– Mark MacDonald is the Publisher of the Business Examiner, and President of Invest Northwest Publishing.
BC – British Columbia has the strongest economy in Canada, leading all provinces for the past two years.
There is one thing that could derail that, as early as this spring: An NDP government.
BC suffered greatly during the NDP’s Lost Decade from 1991-2001 that created a made-in-BC recession during their last reign of error. Those who were in business then remember it clearly, and shudder at the possible consequences of déjà vu happening all over again May 9.
While some may not hold personal memories of the fiscal pain inflicted the last time the NDP was in power here, they can cast their eyes eastward to Alberta, where the NDP’s (Rachel) Notley Crew is driving that once robust province into deep, deep generational debt. They’re only halfway through their term, and working Albertans are in panic mode, which will surely help galvanize the non-NDP vote into one option for their next provincial election.
Why is it like this whenever the NDP gains power?
It’s because of the fiscal ideology that the NDP rank-and-file clings to. Philosophically, typical NDPers are wealth re-distributing socialists, who view business owners as greedy cash-grabbers whose profits only come from the backs of workers, and give it away where they choose. Any ascent to power is their chance for payback.
They fail to realize that in order to spur investment, there must be an environment that allows people to benefit from their injection of capital: Profits. They view profits as excess and largesse, when really, profits are the result of success, the fuel that drives business, and thus the economy.
Profitable businesses pay more taxes, and hire more workers, who also pay taxes – and those taxes pay for the social programs we all believe in. But in order to help those less fortunate, there must be something to give. NDP-style Robin Hood Economics, where they take from the so-called rich to give to the poor, punishes entrepreneurs and investors and causes them to retreat. Thus there’s a whole lot less to help those in need in the end.
The NDP says they support small business, but can they really say they don’t like business? (An oft-told 1990’s joke: “How do you open a small business in BC under the NDP? Open a large business. And wait.”)
The NDP proves through their actions that business is their enemy, through punitive taxation, increased regulation and ultra-labour friendly legislation.
BC’s healthy economy currently tops the country, and without a doubt, credit for this has to include the BC Liberal government under Premier Christy Clark.
Clark’s stunning slap-down of the Adrian Dix-led NDP four years ago was borderline miraculous. The disheveled Dix managed to snatch defeat from the jaws of victory when he unilaterally announced mid-campaign that his government wouldn’t approve the twinning of the Kinder Morgan pipeline, instantly putting him at odds with middle class trades workers who earned their living from resources.
Business braced for what the polls indicated was an inevitable NDP government by preparing for the expected slowdown by canceling projects, moving assets, and ceasing to hire new workers. The election was preceded by an economic swoon, and it took months to regain the momentum that was lost, due to even the threat of another NDP government.
The BC Liberals had given the province solid government for 12 years, but the party was clearly in need of a freshen-up. Along came the hard hat wearing Clark, whose relentless campaigning was unmatched. She looked fresh and sharp, relentlessly pounding a positive, jobs-first message that resonated with voters.
Which brings me to this: There’s nothing scarier than a Socialist in a suit.
They look sharp and project well. They say things that people want to hear, albeit leaving out the most important of details, like: How do we pay for their shopping sprees?
The scariest point of all is that they look electable. They don’t appear at all like the radical revenue redistributors they are. They look like nice people. Harmless, even. Mike Harcourt is a case in point. As the former mayor of Vancouver, Harcourt’s resume undoubtedly helped him defeat Rita Johnston and the remnants of Bill Vander Zalm’s Social Credit in 1991, ushering in what turned out to be 10 dark years.
While other provinces prospered, BC suffered, and that was magnified by Harcourt successor Glen Clark and another NDP term, after a typical NDP “beware-the-Ides-of-March” action to oust their leader.
Business was bad in BC under the NDP. Very bad, and the provincial deficit skyrocketed. Workers left the province in droves, looking for well paying jobs.
Current NDP leader, the dapper John Horgan, floats plenty of mixed messages, but apparently doesn’t have the full-throated backing of his MLA colleagues. Nevertheless, the NDP machine is a very real threat, and can never be taken lightly.
They have a solid base of around 30 per cent that never wavers in their support, including organized labour. It’s bewildering how non-government labour continues to pay much of the freight for the NDP; despite the fact the party’s policies choke off the very jobs their members hold.
There is one thing that can cause BC’s economy to come to a screeching halt: An NDP government. On May 9, voters will decide the next four years of BC’s fiscal future, depending on where they decide to mark their X.