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spending

Saturday January 18, 2020

January 27, 2020 by Graeme MacKay

Editorial Cartoon by Graeme MacKay, The Hamilton Spectator – Saturday January 18, 2020

$60 payout ‘putting money back in parents’ pockets’, education minister says

May 4, 2019

The minister of education is offering parents money for childcare costs incurred during rotating teachers’ strikes.

Stephen Lecce says parents can apply for amounts from $25 to $60 per day for children under twelve.

Lecce says if all unions were to walk out, subsidies for childcare would amount to $48 million a day.    

“Just for clarity, every day that all unions withdraw services, that full withdraw saves the government $60 million dollars in salaries,” Lecce said. “So the concept here is we know that’s not our money, it’s our tax dollars, we’re using it. It’s the savings from their withdrawal of service.”

November 22, 2019

Parents of pre-schoolers at school-based child-care centres affected by the strikes will get the most money. Those with children in grades 1 through 7 will get less and parents of high school students will get nothing.

Lecce said the government’s motivation for the payout was to put money “back in the pockets of working people in Ontario.”

“At the end of the day the greatest constituency that bears the costs of this are parents and middle and low-income families who have to find childcare on short order,” he said.

As for criticisms that the payout was a bribe to parents, Lecce said he wasn’t surprised it was being spun by teachers’ unions as such.

August 29, 2019

“I think union leaders, respectfully, must accept the premise that there’s a cost when a child is staying home,” he said. “We have examples, real human examples, of individuals and low-income families and single parent families where they have to take vacation days.”

“Those will eventually add up,” Lecce said. “So it is absolutely in the interests of the taxpayer to return that money to them to make their life a little bit better and a little less difficult during this time of turmoil.”

“And it underscores our commitment to standing with families against this escalation.” (CBC) 

 

Posted in: Ontario Tagged: 2020-02, austerity, currency, debt, Doug Ford, education, Green Energy, money, Ontario, spending, Stephen Lecce

Tuesday October 1, 2019

October 8, 2019 by Graeme MacKay

Editorial Cartoon by Graeme MacKay, The Hamilton Spectator – Tuesday October 1, 2019

Promising back-to-back deficits isn’t political suicide in Canada anymore

St. Paul, 1997

The church of the balanced budget — inaugurated by Saint Paul in 1995 — has been losing power for some time now, even if it retains significant allure.

But with balance no longer universally accepted as the be-all and end-all, a more interesting choice has emerged for voters.

The first blow against balance came in January 2009 when Stephen Harper, who had once vowed never to spend into a deficit, was compelled to acknowledge that running a deficit wasn’t necessarily a bad thing — that sometimes it’s even the right thing to do.

January 26, 2009

In that case, it was the Great Recession that necessitated a quick influx of government spending. For the fiscal year of 2009-2010, the Harper government ran a deficit of $56.4 billion. Before they were done, the Conservatives ran six years of annual deficits, totalling $157.8 billion.

Still, it was considered heresy when Justin Trudeau announced in 2015 that a Liberal government would run three years of deficits to boost a sluggish economy. One newspaper described the plan as “political suicide.” Shortly thereafter, Trudeau’s Liberals won a majority.

November 2, 2016

Once in office, the Trudeau government pushed things further — first because of economic circumstances, then because of its own choices and priorities — resulting in deficits of $19 billion, $19 billion, $14 billion and $19.8 billion.

Harper’s deficits could be traced to his decisions to cut taxes — the GST in particular. Trudeau’s deficits had more to do with new spending on federal programs.

While running for the leadership of the Conservative Party in 2017, Andrew Scheer vowed to balance the budget within two years of forming government. But as the 2019 general election neared — and with budget cuts by Doug Ford’s provincial government angering voters in Ontario — Scheer lost some of his enthusiasm for swift deficit elimination. In May, he announced that a Conservative government would instead take five years to balance the budget.

April 13, 2019

The Liberal platform released on Sunday nudges the goalposts again. With promised new spending, a re-elected Liberal government would run larger deficits, starting at $27.4 billion in the first year and declining to $21 billion in the fourth.

The Conservative response was notable for what it lacked. Conservative finance critic Pierre Poilievre’s primary argument was not that the deficits were themselves immoral or fundamentally unsound. Rather, he claimed the deficits inevitably would lead a Liberal government to increase taxes — tax hikes the Conservatives claim Trudeau is concealing now.

That attack might resonate more if the Harper government’s deficits had triggered the same consequences.

Economists like Kevin Milligan argue that the current deficit is not a matter for great concern — that government debt is not like household debt, borrowing rates are low, the situation in 2019 is not what it was in 1995 and recent deficits have been relatively modest.

November 22, 2018

The debt-to-GDP ratio — the debt as measured against the entirety of the national economy — was 31.5 per cent in 2014-2015. The Liberals now project that, even after eight years of deficits, it will be 30.2 per cent of GDP in 2023-2024. (For the sake of comparison, the debt-to-GDP ratio was 66.8 per cent in 1996, when Jean Chrétien and Paul Martin were compelled to cut spending.)

In 2011, Harper’s Conservatives promised $1.6 billion in new spending, while Michael Ignatieff’s Liberals countered with a platform that included $5.5 billion in new initiatives, all of it covered by corresponding tax increases or spending cuts.

In 2019, instead of arguing within a box created by competing desires to both balance the budget and avoid broad-based tax increases, the platforms of the two main federal parties could be upwards of $20 billion apart.

That is not a small amount of money.

If the orthodoxy of the balanced budget has weakened, it has left room for a clearer choice. (CBC) 

 
 
Posted in: Canada Tagged: #elxn2019, 2019-34, Budget, Canada, Deficit, dragon, Justin Trudeau, promises, shopping, spending

Saturday August 3, 2019

August 13, 2019 by Graeme MacKay

August 3, 2019

Editorial Cartoon by Graeme MacKay, The Hamilton Spectator – Saturday August 3, 2019

New credit card payment rules for Quebecers take effect today

January 18, 2018

Quebec’s new rules on minimum credit card payments, which take effect Thursday, will likely be followed closely by other provinces, the head of a consumer advocacy group says.

The new rules require banks to set a minimum payment of at least two per cent of the balance owing starting Aug. 1. It will eventually rise to five per cent.

“I suspect that other provinces are looking at this carefully, looking to see the impact from this, [and if there are] any objections from the credit-granting community,” said Scott Hannah, president and CEO of the Credit Counselling Society.

“But really this just makes good fiscal sense. For those who’ve gotten themselves into debt, this will help them.”

May 13, 2010

Twenty years ago, a five per cent minimum payment was fairly standard, Tanguay said. But the minimum percentage has dropped since then.

Banks have the option of raising the minimum payment rate to five per cent right away, although Hannah doubts many institutions will do so because that change could have negative consequences for people with higher debts.

There are no federal rules about minimum payments, but there is nothing preventing other provinces from coming up with their own.

Consumer protection policies can happen at a provincial level, but Hannah said that there tends to be continuity between provinces on these kinds of rules.

“Other provinces in Canada will be looking at this carefully, and if they’re not seeing a lot of challenges or uproar from consumers or credit granters, they may elect to adopt similar legislation,” he said. (CBC) 

 

Posted in: Canada, Quebec Tagged: 2019-28, application, bank, Canada, credit card, debt, plastics, Quebec, spending

Friday February 8, 2019

February 15, 2019 by Graeme MacKay

Editorial Cartoon by Graeme MacKay, The Hamilton Spectator – Friday February 8, 2019

Ford government autism program overhaul met with outrage by some parents who fear kids will lose out

The Ford government’s plan to overhaul Ontario’s autism program has sparked anger among parents — including a PC political staffer and father of two autistic teens who quit in disgust over the changes Wednesday.

January 25, 2019

Under the revamp, aimed at clearing a therapy wait list of 23,000 kids, parents will be given funding and the power to choose the services they want. But families will face a lifetime limit of $140,000 per child and high-earners will no longer be eligible.

Parents, who say funding should be based on need and not on age or arbitrary cut-offs, were devastated by the move.

“In light of today’s announcement, I told my minister I did not feel I could continue in my role as legislative assistant,” said Bruce McIntosh, who joined Progressive Conservative MPP Amy Fee’s political staff when the Ford government was elected last spring.

McIntosh is the former president of the Ontario Autism Coalition, a parent advocacy group that has pushed for more government support but has been critical of age-based funding.

November 17, 2018

Fee (Kitchener South—Hespeler) is parliamentary assistant for Lisa MacLeod, minister of children, community and social services, who announced the autism overhaul at Toronto’s Holland Bloorview Kids Rehabilitation Hospital.

Fee, the mother of two children with autism, spoke about her own family’s experiences during the news conference.

An estimated 40,000 children in Ontario have autism, a developmental disorder characterized by difficulties with social interaction and communication. About 2,400 of them are waiting for a diagnosis, 23,000 are on a wait list for behavioural therapies and just 8,400 are receiving services.

MacLeod said the government will double funding for diagnostic hubs to $5.5 million a year for the next two years, clear the therapy wait lists and ensure families get their funding within the next 18 months.

The program under the previous Liberal government was inefficient and did not address children’s needs, she said. (Source: Hamilton Spectator) 


Letter to the Editor, The Hamilton Spectator, February 19, 2019 – A cartoon worth a thousand words

RE: MacKay cartoon (Feb. 8)

I want to commend Graeme MacKay for his Feb. 8, 2019, cartoon. His depiction of Premier Ford providing a mere drop of assistance to the families of those on the autism spectrum is proof once again that a picture is worth a thousand words. As the accompanying piece explained, cutting the same-sized pie into smaller pieces will not address the needs of the families who have been waiting for the services their children require. I thought Premier Ford’s platform promised that he would not be cutting services for Ontario’s citizens. It seems the Conservative politicians have forgotten this. Higher education support, elementary school class sizes, workers’ rights, services to children with autism, who will be next? Health care recipients?

Theresa Flynn-Purchase, Hamilton

Posted in: Ontario Tagged: 2019-05, autism, development, Doug Ford, education, Feedback, learning, Ontario, Social services, soup, spectrum, spending

Thursday November 22, 2018

November 29, 2018 by Graeme MacKay

Editorial Cartoon by Graeme MacKay, The Hamilton Spectator – Thursday November 22, 2018

Fiscal update to lay out competitiveness plan, close loop on some Liberal vows

The federal government will release a fall economic update Wednesday that will seek to close the loop on some of its outstanding mandate commitments, leaving the door open for the Liberals to use next year’s budget as their 2019 election platform.

March, 1, 2018

The document will also include Finance Minister Bill Morneau’s long-awaited plan to help Canada compete for investment dollars, which many warn has become increasingly difficult following major tax and regulatory changes in the United States.

Morneau has faced pressure to lower Canada’s corporate rate, but the government has signalled it will focus on targeted measures to accelerate investment rather than across-the-board tax cuts.

The document will likely be the Liberal government’s second-last opportunity — besides the spring budget — to deliver major policy announcements and its political pitch in package form before the October 2019 election.

February 12, 2016

As for fiscal responsibility, the official said the fall statement will show that Canada’s annual projections for the federal deficit and the debt burden will continue to slide downward on trajectories similar to those outlined in the 2018 budget.

The Liberals have faced regular criticism from the Opposition Conservatives for abandoning their 2015 vow to run only modest annual shortfalls of no more than $10 billion and to eliminate the deficit by 2019.

Instead, the Liberals have posted deficits of more than $18 billion in each of the last two years.

As its guiding principle on fiscal responsibility, the government has focused on lowering the country’s debt burden — as measured by net debt-to-GDP — rather than balancing the books.

The debt-to-GDP ratio fell to 31.3 per cent in 2017-18 from 32 per cent in 2016-17. The government has predicted the ratio to fall to 30.1 per cent in 2018-19 and continue sliding each year until it reaches 28.4 per cent in 2022-23. (Source: CTV News) 

 

Posted in: Canada Tagged: Bill Morneau, Canada, debt, Deficit, economic, federal, Finance, Justin Trudeau, Liberal, spending, update
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