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Apparently, in this morning's paper, I (and a lot of other Hill journalsts) was a bit prescient —

Administered poorly, the employment insurance premiums I, you and our bosses pay for that rainy day we hope we never need can be a terrible job-killing tax that hurts our economy and all Canadians.

The federal government is in danger of doing just that.

Administered properly, employment insurance premiums rise and fall slowly over time based on our ability to contribute and the whole employment insurance system acts as the best kind of fast-acting automatic economic stabilizer.

Wednesday, Finance Minister Jim Flaherty hinted he is prepared to do something to make sure a premium rate hike set for Jan. 1 doesn’t become a job-killing tax. Let’s hope he does just that.

So far in Ottawa this week there has been a lot of hot air about who gets how much and for how long on EI.

Those are important issues, for sure, but not nearly so important for the smooth functioning of our economy as the mechanism by which premiums are set… [Read the rest of the piece]

While I think the government's decision to run a big deficit and pump billions into our recession-ravaged economy was a good thing for our economy and the correct policy response, I have yet to make up my mind on whether more stimulus may be required. I certainly think the government's decision to have an arbitrary turn-off-the-tape date of March 31 is bad — even dumb — policy (though this week, Finance Minister Jim Flaherty, Infrastructure Minister Chuck Strahl and many others are sending strong signals they'll be “fair and reasonable” when it comes to requests for flexibility on that deadline.) But back to the issue of more stimulus: Conservatives are dead against it; Liberals aren't sure yet but think it might be prudent have a plan in the works; and, the NDP say until all those full-time, high-paying jobs come back, Ottawa ought to keep spending.

On Bay Street, BMO Capital Markets number two economist Doug Porter put out a report earlier this summer arguing that, in the U.S. certainly and possibly in Canada, more stimulus would be a very good idea.

But Laval University economist Stephen Gordon suggests that more stimulus may not, at this point, be the correct policy response. Indeed, he says the case for more stimulus is weak.

“Things could change between now and [the tabling of the federal budget in] February. The US outlook is worrisome, so rapid growth seems unlikely: the Bank [of Canada] is right to warn that its interest rate decisions will be based on available data. But it would take a fairly strong negative shock – the kind that would force the Bank of Canada to cut interest rates back down to their lower bound – to make a convincing case for another round of fiscal stimulus.”

Technorati Tags: economy

As Quebec Premier Jean Charest calls on Maclean's magazine to apologize for its cover story this week which proclaimed Quebec “The Most Corrupt Province in Canada”, members of Parliament are trying to craft the wording on an all-party resolution to express its concern about the issue.

I am informed that there was considerable discussion about this during the weekly Conservative caucus meeting this morning. The Conservatives, including, I am told, the prime minister, is concerned that the article and its presentation represents an attack on a “minority” which the Conservatives believe is never right in Canada.

The motion, should it come to the floor of the House of Commons, possibly as early as this afternoon after Question Period, is expected to be tabled by Bloc Quebecois MP Pierre Paquette.

UPDATE: The motion did not make the floor of the House of Commons today but may be ready for Thursday afternoon.

UPDATED AGAIN: MPs did, in fact, vote on this late Wednesday night. Bloc MP Pierre Paquette rose at the end of a series of other votes and, as Prime Minister Stephen Harper and many other MPs was leaving, asked for “unanimous consent” of the House to adopt his motion. He read the motion and MPs on all sides of the House (which was about half full at that point) rose to applaud. When the applause died down, independent MP Andre Arthur hollered “Non!”. Paquette hollered something back at him — as did many other MPs — and Arthur left the chamber. Paquette asked again for “unanimous consent” and, receiving it at that point, the following motion was passed.

“Que cette Chambre, tout en reconnaissant l'importance des débats vigoureux sur des sujets d'intérêt public, est profondément attristée par les préjugés véhiculés et les stéréotypes employés par le Magazine Maclean's pour dénigrer la nation québécoise, son histoire et ses institutions.”

“That this House, while recognizing the importance of vigorous debate on subjects of public interest, expresses its profound sadness at the prejudice displayed and the stereotypes employed by Maclean's Magazine to denigrate Quebec nation, its history and its institutions.”

Earlier this summer, the communications director for the Leader of the Official Opposition, Mario Lague, died after the motorcycle he was driving was in collision with an SUV. Tonight, in West Block 200, parliamentarians, journalists, Lague's family, and others will gather to honour his memory. But this afternoon, just before Question Period got underway, Michael Ignatieff and Conservative MP Royal Galipeau made the following statements while Lague's widow and children looked on from the gallery above the Commons:

Hon. Michael Ignatieff (Etobicoke—Lakeshore, Lib.): Monsieur le Président, j'aimerais rendre hommage ici, aujourd'hui, à un grand Canadien, un époux, un père, un collègue et un ami: Mario Laguë.

Mario était Québécois et Canadien. Il était plein de vitalité, de charme et d'énergie.

Homme d'enthousiasme, lorsqu'il encourageait les Canadiens de Montréal, on pouvait l'entendre à trois maisons de chez lui.

Comme directeur de communications à mon bureau, dans toutes les situations, il a su garder son sang-froid, son sens de l'humour et son sens de l'ironie.

Mario Laguë was proud to have been an Ambassador of Canada, a public servant, an advisor to prime ministers, but he was proudest of his family: Caroline, Arianne and Clara, we thank them for sharing Mario with us.

Today, we pause and reflect in this chamber. In the public life of our country there is a void where a boisterous, courageous and funny man once stood.

Au revoir Mario. We miss him.

Mr. Royal Galipeau (Ottawa—Orléans, CPC): Monsieur le Président, nous avons tous été gravement peinés cet été d'apprendre la mort tragique de Mario Laguë, âgé de 52 ans, ancien directeur des communications du chef de l'opposition.

Throughout a distinguished career, the late Mario Laguë served his country with dedication both in Canada and abroad. His numerous roles included serving as director of communications for Canada's 21st Prime Minister, the Right Hon. Paul Martin, as Québec's delegate in Venezuela and in Mexico, as Canada's Ambassador to Costa Rica and as Assistant Secretary to the Cabinet in the Privy Council Office.

M. Laguë était un communicateur averti et il laisse en héritage le dévouement et le service dont il a fait preuve envers son pays.

Au nom des députés de la formation ministérielle en cette Chambre, je tiens à offrir mes sincères condoléances à sa veuve, la docteure Caroline Vu-Nguyen, à ses deux filles Arianne et Clara, ainsi qu'à ses amis et nos collègues de l'opposition officielle.

Our thoughts and prayers are with them and we share their grief.