The Ivany Report: the solution is the problemThe Ivany Report1- 2- 3 does a good job in so far as it demonstrates that the Province of Nova Scotia has created a black hole of debt. It is a black hole. It vacuums every dollar that comes near it, and it just keeps growing bigger. $15 billion at last count!
Ivany's solution is growth. Everyone agrees.
"We will be prosperous when the government invests in my pet project", they say...
A great blanket of growth propaganda has been spread over the land.
My youngster has been learning economics at school. His teacher says that Canada should have 2% growth. Hells bells, I reply, 1% of real growth would be a bloody miracle!
What does 1% annual growth mean?
Let's say that at the dawn of civilization, a village starts with a herd of 100 cattle. Succeeding generations of villagers grow the herd by a modest 1% per year. How many cattle does the village have now, after 10,000 years of farming?
Geometric growth is easy to calculate. Today they have a herd of more than more than 1.6 billion trillion trillion trillion.
Let's lay all those cows out end to end. The line of cows would stretch 26 million trillion times across the length of the known universe.
Still, it's only 1% growth --- a banker would feel short changed.
Apart from bankers, who in their right mind would think that 1% growth is sustainable?
The lesson is that good growth always comes to an end. Sadly, those with influence and power seem to have missed that mathematics lesson.
Saturation happens. Coca Cola can only dissolve so much sugar in a can. Tim Horton's can only sell so many donuts before Canadian's become so fat that they can't wobble up to the counter for another fix of salt, sugar and lard.
That's what happens when you invest in growth but there is no good growth to be had... You get bad growth; INEPTITUDE and MISERY.
Good growth always ends --- and it ends badly for those who don't see the end coming. For a long time, Nova Scotia has run up debt and foolishly over-exploited resources in futile efforts to sustain growth. In yesteryears, the salmon all but flopped onto your plate. Now, you farm salmon, or you do without. A real hatchet job has been done on our forests.
In California they also dreamed of growth but ended up draining the aquifer.
Still, the power players push growth. Never mind that growth has become unprofitable.
Ivany boosts immigration to grow population. That's funky fertilizer for CBC ideology! Overnight, our CBC has become a megaphone for their spruiking immigration lawyers.
But the world is full. Good growth is long gone. Trade is global. They exported your old job and now they're bringing in cheap labour to make your new industry more "competitive". It's a global, zero sum game. Someone wins, you lose.
The world is overstuffed. Blindly, the idealogues still push for growth forever. They promise wealth but they deliver illth.
For decades, Provincial Government has been pushing growth --- and all they have achieved is devastation and debt.
See, that's the problem with the Ivany Report... the solution is the problem.