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AFTERNOON
12:00 News 6, 7D, 4D, 5D, 7,
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Cartoons 8
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Ryan's Hope 57
12:25 Agri -News 13
12:30 The Young and
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Parenting 5
Loving 57, 7 ,
Super Pay Cards 11
1:00 Soapbox 11
Citylife 57
AU My Children 8, 10,
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Days of Our Lives 5D,
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The Don Harron Show
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City Lights 57
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Dallas 5
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Do It For Yourself 3
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Soapbox 11
Quincy 57
Parenting 10
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Too Close For Com-
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Video Hits 3
Facts.of Life 10
All In The Family 5
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Going Great 5
MASH 8
6:00 He -Klan fr
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EVENING
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One Day At A Time 8,
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Ontario 200 5
7:30 MASH 57
Circus 13
Charles In Charge 5
Three's A Crowd 3
Three's Company 8,
10
Family Feud 7
Don Cherry's
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Wheel of Fortune 5D
PM Magazine Detroit
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Pizzazz 6
8:00 TBA 7D, 4D
Double Trouble 5D
Real People 6
Fall Guy 7, 13
Movie "Million Dollar
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The Juno Awards 8, 3,
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Knots Landing 6
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11:00 SCTV 57
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3, 10, 7, 13, 11
Newsfinal 5
11:20 Ontario Report 13
National Update 5
11:30 Movie "Beyond
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Barney Miller 5 •
Entertainment
Tonight 3, 8, 10
Sportsline 6
Tonight Show 5D
Taxi 7D, 4D
Nightline 7
Family Brown 11
SCTV 57
12:00 International Chris-
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Dallas 10
The Best Of Saturday
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Movies
"Humoresque'' 5;
"Sister -In -Law" 8;
"The Mummy" 3;
"The Subject Was
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Mery Griffin 7
12:10 Benny Hill 6
12:30 Love Boat 5D '
Rockford Files 7D, 4D
12:40 Welcome Back, Kot -
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1:00 Hawaii Five -O 11
Eye On Hollywood 7
1:10 Chico and the Man 6
1:30 Muchmusic 57
News 7
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2:00 Maude 7D, 4D
Highlights 5
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Nightwatch 13
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3:30 Classic Country 7D,
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4:00 NIghtwatch 7D, 4D
4:30..„Good Times 5D
5:00 Tic Tac Dough 5D
THAT FINANCIAL
STATEMENT
After some consideration,
it appears that the recent
statement of Finance
Minister Michael Wilson was
notable primarily for its
faulty logic and lack of
coherence.
Despite some enthusiastic
comments from the financial
community, a more dispass-
ionate observer would have
to question almost all of the
major aspects of 'the so-
called "Financial' State-
ment".
The rationale of the new
goverment's program is
hard to fathom. First of all, if
our problems are sluggish
growth, excess industrial
capacity, and unemploy-
ment, cutting government
expenditures does not
quality as a good response.
Such a change would entail
more unemployment as
nearly everyone recognizes
that government spending
generally stimulates the
economy and, along with
that, job creation.
The Finance Minister as-
serted that his program was
necessary to rest( .e busi-
n $s confidence. If that is the
objective, confidence must
be , easily swayed as the
measures are at best half-
hearted. In fact, the changes
generally are de -stabilizing
and create uncertainty; that
will tend to hurt confidence.
The spending cuts will do al-
most nothing to lower the
- federal budget deficit. Ac-
cordinng,`,to Mr. Wilson's own
estimates the deficit will
actually rise in the 1985-86
fiscal year by $400 million,
and that was based on unre-
alistically high growth rates
for the Canadian economy.
The spending reductions will
be offset by additional new
spending. Despite tax in-
creases, revenues will fall
short of previous objectives,
and outlays will exceed
earlier estimates.
Some of the spending cuts
are purely illusory, for
example selling government
property "more quickly"
($27.2 million) or collecting
back taxes more efficiently
($440 million). There are
deliberately deceptive cuts,
Crossroads -Nov. 28, 1984--Page‘17
Canada's
usiness
by ruce Whit stone
,,such as the claim that the
Prime Minister will take a 15
per cent pay reduction. In
fact, the cut will be only 15
per cent of the difference
between his salary as Leader
of the Opposition and as
Prime Minister.
Other reductions will
reverberate through the
economy and entail a spiral
of confusion if not economic
disaster. For instance, the
proposes changes in the
Petroleum Incentive Pro-
gram will result in a curtail-
ment of drilling programs
which utilize Canadian
drilling rigs. Exploration
and development will be
shifted to U.S. territories
from Canadian areas. In any
event, PIP grants are auto-
matically tied to the level of
petroleum exploration; in
effect, the Finance Minister
is really saying that explor-
ation activity will be
reduced, hardly a praise-
worthy goal. Moreover, the
ending of the $75 million
Laterals Program to extend
the natural gas pipeline will
increase our dependence on
oil while reducing our need.
for steel and workers to
construct the line.
Other "savings" are
merely deferred capital out-
lays ($123 million). The one
year delay in building a new
PHONOGRAPH PATENT
Thomas Edison patened
the phonograph on Feb. 19,
1878.
embassy in Washington is a
prime example. Therefore,
the reduction this year will
be offset by an increase in
ensuing years. The with -
drawl of support for a toxic-
ology centre in Guelph is
typical of a penny-pinching
measure that eventually will
entail greater .costs in
human welfare.
The Finance Minister has
increased the petroleum
compensation charge 21/2
cents per' litre, which will
affect everyone who depends
nn cars. buses, trucks, or
heating oil. It will raise $1.5
billion for the government in
the guise of raising oil prices
to world levels. The
assumption is made that oil
prices should be se by
supply -demand con der-
ations. No one would arrel
with this sentimen , how-
ever, it should be
acknowledged that the world
oil price is set by OPEC, a
cartel which would be the
envy of the tnost greedy
monopoly.
The Financial Statement
of Mr. Wilson was in part an
illusion created by smoke
and mirrors, but the little bit
of substance that it con-
tained would enshrine a new
economic equation: less is
more. This is a very dis-
appointing omen.
Putterip' Pete
By FRYE
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