doady
Senior Member
While clearly a politically bias expression look at Magna's comments in an article in the Globe and Mail today. To summarize, while corporate profits are up on strong growth the company does not plan to expand factory production in Canada any time in the future despite the drop in the Canadian dollar. The primary reason of course is insignificant growth in car sales but Canada (read Ontario) has become uncompetitive as an export base. Rising energy costs are one of the primary reasons (thank you McGuinty). The proposed Ontario pension proposal would cost Magna about 36 million dollars per year in added costs (thank you Wynne). So here is one of Ontario's primary industrial success stories basically saying not only are we not expanding but it is hard to maintain existing operations in Ontario.
The Ontario Liberal party did not create the conditions that are leading to the de-industrialization of the province but why do they insist on blowing our brains out with policy that almost purposely tries to make Ontario uncompetitive?
Pensions are only part of the problem. I think the main reasons for Ontario economic decline are: unions, the minimum wage, and the greenbelt. I think these things are what driving up the cost of doing business the most - not only labour costs but also land costs is a huge factor, and land costs have skyrocketed ever since the greenbelt was enacted. So I think what Ontario needs to do is ban unions, abolish the minimum wage, and abolish the greenbelt, and Ontario will be competitive again. Furthermore, Ontario is investing infrastructure that moves people instead of moving goods. A GO Train doesn't move any freight. The Hurontario LRT will cost over $1 billion and it won't move any freight. Hudak does seem to be aware of all these issues. He may well be the right choice for Ontario's economy.