The Stel Salaried Pensioners Organization wishes to thank The Hamilton Spectator for permission to post the following article by Reporter Tara Perkins published in the June 29, 2004 edition
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Jun. 29, 2004. 01:36 AM |
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'Minority governments are
unstable' |
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THE ECONOMY |
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By Tara Perkins |
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Under a Liberal government Stelco has a chance of getting federal help, while the Conservatives don't believe in targeted industrial policies. Henry Jacek, political science professor at McMaster University, said that Tory rule would mean "Stelco would just be sold in parts," since the steelmaker will need government help in order to survive. The Liberals have said they will discuss helping Stelco when the steelmaker formally asks. (The NDP has written steel into its platform, promising to "get tough on steel dumping" and to protect pensions.) And Hamilton's aging buildings would likely fare better under a Liberal government, but could be at risk of crumbling further under Conservative rule. "The Liberals have demonstrated at long last a commitment to urban renewal," said John Dolbec, Hamilton Chamber of Commerce CEO. "It took a long time to get the government to realize that's a priority. With a Conservative government, it would be an uphill battle." He said the Conservatives target rural and suburban areas, but would do little to help Hamilton with such problems as contaminated brownfield sites and aging infrastructure. This city's business community was filled with hope in December when two local Liberal MPs -- Stan Keyes and Tony Valeri -- were appointed to Paul Martin's cabinet. They were expected to be a tag team to fight for Hamilton's issues. Hamilton Chamber of Commerce president Rebecca Wissenz said that without local cabinet ministers "you've lost your direct voice to Ottawa." But yesterday Jacek said, "What did they (Valeri and Keyes) do for the city of Hamilton? We gained very little with cabinet ministers -- small potatoes." And that representation would be even smaller potatoes with the election of a minority government. The "reality of a minority government (would) diminish the clout of cabinet ministers, as they are forced to water down and compromise," said Terry Cooke, chief operating officer of Fluke Transportation. Hamilton Port Authority chief executive Keith Robson said yesterday he'd be very disappointed if Hamilton lost its cabinet ministers. "Tony Valeri has been very positive in supporting transportation," he said, though he added that "most of the things he's done haven't been specific to Hamilton ... I have no feel for the (Conservative) position on transportation," Robson said. Cooke rated the Conservative platform high for its promise to cut taxes, noting that Hamilton is "a highly taxed jurisdiction already." Hamilton's economy is dominated by small businesses, and the Liberals have promised "supportive tax measures ... (more) small-business programs, (and) a determined attack on the burden of regulation and paperwork that is born by small business," said Cooke. But Jacek said that many of Hamilton's small businesses depend on larger companies, such as Stelco, and would benefit more from a strong industrial policy. Developing brownfields (cleaning up contaminated properties) is another big issue for Hamilton, and one that would be at risk with a Conservative government, Wissenz said. She also thinks a Conservative government would spend so much time bolstering its position to maintain strength, little real work would be done. "A Liberal majority would lend greater stability to the economy," she said. "International markets feel very secure with Paul Martin." "The biggest challenge for business is the competitive environment and predictability," Cooke said. "Minority governments are unstable. I don't think anyone in business would be thrilled with a minority government." The Conservative platform says the party would "cut wasteful corporate subsidies in order to reduce taxes for all businesses." That party's entire spending plan for existing programs until 2009 is $50 billion below what the Liberals say they would have to spend. That means the Conservatives would have to make significant cuts to existing programs, said Dale Orr, a managing director at Global Insight (Canada) Ltd. He said they haven't made it clear which program areas they will chop. tperkins@thespec.com 905-526-4620 |