of top secret polices and practices now exposed for all Canadians to condemn.

One of the RCC's top priorities is to trace and seize amassed wealth both in the country and internationally – capital gained through old money families hijacking Parliament and legislatures for their own benefit and giving China’s government, nationals and triads a constitution and Security of Information violating front row seat in our political system and unlawfully prioritizing their economic interests over that of all Canadians. Thereafter policies will be implemented to ensure this country’s vast wealth is reasonably distributed for the benefit of everyone.

As reported by the Globe & Mail Canada’s economy doubled in the last quarter century. Demonstrative of what kind of benefits are enjoyed by those at the pinnacle of the Ottawa-Toronto-Montreal-(Beijing) triangle of power and wealth is summed up in these facts: in November ’09 The Star published a report stating that “the total net worth of the richest 100 is $172.7 billion, up from $165.1 billion in 2008” and “the Thomson clan amassed roughly $21.99 billion, up 19 per cent over last year”.

Plus, look at Canada’s banks. During that same one-year period when the industrialized nations’ banking system suffered an almost fatal collapse – with closings and bailouts in record numbers, every one of these financial institutions operated at peak performance:

In a year marked by the worst financial crisis in generations, Canada’s six largest banks earned strong results, and ours was the only G7 nation whose banks did not require a government bailout. Our banking system has become the envy of the world.

[...]

[T]he Big Six banks for fiscal 2009... produced combined annual profits of just over $14 billion, ahead of the approximately $12 billion in 2008.

Source: PriceWaterhouseCoopers

Only in a country such as ours with a perverse system of governance can a family such as the Thomsons increase wealth by a whopping 20% in twelve months and a primary backbone of our economy thrive during the hardest economic times in more than a generation.

Then there’s the money that’s been exported to foreign markets for the generation of more profit. As is stated in the RCC Introductory Correspondence:

Outward FDI, the money Canada’s wealthy invest in other countries, is not only a sign of how healthy the economy is, it’s indicative in smaller nations like ours of the number of investment opportunities the rich have in the domestic economy. The more that is exported means there is less to invest in in the country. It is inferred these stats have been significantly reduced to conceal the full extent of the embezzlement.

Source: Statscan

1986 $75 billion

1987 $80 billion

1988 $85 billion

1989 $90 billion

1990 $100 billion

1991 $110 billion

1992 $120 billion

1993 $140 billion

1994 $150 billion

1995 $160 billion

1996 $180 billion

1997 $200 billion

1998 $250 billion

1999 $275 billion

2000 $350 billion

2001 $400 billion

2002 $420 billion

2003 $400 billion

2004 $430 billion

2005 $450 billion

2006 $500 billion

2007 $525 billion

2008 $600 billion

Canadian corporations earned $54.1 billion in operating profits in the third quarter, up 7.9 per cent from the previous quarter, reports Statistics Canada. […] So where are those profits going? In part, the answer is "offshore." Canadian companies continue to export massive amounts of the profits their employees produce for them, investing them in their foreign operations or in global financial markets. In spite of the recession, Canadian companies have continued to steadily increase what they spend outside Canada. Since the end of 2005, Canadian corporations' direct investments offshore rose by a third, from $452 billion to $601 billion.

Source: Canada's Corporations Aren't Investing in You, TheTyee.ca

The total amount exported from 1986 until 2008 -- when the economy doubled in real terms -- is $6.1 trillion. What left Canada increased almost ten-fold per year .

Also suspicious is what is observed in Canada Conference Board facts, figures and statistics. During a one-year period:

[Canada's] share of world outward FDI in 2008 was still 2.3 times its share of world GDP, which means it was playing a larger role in outward FDI than its economic size would warrant.

In the final analysis, Canada’s prosperity has been and continues to be hoarded and exported in ever-increasing amounts. Instead of much of that wealth being kept here and used to help create jobs and raise Canadians’ standard of living, it’s going to make the richest even richer to everyone’s detriment.

By sharp contrast the burdens of government – taxes – have fallen hardest on the middle class – the country’s workers. Tax Freedom Day is later and later in the year according to The Fraser Institute: 1981 – May 30; 1985 – June 6; 1995 – June 18; 2003 – June 27; 2004 – June 28; 2006 – June 19; 2007 – June 20.

And in the last twenty years the rate of poverty* and homelessness doubled** as documented in the RCC chapter Adding Another Count to the Fiefdom Indictment.

* Michael Gravelle (Thunder Bay-Superior North, Lib.) – October 18, 2001; Yvon Godin (Acadie-Bathurst, NDP) – February 20, 2007

** Carole. James (BC NDP Leader) – February 14, 2007

So who should benefit from a distribution of misappropriated wealth? Clearly, victims of this enormous embezzlement are the working and poverty classes. The RCC proposes that everyone earning more than $20 – 30,000 and less than $60 – 70 thousand a year will receive several payments amounting to upwards of $80 -- 100,000 tax free. The first installment will come from what is seized in Canada. Subsequent payments will flow from what is described in Repatriating Canada’s Plundered Wealth.

Within the working class there are two sub-classes – the public sector and private sector. The former have done relatively well, but the argument can be made they would have done better if these secret policies and practices weren’t operating.

A CFIB study released in 2003, Wage Watch, [discovered that] […] total federal government wages and salaries increased more than 28 percent from 1998 to 2002. Second, federal employees in public administration enjoyed a 15.1% wage benefit advantage in year 2000 over their private sector counterparts, up from 8.9 percent in 1995. When benefits are factored in, the total advantage was a whopping 23.3 percent.

Federal Civil Servant Unions Gird for Battle Over Generous Pensions

by Kathryn May

Canwest News Service

January 18, 2010

OTTAWA — Canada's 18 federal unions are meeting in Ottawa for two days starting Tuesday to develop a united front against what they believe is the Harper government's gathering assault on the public service.

Bracing one of the largest deficits in Canadian history, union leaders are braced for Finance Minister Jim Flaherty to turn to the public service to balance his books.

One big concern is persistent rumblings about cutting to the public service's generous pensions and benefits.

[...]

[U]nion leaders say the government should be prepared for an all-out fight if it tampers with their defined benefit pension plan or tries to convert it a defined contribution plan as has happened in the United Kingdom.

Ron Cochrane, co-chair of the National Joint Council, which represents public service management and unions, said "nothing would galvanize even the most apathetic public servant like touching their pension.''

And the unions will be the first to pounce on MPs, judges and deputy ministers whose pensions are even richer than those of the rest of the public service.

The RCC proposes that public sector union members retain their benefits. Additionally, each person will get a cheque representing the difference between what they would have gained from the economy doubling and what they actually received.

Private sector workers and those in the unions who service business are entitled to more because their share in the prosperity was much less.

It is undeniable Canada’s aboriginals suffered incalculably. Therefore the RCC proposes a first installment of $50 billion towards elevating First Peoples out of their decrepit conditions. It will be recalled the Dussault-Erasmus Commission recommended $2 billion a year for 15 years and the Kelowna Accord offered a paltry $5 billion. Infrastructure development, education, health care and employment and business funding will be prioritized.

And it is also incontestable that the poor and homeless need immediate help. Social safety net payments will be doubled and later tripled. Education will be free. And a nationwide social housing program will be swiftly funded to ensure that no Canadian lives on the streets.

Canada’s oil sands were secretly encircled politically and corporately for the purpose of funding China’s global expansionist ambitions. What would have gone into the pockets of Canada’s richest and their corporations will be reasonably distributed to ensure all Canadians gain from this natural resource. Examples of benefits include annual royalty cheques, reduced taxes, better health care and a significantly lower cost of higher education.