In a recent opinion piece, John Robson argues that the solution to Canada's economic woes is straightforward: deregulate everything. He criticizes the Liberal government's tendency to expand state control, suggesting that history and economic theory consistently show that minimal regulation leads to prosperity.
The Case for Deregulation
Robson points to historical examples, including 19th-century Britain and the deregulation efforts of Thatcher, Reagan, and Roger Douglas, which brought massive benefits. He notes that even Canada saw gains from timid deregulation. However, he laments that for the past third of a century, the state has grown larger, with disappointing results in real incomes and social cohesion.
Economic Theory Ignored
Robson references Adam Smith, David Ricardo, and Austrian economists to support his argument. He questions why Prime Minister Carney, with a PhD in economics, does not apply these principles. Instead, the Liberals pursue policies that centralize decision-making, leaving little room for private citizens to manage their own affairs.
Critique of Current Policy
Robson contrasts the ideal of low, flat taxes, sound money, and deregulation with the current approach of high taxes, complex regulations, and closed trade. He cites Carson Jerema's observation that nations with lower taxes and minimal regulations are wealthier. Robson concludes that the real challenge is not understanding good policy, but why it is not implemented.
He criticizes Carney's rhetoric, arguing that it misses the point of Laurier's commitment to liberty under law. Instead, Canada gets a "nudge theory with a thesaurus" approach, where no decision is left to private citizens.
