Vancouver Sun

POLITICIAN­S JUST AREN’T LISTENING TO THE PEOPLE

Government actions failing to match results of polls, says Herbert Grubel.

- Herbert Grubel is emeritus professor of economics with Simon Fraser University. Vaughn Palmer will return

The results of reliable surveys show that a majority of Canadians want changes in important government policies. For example, a survey by the Canadian Institute for Health Informatio­n, a not-for-profit organizati­on, found that in 2016, out of 4,547 respondent­s, 55.1 per cent indicated that Canada’s health-care system needed fundamenta­l changes and 8.6 per cent said it needed to be rebuilt completely.

An Angus Reid poll taken in 2017 found 57 per cent of respondent­s supported the statement “Canada should accept fewer immigrants and refugees.”

A 2016 government survey found that 54 per cent of Canadians believed that the annual immigratio­n level should be below 150,000.

Another Angus Reid poll taken in 2017 found that two out of three Canadians nationwide, 50 per cent of residents of Metro Vancouver and Vancouver Island, and 60 per cent of residents in the rest of British Columbia favour the constructi­on of Kinder Morgan’s Trans Mountain Pipeline expansion for the shipment of petroleum to Vancouver.

Public opinion on these issues is based on solid evidence about the negative impact of current policies on the well-being of Canadians. Thus, health-care reform is needed because Canada’s government monopoly system has a shortage of diagnostic equipment, long waiting lists for surgeries, and generally higher costs and poorer outcomes for patients than any other western countries. Current immigratio­n policies impose a heavy fiscal burden of more than

$30 billion a year on Canadians because recent immigrants on average have much lower incomes and pay much lower taxes than average Canadians. The large number of immigrants exceeds the country’s absorptive capacity and contribute­s much to the crises in the housing and rental markets and congestion on roads and recreation facilities.

Public opinion on the desirabili­ty of constructi­ng the pipeline expansion is based on studies done by the federal regulatory agencies and the Ottawa government, showing that the value of its economic benefits exceeds the environmen­tal costs of accidental spillages of oil.

Disregardi­ng the public will, the government of British Columbia has worsened the problems associated with health care by forcing private health-care providers to cease operation by the imposition of prohibitiv­e fines on violators. The federal government has increased the number of immigrants from 240,000 to 280,000 annually and promised more increases in the future to as much as 350,000 by 2020.

The government of British Columbia has vowed to prevent the constructi­on of the pipeline expansion by requiring further reviews of environmen­tal risks, the cost and delays of which threaten the economic viability of the project.

Why are Canadian government­s adopting policies that are clearly in conflict with the well-justified wishes of the public? The answer is quite simple.

The politician­s running these government­s care more about getting elected or re-elected than the public interest. They increase their chances of electoral success by maintainin­g current policies that serve the beneficiar­ies of these policies.

These beneficiar­ies in the case of health-care policies are the unionized workers and civil servants who operate the system and enjoy incomes and benefit packages greater than are available in the private sector.

The beneficiar­ies of current immigratio­n policies are employers who see immigrants as a source of low-cost labour; business owners, profession­als like lawyers, engineers, accountant­s and teachers, who see them as markets for their goods and services; the constructi­on and real-estate industries benefiting from growth in the residentia­l housing market; and immigrants already settled in Canada who want to see their communitie­s grow in numbers and political influence.

The beneficiar­ies of policies that prevent the constructi­on of facilities needed to produce and transport natural resources are organized groups of environmen­talists with financial support from abroad. Political parties know that these beneficiar­ies of existing policies will vote for them if they promise not to change them.

On the other hand, the majority of voters who wish to have them changed do not have the same powerful self-interest to vote against parties opposing changes.

To change this condition, it is essential that the public be well informed about the cost existing policies impose on them, and thus encourage voting for parties promising to change the policies. Only a relatively small proportion of the general public has to be persuaded to do so in order to overwhelm the voting power of the special interest groups.

This goal can be attained through the work of thinktanks like the Fraser Institute, CD Howe Institute and others, which (with the help of academics, the media and public interest activists) inform the public about their interest and voting power. If they succeed in mobilizing the public well enough on a subject like fiscal deficits and the establishm­ent politician­s refuse to respond properly, populist parties can become successful and force existing parties to change their policies.

This has happened before when in 1993 the Reform party gained enough votes to enter Parliament in large numbers and induce the creation of balanced budgets.

The beneficiar­ies of current policies not in the interest of the public should also be targets for informatio­n. For example, workers in the health-care industry should be made to realize that if private clinics were allowed to operate freely in Canada, most patients now seeking treatment abroad would increase the demand for and pay of Canadian health-care providers.

Recent immigrants should be made aware of the negative effects current policies have on competitio­n in labour markets and on their incomes and taxes needed to service growing debts. Jason Kenney in his capacity as Canada’s immigratio­n minister has done so successful­ly and caused large proportion­s of immigrants to vote for his party and proposed changes to existing policies.

The politician­s running these government­s care more about getting elected or re-elected than the public interest.

 ?? JONATHAN HAYWARD/THE CANADIAN PRESS ?? A 2017 poll suggests two out of three Canadians, half of Metro and Island residents, and 60 per cent of residents in the rest of B.C. favour the constructi­on of Kinder Morgan’s Trans Mountain Pipeline expansion.
JONATHAN HAYWARD/THE CANADIAN PRESS A 2017 poll suggests two out of three Canadians, half of Metro and Island residents, and 60 per cent of residents in the rest of B.C. favour the constructi­on of Kinder Morgan’s Trans Mountain Pipeline expansion.

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