The Premier’s annual address to Rotary had all the content one
would expect from a politician seeking re-election. It is no surprise, therefore,
that Dwight Ball lauded his Administration’s accomplishments and signalled a
warning to voters to ignore the “noise and fiction” expected from political
opponents in an election year.
claimed by far too many.
feigned innocence over the approved gold-plated boot in the derriere for Ed
Martin. Last year he upped the ante with the assertion that neither taxpayers
nor ratepayers will take the hit for the $12.7 billion Muskrat Falls project.
Canada’s forecast that the Province will lead the country with 5.2% real GDP
growth in 2019. Ball even counted the GDP forecast among his accomplishments. Does this latest
claim crash the bullshit meter? Of course not; it’s just that, like the
self-proclaimed deficit slayer in the Finance Ministry, the Premier is not
above invoking statistics when lies and damn lies won’t do.
For those readers who did not study Economics 101, or nodded
off during lectures on the dismal science, the GDP represents the size of an
economy. The real GDP growth rate is the inflation-adjusted value of all the
goods and services produced by an economy in a period of time, say a year. It
is one of the primary indicators used to gauge economic health. Bond rating agencies use the
debt-to-GDP ratio as a benchmark to establish a nation-state’s ability to
repay debt. For business, the annual GDP
growth forecast may influence the timing of an investment; governments and central
banks use it for public policy purposes.
ours — the GDP growth rate has huge potential for distortion. Even knowing that
fact, politicians will use it mercilessly to their political advantage. A dull
Opposition will let them. The Conference Board in Canada Exhibit (below) showing the percentage change in real GDP for
all ten provinces illustrates the point.