Quote:
Originally Posted by JDął
If people are dumb enough to vote Trudeau and the Liberals back in we'll see a 50c CAD to the USD within five years. Maybe even three. As it is the debt bubble isn't just going to pop in this country it's going to explode. The red ink is overflowing, government spending is beyond out of control, and we don't have an economy to pull us out of it with the killing of the energy sector. We were in recession before the pandemic hit, back when around 25% of Canadians were within $200 of insolvency. That number has doubled in just one year.
https://www.ctvnews.ca/business/half...rvey-1.5379871
Get your money in to fixed assets immediately if you aren't already, the Canadian Peso is coming. If UBI is established the Canadian dollar will be worthless. People often talk about voting for the lesser of the evils in politics. There has never been a more white-collar evil in Canada than the Trudeau Liberals. |
I think you're correct about inflation and that fixed assets are a better bet, but that's a result of COVID not a particular political party.
Rather than random conjecture though, how about some facts? Safe to say that the government in power at any given time is not directly responsible for what's happening at that exact moment, as those wheels of economics started turning in years prior possible before they were even around.
So when was the Canadian dollar worth the same or more than the US dollar?
It was worth more than the US dollar from 1953 until 1960... now the Liberals were in power from 1935 until 1957. Guess who took over in 1957? The Progressive CONSERVATIVE party... 3 years later (ie: when their policies were taking effect)... Canadian dollar was tanking. In fact, the Conservaties ended up pegging the Canadian dollar at 92.5cents for many years until Trudeau's dad came along and unpegged it, allowing it to be market determined, and it again reached parity.
So far, 2/2... LIBERAL government policies making the Canadian dollar equal or greater in value than the US dollar.
It stayed high for years, peaking at $1.04 before 1976 when Quebec decided to start talking about separating from Canada and inflation rates in the early 1980's rose past 20%.
Another Conservative government came into power under Mulroney in 1984... and guess what? 1986 was a new low for the Canadian dollar.
At this point, the Canadian dollar basically meandered about with little improvement through most of the 90's and culminated in another all-time low in 2002. This period was split between Conservatives and a Chretien led Liberal government, so call it toss-up, neither of them were effective in this regard, though the dollar did rise sharply toward the end of Chretien's reign... Paul Martin took over and under the Liberal party it continued to rise culminating in a high water mark again 2007. Stephen Harper was in charge at that time, but again for less than a year and none of his policies had taken effect.
It then tanked again under Harper, but rose back up a couple years later, so we can say the Harper government was carbon neutral as far as dollar valuations... it fell under their reign but also recovered quickly, so call it a win for them.
It's fallen again under Trudeau for most of his first term, but has actually gained more than 10% in the last year and is on its way back up.
So, in short, by my count Liberal governments saw growth in the Canadian dollar in 3/5 regimes so far with the other 2 showing fall and growth within the same time in power.
Under conservative government rule, the Canadian dollar fell sharply 3/4 times and in fact was unnecessarily pegged for almost 15 years at an artificially low exchange rate. The other 1/4 time was also a period with sharp losses and also gains that kind of wash each other out.
So, knowing the history, tell me again which party, historically speaking, has had a poor effect on the CDN v US Dollar? It sure hasn't been the Liberal governments.